When you sell your home, you can gain access to all sorts of tax deductions that can greatly assist you in the long run. This is always the case whether you are currently selling your home or if you sold it previously.
Here are three useful tax deductions that you should consider making note of for when the time comes to sell your home:
If you’re someone who ends up getting a new job which will involve you having to sell your current home and move, it used to be that you could deduct all expenses involving your move itself. However, these days, that deduction has been eliminated by lawmakers. On the other hand, the deduction remains available for current active duty members of the United States armed forces.
Any interest that you have on your existing mortgage can be deducted as well, provided the total deducted amount doesn’t exceed $1 million; however, this only applies if you obtained your mortgage prior to December 15, 2017. Otherwise, homeowners are permitted to deduct up to $750,000 of their mortgage interest.
Any and all fees related to real estate agent commissions, escrow fees, and legal fees can always be deducted, regardless of what the total amount is. Home staging fees can also be included in your deduction if any apply. This applies even with the recently-passed GOP tax law.
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