Save Money on Taxes with these Tips

Libertyville Real Estate Agent Jan Leasure discusses four different mortgage-related tax breaks that homeowners can receive when they file in 2015.

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Have you done your taxes for 2015 yet? If so, are you aware of all the tax breaks that homeowners are eligible for? Whether your mortgage is paid off or not, your home is a tax shelter. There are four major mortgage-related tax deductions. These four deductions are mortgage interest, discount points, real estate taxes, and home improvements. 

1. Mortgage Interest: This is your #1 tax deduction. You'll receive a 1098 Form from your lender, but remember that if your mortgage is over $1 million you then lose the ability to deduct interest from your mortgage. If you want to lower your mortgage to reap these benefits, then be sure to contact me. 
2. Discount Points: If you paid discount points on your mortgage or refinanced in 2014 to lower the rate of your mortgage, then you ought to know that discount points are 100% tax deductible.  
3. Real Estate Taxes: These are sky-high in every state and out of control. Do not forget to deduct your real estate taxes. If you don't receive a document in the mail about your real estate taxes, then be sure to look it up online. 
4. Home Improvements: Repairs to your home can be counted towards tax deductions. For example, if you had to make improvements to your home to accommodate someone who was ill or disabled, then the cost of those repairs could be tax-deductible. The same goes for repairs that increase the environmental friendliness of your home.

If you have any further questions about preparing your mortgage taxes, please do not hesitate to contact me. I'm always willing to assist you!