A Great Reason to Buy a Home in 2007
Posted by Rebecca
Mortgage Insurance Is Now Tax Deductible
If you’re a first-time home buyer, you probably can’t afford to put 20% down on a home loan. In most cases that means you’re stuck paying mortgage insurance, which can cost you around $100 a month. That’s the last thing you need in addition to your new house payment.
The good news is that on December 20th, 2006 President Bush signed a new bill into law that makes mortgage insurance tax deductible. Those who purchase their homes in 2007 and have an annual household income of $100,000 or less can deduct the full amount of their mortgage insurance premiums paid this year. So, you still have to pay it, but hey - at least you get it back, right? It’s like forced savings. This could be good.
Read the news release from the Mortgage Insurance Companies of America.