Mortgage Interest Write-off

As you have probably read, owning a home can be great because you can write-off the interest you pay on your mortgage.  This is generally true, but you still have to make the payments!  Be aware, however, that certain restrictions apply.

The IRS permits you to write-off the interest paid on the first $1,000,000 in mortgage debt on your personal residence.  Should you get a home equity loan, you can also write-off the interest on the first $100,000 of the loan.

These interest deductions can be really helpful, but they are not an open ended windfall as they are sometimes touted as being.  And it is necessary to keep up with any changes in the law each year.  Yes, I know it's shocking, but the government has been known to be fickle about tax laws!