If you’re planning to sell your home soon, then you may be eligible for some nice tax deductions, exemptions, and / or write offs that can add to some sizable savings when you file your return.
One key element that may be deductible are the costs of getting your home sold. This can include the expenses related to advertising, as well as legal and escrow fees, staging fees (if applicable), and even the amount of a real estate agent’s commission.
In order to qualify for this deduction, though, it is important that you have lived in the property for at least two of the five years directly preceding its sale, and that the home was your primary residence.
You may also be eligible to write off the cost of home improvements and / or repairs that you made in order to make the property more marketable. In this case, though, these improvements must have been done within 90 days of the closing date of the sale.
Just as in years prior, if you have a mortgage, then the interest that you pay on that loan may be deductible. But based on the recent tax law changes, there are some slight differences from years past.
For instance, now, home owners may deduct the interest on up to $750,000 of mortgage debt if the mortgage was entered into on or after December 15th, 2017. If, however, you obtained your home mortgage prior to this date, you may continue to deduct on mortgages of up to $1 million.
If you’re considering selling your home, working with an experienced real estate agent can help to find the right buyer. The right agent will also assist you through the entire process, from marketing, conducting showings, and negotiating the sale price.
Ready to move forward soon? Contact Us and we’ll start you off with a no obligation value of your property.