When you make your mortgage payment each month, a portion of your dollars will go toward paying down your loan's principal balance. But a good chunk of your payment will also go toward paying the interest that your loan accrues.
The home mortgage interest deduction is as American as apple pie, but since 2017 when the tax law for this deduction was passed, there have been some changes. For starters, and most notably, the maximum mortgage principal that made homeowners eligible for the interest deduction has been lowered. It was originally $1 million and is now $750,000.
What are the rules that apply to deductions for interest payments on mortgages? They can get confusing.
When you refinance, you get a new mortgage to pay off your existing mortgage. At first, this may seem like a bad decision on its face. Getting a new mortgage takes time and money, so why should you want to do it? But there are a few reasons to consider refinancing.
Not all reverse mortgages are the same. The home equity conversion mortgage, insured by the federal government, is available only through a Federal Housing Authority-approved lender. For homeowners 62 years of age or older with significant equity in a home, an HECM may be an attractive idea. It's a way to supplement retirement income by allowing eligible homeowners to access a portion of the equity.
The right of inheritance applies to all property, including properties with mortgages attached to them. If you inherit a mortgaged property, a number of questions and concerns may pop up, including whether the mortgage can be assumed. You'll probably wonder how to record the deed and take title to the property.
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