You can’t deduct your mortgage from your taxes, only the interest. And only on mortgages related to your first or second home. From irs.gov
This part explains what you can deduct as home mortgage interest. It includes discussions on points and how to report deductible interest on your tax return.
Generally, home mortgage interest is any interest you pay on a loan secured by your home (main home or a second home). The loan may be a mortgage to buy your home, or a second mortgage.
Another important thing to note is that you only benefit from this if you have so many itemized deductions that you can do better than the standard deduction. The mortgage interest alone isn’t going to do that in a vast majority of cases. Since legislation in 2017, a lot of the tax advantage of owning a home was reduced.
The OP is wrong on every conceivable level.
Yeah. To break down why this meme is bad information, in simple terms:
- You can’t deduct “your mortgage”. You can only deduct interest on a loan.
- You can’t take this deduction on a rental property. You have to live in the home part of the year to take this.
- Since the tax changes in 2017, most homeowners don’t deduct mortgage interest anymore, because it’s better to take the standard deduction offered to anyone.
Don’t share or believe bad information.
Oops, sorry
There’s actually a few types of interest, including student loan, that can be deducted.
The mortgage tax advantage is just one component of it.
After WWII we made (mostly suburban) homes be retirement investment vehicles for (almost exclusively white) working class people. That was a terrible choice for all future generations of the working class. Now most people (white or not) are priced out. It’s been great for the boomers and the real estate & finance industries, though, thanks to asset price inflation.
From Michael Hudson’s Killing the Host (PDF):
The Bubble Economy vs classical industrial growth
The stock market is not the largest part of the economy whose prices are inflated by bank credit. As the biggest asset category, real estate is by far the largest market for debt. The Federal Reserve’s quarterly Flow of Funds statistics show that by 2007-08, about 80 percent of new bank loans were real estate mortgages. Most such loans are to buy property already in place, just as most stock market transactions are for shares long since issued.
The effect is twofold: it inflates asset prices ranging from real estate to entire companies, and yields banks interest that imposes a carrying charge on buyers. That is what makes bubble economies high-cost. Housing prices are inflated, requiring mortgage debtors to pay more. Companies borrow to buy other companies, increasing the volume of corporate debt simply to finance ownership changes. And education is financialized, enabling students to afford higher tuition costs by committing to pay monthly debt service out of what they earn after they graduate.
The resulting financial overhead consists of claims on the economy’s actual means of production. Yet most people think of these bonds, bank loans and stocks and creditor claims as wealth, not its antithesis on the debit side of the balance sheet. This inside-out doublethink is a precondition for the bubble economy to be applauded by the mass media, keeping its corrosive momentum expanding.
From the corporate sphere and real estate to personal budgets, the distinguishing feature over the past half-century has been the rise in debt/ equity and debt/income ratios. Just as debt leveraging has hiked corporate break-even costs of doing business, so the cost of living has been increased as homes and office buildings have been bid up on mortgage credit. “Creating wealth” in a debt-financed way makes economies high-cost, exacerbated by the tax shift onto labor and consumers instead of capital gains and “free lunch” rent. These financial and fiscal policies have enabled financial managers to siphon off the industrial profits that were expected to fund capital formation to increase productivity and living standards.
Look look look as a home owner with a mortgage, I think you’re looking at this all wrong.
You should be furious and demanding correction French style.
It’s super wrong and political action is desperately needed
Just get a mortgage then -brought to you by the privileged
I have never deducted my mortgage on my taxes. Only a percentage of the property tax paid. If there is a way to deduct an entire mortgage i would love to know
Quiet, we’re trying to get mad at people we’ve never met over problems we made up over here.
Oops, my bad. Mums the word
I wish I could up-vote more than once…
Don’t forget to deduct your home office if you work from home.
Small business owners can deduct their home office, employees cannot
Source: https://www.irs.gov/newsroom/how-small-business-owners-can-deduct-their-home-office-from-their-taxesI was just officially classified as a remote employee in my company’s HR system, even though I’ve technically been working more at home than in the office since the pandemic. How exactly do I measure how much I should be deducting because of my home “office”?
Unfortunately that deduction is for small business owners, not employees.
Source: https://www.irs.gov/newsroom/how-small-business-owners-can-deduct-their-home-office-from-their-taxesMore context: I’m a full-time remote employee :')
Wait, can you do this in Canada? If so I haven’t been for the last 9 years.
Also Canadian, and if we can do this I’ve been missing the fuck out for decades.
It’s the other way around in Quebec, Ontario, and Manitoba, isn’t it?
Ignorance defined. Mortgage interest is completely different than rent.
deleted by creator
Wait you can deduct mortgage for properties that aren’t your primary residence? That’s fucked up…
Also most mortgages I know of exclude renting out the property.
