Tax deductions for interest on home equity loans can make remodeling more affordable. Here are a couple tips to ask your tax advisor about...and to figure into the cost of your next remodeling or home improvement projects.
The IRS allows you to deduct the interest on up to $100,000 of home equity debt that is used for any purpose. That's on your home, not rental property.
HELOC deductions on second homes can qualify as a home mortgage interest if you use the home as a vacation home during the year.
So...consider remodeling projects that will reduce your energy and water costs. With today's low interest rates, you might be able to get that weatherization or remodeling loan more easily than you could move to your dream home!
The IRS allows you to deduct the interest on up to $100,000 of home equity debt that is used for any purpose. That's on your home, not rental property.
HELOC deductions on second homes can qualify as a home mortgage interest if you use the home as a vacation home during the year.
So...consider remodeling projects that will reduce your energy and water costs. With today's low interest rates, you might be able to get that weatherization or remodeling loan more easily than you could move to your dream home!