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Tax Time - Don't forget your real estate tax deductions

By
Real Estate Agent with RE/MAX Real Estate Limited

Tax Time - If you bought or sold a home in 2010 show your accountant your HUD-1 form

You may be eligible for tax deductions. Have you done any of the following things in 2010?:

  • Bought a home
  • Sold a home 
  • Refinanced a loan

If yes, then make sure to give your accountant a copy of the Settlement Statement (HUD-1) form you received at the closing table. This form lists all the costs involved in the real estate transaction.

Click here to see a sample of the HUD-1 Form: http://www.hud.gov/offices/adm/hudclips/forms/files/1.pdf

Were you a first time buyer in 2010? You could qualify for the The First Time Buyer Tax Credit. Visit http://www.irs.gov/newsroom/article/0,,id=204671,00.html for more info and make sure to call your accountant.

Although most real estate closing fees are not tax deductible, some items that could be tax deductible are:

  • Loan origination fee = "points" paid
  • Prepaid mortgage interest
  • Pro-rated real estate property taxes

If you own a home, some of these items could be tax deductible

  • Real estate taxes
  • Interest paid on mortgage loans

Call your accountant to find out what deductions or credits you are eligible for. For further information visit www.irs.gov

 All information is subject to errors and ommissions.

Posted by

 

Jeana Cowie, ABR, CRS, GRI, SRES©
Broker Associate, Real Estate Agent 
  
RE/MAX Real Estate Limited
Oradell, NJ 07649 (in Bergen County, NJ)

www.jeanacowie.net   

Jeana Cowie is a Top RE/MAX Bergen County REALTOR©                            

Over 800+ homes SOLD!! 23 Years of Full Time Bergen County Real Estate Sales Experience

Specializing in Paramus real estate (over 300+ homes SOLD in Paramus alone) handling all of your Bergen County real estate needs, from Allendale to Wyckoff

Top 1% of all RE/MAX agents in NJ

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Ryan Frost
Compass Lending Solutions, LLC - Draper, UT

We use this time as an excellent opportunity to circle back with our clients from the past year and mail them a copy of their HUDs, before they call all befuddled looking for them at the last minute. Of course, we ask for any referrals at the same time :).

Feb 23, 2011 08:19 AM
Jeana Cowie
RE/MAX Real Estate Limited - Paramus, NJ
Broker Associate, ABR, CRS, GRI, SRES

Ryan, Excellent idea.

Feb 23, 2011 08:20 AM
Rob Thomas
Prestige Homes of The Tri Cities, Inc. CALL....423-341-6954 - Bristol, TN
Bristol TN-VA & Tri Cities Agent, ABR, GRI, e-Pro

Jeana...nice reminder...just another great way to keep contact with your clients!
Hope you have a great day!

Feb 23, 2011 11:02 PM
Jeana Cowie
RE/MAX Real Estate Limited - Paramus, NJ
Broker Associate, ABR, CRS, GRI, SRES

Rob, Thanks. It is a nice way to help & stay in touch. Have a great evening!

Feb 24, 2011 12:48 PM