Property Sales and Tax Seasons

By December 13, 2012Traditions Property Blog

The top nine tax deductions that every homeowner should know about.

It is the end of the year and for many people that means one thing: tax season is just around the corner. You may have purchased your house this year as you obtained a great deal on a property sale in Jacksonville, or maybe you purchased a second home or investment property by taking advantage of one of the remaining Jacksonville foreclosures. Perhaps, you’re also examining the Rental Property 1031 Tax Exchanges on the sale of your rental properties. Well for all of you—especially those of you still out there looking at property sales –tax season does not need to be something worth dreading.

By purchasing a property sale you automatically qualify for a number of pretty helpful tax deductions. Of course, this isn’t going to make completing your taxes any easier. In fact, for many people the more deductions you have the more complicated the paperwork becomes! We have a list of the top tax deductions you should look into if you are a homeowner, but don’t just take our word for it. This list is intended to help you, but should not replace the advice and expertise of a qualified tax specialist.

Here are the top nine tax deductions that many Jacksonville homeowners qualify for:

  1. Closing Costs: Those who purchased a home in Jacksonville in 2012 may be able to deduct points paid at closing.
  2. Second Property: Your latest investment property purchase in Jacksonville—including your vacation home—could qualify you for deductions.
  3. Refinancing Costs: Costs paid through mortgage-refinancing are potentially eligible for a deduction.
  4. Private Mortgage Insurance: Private mortgage insurance or PMI sometimes qualifies you for further deductions.
  5. Capital Gains: Was a home transferred to your name this year? In most cases, capital gains on home transference are tax exempt.
  6. Mortgage interest: The interest paid on a home loan is often deductable. If you are still paying a mortgage on your home then ask your tax specialist about this deduction.
  7. Home offices: Having a dedicated office space in your home used for work purposes can potentially qualify you for further deductions.
  8. Healthcare Renovations: Any renovations made to your home for medical purposes are often deductable.
  9. Relocation: Purchasing a new home because of a business related move may qualify you for deductions.

Do your research on these topics and take your questions to your tax specialist. And for more information about buying a home in Jacksonville contact us!