Mortgage Interest Tax Deduction Calculator
Buying a house is an expensive proposition. Yes, it’s a better way to build wealth than throwing money away (and into your landlord’s pocket) by paying rent. Still, between your mortgage payment, property taxes, home insurance, and maintenance costs, you have to hand over a lot of dollars to stay in your house.
Here’s the good news: some of that money can come back to you during tax time. Specifically, the Internal Revenue Service offers a mortgage interest tax deduction to U.S. homeowners. That means some pretty significant tax savings, especially in the early years of owning your home.
To help you figure out just how much you can save, we added a specific tool to our suite of free mortgage calculators. This one lets you input a few pieces of information in exchange for a look at how much you could save on your first year alone.