Re: Buying a house
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My understanding is that ALL of the interest on a mortgage is tax deductible.
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Your interest on income property is not, but for your residence it is with someone told me there are a few exceptions, but hardly ever occurs. I look at the tax-deductable interest and property tax as getting a discount, because your still paying it, you just get to deduct it (what you pay) from your income, it makes your house lie getting a discount on rent, we all have to pay to live somewhere, my house payment is less than the average rent in my county for a 2 bedroom apartment.
Remember, the government never gives anything away for free, where do you think they got it in the first place, they stole it from the Russians when they weren't looking? NO, the US taxpayers paid for it in the first place.
And purchasing has one additional benefit, I have a fixed rate loan, except for a marginal tax increase(California has a capped growth rate) I know what my payment will be 25 years from now, renters dont have that luxury.
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