How Much Of A Tax Break For Buying A House ✰

Under the OBBBA, the cap on State and Local Tax (SALT) deductions—which includes your property taxes—has increased significantly. State and local tax (SALT) deduction: Overview and FAQs

For the 2026 tax year, buying a home offers several major federal tax breaks, primarily through that reduce your taxable income. The most significant change for 2026 is a quadrupled limit for state and local tax (SALT) deductions under the One Big Beautiful Bill Act (OBBBA) . 1. Mortgage Interest Deduction how much of a tax break for buying a house

: To claim this, you must itemize deductions. For 2026, the standard deduction is $16,100 for single filers and $32,000 for married filing jointly. 2. Expanded SALT Deduction (Property Taxes) Under the OBBBA, the cap on State and

: If your mortgage was taken out before December 16, 2017, you may still be eligible for the older, higher $1 million limit. the limit is $375

: For married couples filing separately, the limit is $375,000 each.