Buying A House Tax Return May 2026

First-Time Home Buyer Tax Credits 2026: Deductions & Savings

: A major change for 2026 is the increase of the SALT cap. You can now deduct up to $40,000 ($20,000 for married filing separately) for combined state and local taxes, including property taxes. This benefit phases down for homeowners with a Modified Adjusted Gross Income (MAGI) over $500,000. buying a house tax return

: Available only to self-employed individuals, this allows you to deduct a portion of your home's expenses (utilities, insurance, etc.) based on the square footage used exclusively and regularly for business. Strategic Tax Credits First-Time Home Buyer Tax Credits 2026: Deductions &

: Reinstated for the 2026 tax year, PMI and FHA mortgage insurance premiums are once again treated as deductible mortgage interest for homeowners with a MAGI below $100,000. : Available only to self-employed individuals, this allows

You should only itemize if your total deductible expenses—including mortgage interest, property taxes, and charitable gifts—exceed these thresholds. Top Tax Deductions for Homeowners

To claim most homeownership-related tax breaks, you must on Schedule A of Form 1040 instead of taking the standard deduction. For the 2026 tax year, the standard deduction amounts are: Married Filing Jointly : $32,200 Single / Married Filing Separately : $16,100 Head of Household : $24,150