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By: G. M. Filisko
You've found your dream home. Make sure missteps don't prevent a successful closing.
By: G. M. Filisko When you're evaluating how much home you can afford, make sure you factor in the tax advantages of homeownership. You can claim some tax deductions if you work from home, but be sure you're entitled to them before taking them. Owning your home not only allows you to build wealth through appreciation, but it can also reduce the amount of income tax you pay every year. Here are seven tax benefits for homeowners. 1. Homebuyer tax credits If you purchase your first home before April 30, 2010, you're entitled to a tax credit of up to $8,000. If you currently own a home, but sell it to purchase another home before April 30, 2010, you're eligible for a federal tax credit of up to $6,500. 2. Deductions for loan fees Typically, you can deduct the "prepaid interest" you paid when you got your mortgage loan. That includes points, loan origination fees, and loan discount fees listed on your settlement statement, even if the seller paid those fees for you. Each time you refinan...
By: G. M. Filisko Understanding how appraisals work will help you achieve a quick and profitable refinance or sale. If you think the appraisal value of your home is too low, you can seek a second opinion. When you refinance or sell your home, the lender will insist that you get an appraisal-an opinion of the value of your home based on what similar homes in your area have sold for in recent months. Here are five tips about the appraised value of your home. 1. An appraisal isn't an exact science. When appraisers evaluate a home's value, they're giving their best opinion based on how the home's features stack up against those of similar homes recently sold nearby. One appraiser may factor in a recent sale, but another may consider that sale too long ago, or the home too different, or too far away to be a fair comparison. The result can be differences in the values two separate appraisers set for your home. 2. Appraisals have different purposes. If the appraisal is being used by a len...
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