IS INTEREST STILL DEDUCTIBLE ON HOME EQUITY LINES OF CREDIT?

The IRS has recently clarified and confirmed that under the new tax law owners can continue to deduct the interest on a home equity loan, line of credit or second mortgage when the proceeds are used to substantially improve their residence.

 

“There has been much confusion on this issue, and the continued deductibility will bring real benefits to those who choose to take on remodeling projects to bring more resale value to their home or gain equity that may have been lost during the downturn,” said National Association of Realtors® President Elizabeth Mendenhall.

© 2014 by North Central Board of REALTORS®.