President Obama has signed the bill extending your Private Mortgage Insurance (PMI) tax deductibility through December 31, 2011. PMI is insurance that lenders require on some loans if you don’t put a 20% down payment.
Details on tax Deductibility
- The home purchase or refinance must close between January 1, 2007 and December 31, 2011.
- To qualify for a full deduction, a couple or a single taxpayer must have AGI of $100,000 or less to get a full deduction and no more than $109,00 to get a partial deduction.
- Applies to primary residence and one other residence purchased for personal use by the taxpayer.
- Monthly, annual, and single PMI premiums are eligible. Financed premium deductions should be taken over a seven year period.
When your ready to purchase a new home or refinance, give Elite Financial Group a call. 1-866-545-9292.
