Can prepayment  fees on a mortgage be deducted on your taxes?
613811
Depends.  \n\nFor individuals\nLate mortgage payment fees, yes, as interest  in year paid.\n\nPrepayment of next year's payments - only January's, which is actually accrued by December's month end, and only in year paid..  You should pay in time to have it included on 1098 issued by mtg.holder to avoid questions.\n\nYou can deduct penalty prepayment fees as interest the year paid.  These fees should also show as interest on a 1098 form issued at year end.
252374
The mortgage escrow refund is not reportable for taxes.  It is simply the return of your money on deposit with your mortgage co.\n\nIf you deducted the full escrow in the past, then you filed that return incorrectly.  Only the actual amount spent on real estate taxes for example are deductible.\n\nIf your mortgage co pays interest on the escrow, that amount will be taxable interest.
165504
No......The only interest payments which are deductable are Mortgage types of interests and Home equity interests
883004
A Home Equity Loan is a type of home mortgage.\n\nPoints (also called loan origination fees, loan charges, or loan discount fees) generally must be deducted over the life of the loan, unless they fit certain guidelines.  To be deductible, they must be paid solely for the use of the money. \n\nTo be fully deductible in the year paid, the deduction can not exceed the number of points typically charged in an area.  The loan must be secured by your main home and residence (not income property), and can not be rolled over into the loan.  They must be paid up-front, and clearly labeled on documents you receive from the lender.  Also, the funds must be used to buy or build a new home, or make improvements to your main home.  \n\nIf you took out a home equity loan and bought a car with some of the funds, or paid off credit cards, for example, the loan would qualify as home equity debt, or home equity mortgage loan.  It's possible the interest paid could be fully deductible, but the points would have to be deducted over the life of the loan.\n\nAlso, points are only deductible (on schedule A) if you itemize.  \n\nPrepaid interest is generally deducted over the life of the loan.
751744
You could do it immediately as long as your current mortgagor allows it and you're willing to pay any fees, penalties, etc.  \n\nNow's the time to read the fine print on your mortgage if you haven't already, because that's where you'll find the correct answer, not here on Yahoo Answers.
173431
no. they come off the value of your house when you go to sell it. meaning less profit for the you to show the irs.
742020
I think the answer is no, because your tax relief on the outstanding mortgage is greater than the interest paid.
923268
When you fill out the W-4 form, there's a worksheet to help you estimate the number of allowances to claim.  At the very least, you can have two--one for yourself and one for your child.  \n\nOnce you start making house payments, the taxes you pay out of your paycheck can be decreased because mortgage interest is deductible on your income tax return.  Be sure to look at your W-4 again in April or May and do the Deductions & Adjustments worksheet.
188619
If you live in the US, you get a tax break in this country.\n\nChances are all of you Home Equity intrest will be tax deductable. There are caveats so consult a CPA.
846281
It is deductible:  I love this article that was posted on the bankrate.com site.\n\nHome sweet homeownership tax breaks \nBy Kay Bell • Bankrate.com   \n \n\nCongratulations, you've just taken another step up the American-dream ladder and are a homeowner. Along with the joy of painting, plumbing and yard work, you now have some new tax considerations.\n\nThe good news is that you can deduct many home-related expenses. These tax breaks are available for any abode -- mobile home, single-family residence, townhouse, condominium or cooperative apartment. \n\nThe bad news is that to take full tax advantage of your home, your taxes will likely get more complicated. You're not living on "EZ" Street anymore; you've moved to the 1040 long form and Schedule A, where you'll have to itemize deductions. \n\nFor many homeowners, the effort of itemizing is well worth it at tax time. Some, however, might find that claiming the standard deduction remains their best move. How do you decide? First, find your standard deduction amount, based on your filing status: $5,000 for single or married filing separately taxpayers; $7,300 for heads of households; and $10,000 for married couples who file joint returns. Then compare it to the total expenses you can itemize and file using the method that gives you the larger deduction.\n\nTo help you figure your possible Schedule A tax breaks, here's a look at homeowner expenses you can deduct, ones you can't and some tips to get the most tax advantages out of your new property owning status.\n\nMortgage interest\nYour biggest tax break is reflected in the house payment you make each month since, for most homeowners, the bulk of that check goes toward interest. And all that interest is deductible, unless your loan is more than $1 million. If you're the proud owner of a multimillion-dollar mortgaged mansion, the Internal Revenue Service will limit your deductible interest.\n\nInterest tax breaks don't end with your home's first mortgage. Did you take advantage of low rates and your real estate's growing value to pull out extra cash through refinancing? Or did you decide instead to get a home equity loan or line of credit? Either way, that interest also is deductible, again within IRS guidelines. \n\nGenerally, equity debts of $100,000 or less are fully deductible. But even then, the remaining amount of your first mortgage could restrict your tax break. This could be a concern if you excessively leverage your house. \n\nWhen a homeowner takes out an equity loan that, when combined with his first mortgage amount, increases the debt on the house to an amount more than the property's actual value, the homeowner faces additional deductibility limits. In these cases, the IRS says you can deduct the smaller of interest on a $100,000 loan or your home's value less the amount of your existing mortgage.\n\nFor example, you bought your home three years ago with a minimal down payment. Your mortgage balance is $95,000 and the house is now worth $110,000. Your bank says you qualify for a 125 percent loan-to-value equity line, or $42,500 ($110,000 x 125 percent = $137,000 - $95,000 left on your first mortgage). To pay for your daughter's college tuition and buy her a car to get to school, you take the bank up on the offer, thinking the interest deduction on the loan would be icing on the tax-break cake\n\nHowever, you're not going to get to deduct all that interest. Instead, your deduction is limited to interest on just $15,000 of the loan; that's the amount your home's value exceeds your first mortgage. Interest payments on the other $27,500 are not deductible, even though the equity line is secured by your home. So don't automatically assume you can deduct all interest on home equity debts.\n\n- advertisement - \n \n \nWhat if your real estate circumstances are a bit brighter? Say, for instance, you're able to swing a vacation home on the l
1095478
Yes and no. \n\nProperty taxes are based on a % of the homes value. The % is fixed depending on where you live. \n\nSay it is 2%.\n\nIf you bought a $200,000 home, you would pay $4,000 a year. \nIf you bought a $500,000 home, you would pay $10,000 a year.
164153
If you were penalized for taking a CD out early, yes.  You can deduct that penalty on your 1040.
470879
Points, mortage interest and real estate taxes are deductible and should be reported to you by your mortgage company.\n\nFees such as document processing fees are not deductible, but you are able to add them to your basis if you have a capital gain on the sale of your house.  I would not worry too much about computing the basis of your house purchase(since there is a 250/500 K exclusion), but I would keep the documentation so I had it just in case you need to compute it.\n\nHOA fees might be included in your closing costs and are never deductible(or added to the deduction) because it is an expense for your benefit.
355256
At this point, no.\n\nI think your understanding of how it is handled is incorrect.   Assuming you use the house as your personal residence for two of the last five years, you can deduct up to $250k of capital gain if you file anything except MFJ.  If you file MFJ, then you can deduct up to $500k.\n\nIf your basis is $500k, file single, and sell the house for $750k, the gain isn't taxable.  Any amount over $750k would be taxed as long terms capital gains.
1163896
No debate here, happens every day. In some cases the taxes owed on a property exceed the original mortgage amount, some deal huh. If you live in a liberal state like California or New York its even worse. The taxes are so high you need a mortgage just to pay them. An interesting result of such high costs is people are moving out of the high cost states and to places like Nevada and Arizona. There goes the neighborhood!
409772
yes you can  if  you use the  property as an investment as long  you pay the  taxes (in spain )  on the  property and  the  assigned mortgage.but you must  pay  taxes  here too.
1071060
I'm not sure about your question--which is better?\n\nWhen you have a mortgage, early on the bulk of the payments are interest, and you can deduct that amount on  your income tax.  A good deal.