Posted on: 07th Feb, 2010 04:50 pm
are closing costs paid on a home mortgage tax deductible???
Yes. You need to take a copy of your HUD to your tax preparer. Not everypart the closing costs are tax deductible.
Hi babyqueen,
Closing costs involve a lot of things like appraisal costs, mortgage insurance, title insurance, lender's fees, etc. Only a part of the closing costs can be deducted from your taxes. If you pay any discount points upfront, you can deduct the pre-paid mortgage interest on your taxes. Apart from the discount points, home mortgage interest and certain real estate taxes are also tax-deductible.
Closing costs involve a lot of things like appraisal costs, mortgage insurance, title insurance, lender's fees, etc. Only a part of the closing costs can be deducted from your taxes. If you pay any discount points upfront, you can deduct the pre-paid mortgage interest on your taxes. Apart from the discount points, home mortgage interest and certain real estate taxes are also tax-deductible.