Two big things happened recently that made it easy to know what to blog about.
Last week, a 0.25% increase on interest rates was announced by the Federal Reserve. This week, both House and Senate have passed the tax reform bill, which President Donald Trump has announced he plans to sign before Christmas.
Kailee Harvey (our marketing mastermind here at Windermere FoCo) gave us the scoop on the interest rate increase in a short and sweet post last week. You should check it out. As for the tax reform legislation, the National Association of Realtors (NAR) has a lot more to say as this is an issue REALTORS® have worked extensively on. NAR’s president Elizabeth Mendenhall brings perspective on the initial proposal vs the passed bill:
“…although the final tax reform bill is far from perfect, it is significantly better for homeowners than previous versions. NAR members generated over 300,000 emails and telephone calls to members of Congress over two Calls for Action and held countless in-person meetings with legislators, all of which helped shape the final product.”
But what exactly does the improved and passed bill means to home owners/buyers? Here are a few positives:
On Capital gains exclusion: Though both House and Senate tried to make exclusion harder to qualify for, it remained the same ($250,000 for an individual and $500,000 for married couples).
On State and local tax deductions: Although with limitations, property taxes and state and local income taxes remain deductible. House and Senate tried to eliminate the deduction altogether.
On Mortgage interest deduction: The maximum mortgage amount for mortgage interest deduction has been decreased to $750,000 (from $1 million).
So there you go! Everything you wanted to know before the Holiday cheer! 😉
Stay tuned! I promise to mix in some super fun facts,