Friday, January 16, 2015

This Week in Real Estate - 1-16-2015 2014 Year in Review



2014 Year in Review

2014 was another great year for real estate.

In Napa County, we are returning to more normal conditions.

We saw inventory levels fall significantly total units sold was down 15% from 2013, but with the reduced supply and demand still high we saw another year of double digit increase in the median price. It is important to note that the prices are growing at a much slower pace which is healthy for the market.

-Kris


Tip of the Week

PLEASE ASK YOUR tax professional about these and any other potential deductions you might have. These statements below apply to MOST but not ALL people. The current tax code is over 73,000 pages long, I don’t think a single person has read the entire thing.

In the PMI (Private Mortgage Insurance) is deductible for most home owners. This applies to all FHA buyers and most other buyers who put down less than 20% when purchasing their home.

The Mortgage Interest Deduction limit was not altered so loans up to $1,000,000 are still eligible.

Energy Efficiency Home Improvement Tax Credit has been extended. If you make improvements to your home, like adding insulation, you can get up to a $500 credit.

Estate Taxes have been limited to estates with more than $5,000,000 in assets.

With the record low interest rates I know that some of you refinanced. Portions of that refi cost can also be deducted such as Points paid.

And as always the property taxes can be deducted, be careful you cannot deduct the entire tax bill. Make sure you are doing this part correctly since the government is looking at this one more closely.

If you need a great tax preparer, please give me a call.

Thanks

-Kris

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