Mortgage Interest Deduction

Definition of "Mortgage interest deduction"

Alex Hohn real estate agent

Written by

Alex Hohnelite badge icon

Palmer House Properties

Tax deduction for interest paid or accrued within the taxable year with respect to mortgage indebtedness. Interest is deductible on mortgages secured by principal and second homes. A taxpayer may not write off interest on any part of the mortgage that exceeds the original purchase price plus improvements of property, unless the taxpayer uses the money for medical or educational purposes.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Real Estate Terms

Countless real estate disputes and financial disagreements occur in our world. At first, anybody could believe that genuineness, honesty, and integrity might have disappeared. However, the ...

Reducing the prepaid items on a debt agreement. ...

Span of time a rental agreement is free to the occupant. A landlord may offer this as an incentive to stimulate rentals. For example, an owner of an office building may provide a free ...

Aluminum or metal treated barrier that is placed between the concrete and wood of the foundation of a newly constructed building to prevent termites from infesting the wood. Many experts ...

Some states make the legal assumption, based on title theory, that the mortgagee is a partial owner of the real estate securing the mortgage and remains as is until the debt is fully paid. ...

Expenditures incurred subsequent to the building of a structure. ...

Details of a contract of sale including a financial statement, legal description, type of deed, place, date and time of closing of title. ...

Protection over and above that of an insurance policy or warranty. ...

An entrance hallway from the outside of a building. Foyers are intended as a gathering place for people either before exiting or upon entrance. ...

Popular Real Estate Questions