For homeowners who purchased or owned a residence in 2017, several federal tax breaks were available to reduce taxable income or provide direct credits.
For loans taken out , the limit dropped to $750,000 ($375,000 if married filing separately) under the Tax Cuts and Jobs Act. tax break for buying a house 2017
: If you paid "points" (prepaid interest) to lower your interest rate during the purchase, these are typically deductible in the year they were paid. For homeowners who purchased or owned a residence
For mortgages established , you can deduct interest on up to $1 million of mortgage debt ($500,000 if married filing separately). the limit dropped to $750
To claim these, you generally must itemize deductions on Schedule A (Form 1040) rather than taking the standard deduction. :