Ask me anything! How much of a mortgage interest deduction can I actually expect? What will I save in taxes?

How much of a tax savings will you get when you finance your new home through a home loan? Only your tax preparer can tell you exactly what deductions you can take and what tax savings you'll receive, but here's a good rule of thumb: for every three dollars that you pay in interest on your mortgage loan, you'll get back one dollar in taxes.  One of three.  But again, only your tax preparer can give you the true amount.

Sunday reading on the mortgage interest tax deduction and the housing market

Here are two articles from today's Los Angeles Times.  The first details the mortage interest tax deduction and efforts to -- maybe -- eliminate it.  Here's the title and link: A look at proposals to limit the mortgage interest tax deduction.  Of course, if the deduction is eliminated, California homeowners will be hit harder than homeowners in other states.

The second article is Short-sale purchases can easily fall apart.  Here's the link.  Of course, if you've been trying to buy a home in the greater L.A. area for any amount of time, you probably could have written this.