Acquisition indebtedness

Tax System

Debt used to buy, build, or substantially improve a qualified residence. Mortgage interest is deductible only on acquisition indebtedness up to $750,000 (for loans after December 15, 2017), not on home equity debt used for other purposes.

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Unit 06: homeownership benefits

Tax System

Related Terms

Mortgage interest deduction

A tax provision allowing homeowners to deduct mortgage inter...

Qualified residence

A primary home plus one secondary home that qualify for the ...

Points

Prepaid interest paid at mortgage closing to reduce the inte...