February 2018 Petit Home Team Newsletter
1. Petit Home Team NEWS
2. Homeowner Tax Changes
3. Listed & Sold Properties
4. Super Bowl Party
1. Petit Home Team NEWS
2.Homeowner Tax Changes
The new tax law that was signed into effect at the end of 2017 will affect all taxpayers. Homeowners should familiarize themselves with the areas that could affect them which may require some planning to maximize the benefits.
Some of the things that will affect most homeowners are the following:
- Reduces the limit on deductible mortgage debt to $750,000 for loans made after 12/14/17. Existing loans of up to $1 million are grandfathered and are not subject to the new $750,000 cap.
- Homeowners may refinance mortgage debts existing on 12/14/17 up to $1 million and still deduct the interest, so long as the new loan does not exceed the amount of the existing mortgage being refinanced.
- Repeals the deduction for interest on home equity debt through 12/31/25 unless the proceeds are used to substantially improve the residence.
- The standard deduction is now $12,000 for single individuals and $24,000 for joint returns. It is estimated that over 90% of taxpayers will elect to take the standard deduction.
- Property taxes and other state and local taxes are limited to $10,000 as itemized deductions.
- Moving expenses are repealed except for members of the Armed Forces.
- Casualty losses are only allowed provided the loss is attributable to a presidential-declared disaster.
The capital gains exclusion applying to principal residences remains unchanged. Single taxpayers are entitled to $250,000 and married taxpayers filing jointly up to $500,000 of capital gain for homes that they owned and occupied as principal residences for two out of the previous five years.
Not addressed in the new tax law, the Mortgage Forgiveness Relief Act of 2007 expired on 12/31/16. This temporary law limited exclusion of income for discharged home mortgage debt for principal homeowners who went through foreclosure, short sale or other mortgage forgiveness. Debt forgiven is considered income and even though the taxpayer may not be obligated for the debt, they would have to recognize the forgiven debt as income.
These changes could affect a taxpayers’ position and should be discussed with their tax adviser.
3. Just Listed/Sold Properties
134 Pinecroft Ct, Troutman NC
$200,000
Spectacular 3 bed/2.5 bath Ranch home nestled at the end of a quiet cul-de-sac street. Full brick veneer really make this well built home so desirable. Open floor plan features family room w/ gas fireplace, dining area, kitchen and laundry room. Master bedroom boast double sinks and walk in closet. French doors from family room open to screened in porch. New roof installed 6 months ago. Very large and private .56 acre corner lot, 2 car garage, storage shed and much more! Do not miss out....Call today!
4.Super Bowl Party
Super Bowl Drinks for Beer-Haters
Everyone loves an Arnold Palmer, the classic half-and-half combo of lemonade and sweet tea. Make it even more fun for the adults with a generous amount of your favorite bourbon. This recipe is great for parties because you can make it a day in advance. Follow the recipe as directed, omitting the ice and garnish. Store in the refrigerator in a pitcher. When you are ready to serve, stir in ice cubes and lemon slices.
If you’re looking for the best-ever margarita, put down the bottled mix and try this recipe. The secret ingredient is powdered sugar, which sweetens the drink and dissolves instantly. Serve it on the rocks or add ice and whiz the mixture in a blender to make a frozen margarita.
Looking for something a little lighter than a margarita? Try this tangy, fizzy cocktail made with fresh red grapefruit juice, your favorite citrus soda, tequila, and a jalapeno for a little bit of heat.
GO PATRIOTS!!
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