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What Tax Reform Means Here at Home

Media Contact
Christine Edwards
Space Coast Association of REALTORS®

Tax reform proposals swirling around Washington, D.C. right now make some sweeping changes to the tax benefits that homeowners have come to depend on. Here in Florida, it has major implications.

According to the National Association of REALTORS®, 1,449,240 Floridian homeowners claimed a deduction for mortgage interest in 2015. The grand total: $3,374,264,750 in deductions.

That deduction, however, will likely have far less value if Congress goes through with a plan to double the standard deduction, as far fewer homeowners would itemize their taxes, taking the MID off the table.

That's far from the only deduction homeowners will lose out on, either. Homeowners are currently allowed to deduct the property taxes they pay to state and local governments, but that deduction is on the chopping block as well.

The most recent IRS data available shows that at a marginal rate of 25 percent, the average taxpayer saved $1,278 in taxes as a result of property tax deductions in 2015. Congress is looking to reclaim those savings, taking it right from the pockets of homeowners.

That means homeowners will experience "double taxation" as their income is taxed at the federal level and then again for state and local property taxes.

Tax reform is important, but the final product should reflect the tremendous value that homeownership offers the community. If you own a home, or aspire to someday, you'd be wise to let your representative know where you stand.

About the Space Coast Association of REALTORS®

Since 1959, the Space Coast Association of REALTORS® has been a professional trade association that provides services to our local REALTOR® community. Our membership base is comprised of more than 4,100 REALTORS® and Business Partner Members that service Brevard County and adhere to a strict Code of Ethics when working with one another and the general public. The Space Coast Association of REALTORS® takes an active part in community programs and pursues projects our members support to further real estate interests. The protection of private property rights is always our top priority.

For more information, contact Christine Edwards at 321-242-2211 or via email at christine.edwards@space321.com.