Buying a house is often seen as a major milestone, but in the current housing market, becoming a homeowner can be both difficult and costly.
The good news is that a number of tax breaks for homeowners and homebuyers may help reduce those costs.
For example, the state and local tax (SALT) deduction can be worth as much as $40,400 for itemizers in tax year 2026. Likewise, the capital gains tax exclusion lets eligible home sellers leave a portion of their profit off their federal income tax return.
Even though these tax benefits can be complicated and not everyone will qualify, they may generate substantial savings for those who do. Here's a closer look at what to know.
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