Salt Lake HBA Touts Home Ownership !!
Well I'm at it again.
Carrying the water for the Salt Lake Home Builders Association.
I can't help it. Curt Dowdle Executive Director of the Salt Lake Home Builders Association, does some great writing about Salt Lake Real Estate, and particularly new homes in SLC.
Curt is real capable of carrying his own bucket, but in the off chance that you don't read the "At Home In Utah" section of the Saturday newspaper I thought I would pass on some of his comments. Here is some of what he had to say Saturday about the benefits of home ownership.
The benefits of home ownership take on many forms, not the least of which are the financial benefits. Those financial benefits typically fall into six categories:
1. Tax deductibility of mortgage interest.
2. Tax deductibility of Real Estate taxes.
3. Capital gains exclusion on the sale of primary residence.
4. Value appreciation.
5. The dynamics of financial leverage.
6. Reduced property tax rates for "owner occupied" Real Estate.
Of course the deductibility of mortgage interest is quite clear cut; for example, with a household income of $80,000 and a $200,000 home mortgage, the owner will save an average of $1,765 in the first year of ownership.
By the end of the fifth year of homeownership, the household will save an average of $8,607 on taxes and the amount grows to to $19,488 by the end of the average period of ownership-12 years. (This calculation does not include additional savings for Utah income taxes).
Then if the owner sells the property with long term average appreciation and income growth , they would save $21,650 in capital gains taxation yielding a a total benefit of $41,138 in tax savings.
If you take into account other issues , such as the $8,000 first time home buyer tax credit, the amount of savings increases commensurately.
If you would like to discuss further some of these benefits to owning a Salt Lake City New Home give us a call,@ 801-567-0946. We'd be happy to share our experience and knowledge, and since we can't give tax or legal advise (neither does Mr. Dowdle) point you in the right direction to find someone that can.
For information about homes for sale and to see the thousands of homes and condos listed for sale in Salt lake, stop by our website @ Salt Lake Homes For Sale.
Watch this site for more reporting by Curt on the benefits of new home ownership and why you should consider looking at new homes in the Salt Lake Valley.