RE/MAX 440
John F. O'Hara

John F. O'Hara
731 W Skippack Pike  Blue Bell  PA 19422
Phone:  610-277-4060
Office:  215-643-3200
Cell:  267-481-1786
Fax:  267-354-6973

My Blog

3 Lesser-Known Tax Breaks Homeowners Miss

January 19, 2016 2:54 am

Did you know most homeowners can write off all mortgage interest up to $1.1 million for primary and secondary residences, as well as property taxes? Credits for property taxes and other tax breaks are also offered to in 21 states and the District of Columbia.

But mortgage interest and property taxes are not the only tax savings homeowners can enjoy. Look to see if you qualify for other deductions, including:

Discount Points: You can deduct points in the year that you pay them; you can only use this tax break on your primary residence; paying points must be an established business practice in your area.

Profits: In 1997, Congress passed a law that made the first $250,000 in profits ($500,000 for married couples) tax-free as long as you lived in the home for two of the last five years before the sale.

It's important to remember that calculating federal (and local) income taxes can be highly complicated. Any information provided here should always be validated by a licensed tax professional before taking any tax deduction.

The Congressional Research Service (CRS) reports that in 2012, Americans took $68.5 billion in mortgage interest deductions (MID) when filing their tax returns, saving an average of $1,900.

Published with permission from RISMedia.


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7 Ways to Cut Winter Heating Bills

January 19, 2016 2:54 am

High winter heating bills can make mincemeat of your budget—but a few tricks can help keep you toasty and warm this winter and keep heating costs under control. Home improvement experts suggest these seven tips:

1. Service the Furnace – Seems like a no-brainer, but many homeowners forget or put off having the furnace checked each fall. Being certain that your system is working efficiently can help save you big bucks.

2. Flip the Ceiling Fan – Warm air rises. While it may seem odd to have the ceiling fan on in cold weather, flipping the switch to spin in a clockwise manner will help to warm up the room.

3. Reflect the Radiator – If you have radiators in your home, place a sheet of aluminum foil behind each one. The radiator will heat the foil, which will reflect heat back into the room.

4. Put a Stop to Drafty Doors – Warm air escapes and cold air enters from the space under your front door. Stop the leakage with a piece of foam pipe insulation cut to the right size. It’s lightweight and easy to remove and reuse as needed.

5. Put a Jacket on Your Water Heater – According to the U.S. Department of Energy, you can save an average of $20 a month on your heating bill just by wrapping your water heater in an insulating blanket, available at most home stores.

6. Consider the Cost of Exhaust – Using the exhaust fan is a good way to remove humid air from the bathroom after showering, but turn it off as soon as feasible. Using the fans for long periods can run up your heating bill because the warm air pulled out is replaced with cold air, which needs to be heated.

7. Let the Sun Shine In – Many families leave their blinds or drapes closed when they leave home for the day. Letting the daytime sun in–especially in south-facing rooms–can bring in enough warmth to help your rooms stay warmer into the evening even after the window coverings are closed.

Published with permission from RISMedia.


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