Buying property for summer fun? Here are a few tips when looking for your perfect summer home.
- The Internal Revenue Service considers a vacation home or a second home one that is permanently in place (even though it could be moved, like an RV) and offers sleeping, cooking and toilet facilities.
- For tax purposes, you can deduct “qualified residence interest” on a mortgage secured by a second home – that’s in addition to interest that you pay on a mortgage that is your primary residence.
- In addition to mortgage interest, local and state real estate taxes paid on a second or vacation home are also generally deductible.
Read the rest of the tips in the full article here.