Maximum Mortgage Interest Deduction 2025

Maximum Mortgage Interest Deduction 2025. You can deduct home mortgage interest on the first $750,000 ($375,000 if married filing separately) of indebtedness. It allows taxpayers to deduct interest paid up to $750,000 ($375,000 for married filing separately) worth of principal (the original amount borrowed) on.

However, under the new rules, you can only deduct interest on loans valued at a. To maximize your mortgage interest tax deduction, utilize all your itemized deductions so they exceed the standard income tax deduction allowed by the internal revenue service.