It’s official. The new Tax Cuts and Jobs Act, just signed into law by the President, has killed the home equity deduction as of January 1, 2018.
“There is no grandfathering,” points out Greg McBride, chief financial analyst at Bankrate.com. “A lot of people may think: ‘I’m glad I got mine already.’ Nuh-uh. You’re going to get hit by this just as much.”
Jana Kasperkevic, “The home equity loan interest deduction is dead. What does it mean for homeowners?” Marketplace, December 22, 2017
The Takeaway: We’ll share more insights into the new Tax Cuts and Jobs Act later this month, explain how to adapt to the changes, and share strategies you can use to cut your taxes. Clients with home equity loans should contact us in January to discuss how to handle this now NON-deductible loan.