Q&A
1. Which municipalities offer residential property tax exemption?
According to the state government website, Below is a list of municipalities with the residential exemption and the dollar impact of the exemption:
2. What is the heating cost by various technology?
The heating cost for each type varies year to year, but in general natural gas is the most cost efficient while electric baseboards are the least.
Checkout this report from mass.gov
3. Which are the best school districts in Massachusetts?
Ranking varies year-to-year. The top 3 school districts are Weston, Hopkinton, and Wellesley according to Niche 2023 report
4.What are the tax benefits of owning a home?
Below are tax deductible in current year unless noted otherwise
For residence:
Mortgage interest (Itemized deduction only, capped at $750k mortgage) (form 1098)
Mortgage points paid at closing
Private mortgage insurance (from 1098)
Property Tax (subject to SALT cap and for itemized return only)
Tax credit - Solar installation (purchase or finance only)
Capital gain exemption - Exclusion of gain from sale of principal residence (IRS Section 121)
For investment:
Mortgage interest (form 1098)
Mortgage points paid at closing
Private mortgage insurance
Landlord Insurance
Property Tax
Home inspection
HOA fee and Utilities
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Management/ Professional fee
Related auto expense
Related home office expense
Startup expense
Repair and maintenance
May need to depreciate - improvement
Need to depreciate - Loan cost (including origination fee, credit report, appraisal, etc)
Need to depreciate - Property cost (including title insurance, attorney fee, transfer / stamps tax, recording fee, repair before putting into service, etc)
This list is for reference only. Please consult with a tax professional