I bought a house and never benefited from the "sacred mortgage deduction". I suppose if I had bought out of my range it might have been different, but I wonder how many middle class folks actually save anything with it. I would hazard a guess that they are upper-middle-class and/or spending more than would be prudent.
The most I ever made in one calendar year was just over $62,000 GROSS.
I benefited every year from the mortgage deduction, and would still be doing so-—if I earned enough money to qualify to even file a return—and if I didn’t already OWN my house, free & clear. I gave up a log house on acreage which I loved to have the funds to buy free & clear in a smaller house on similar acreage in a more rural area. I miss that log house, tho. IF I ever have real money again, I will look to buy/build another log house on even larger acreage.
“I bought a house and never benefited from the “sacred mortgage deduction”. I suppose if I had bought out of my range it might have been different, but I wonder how many middle class folks actually save anything with it. I would hazard a guess that they are upper-middle-class and/or spending more than would be prudent.’
That is correct. The Mortgage Interest Loophole (as Rush calls it) doesn’t affect the bottom half of taxpayer, since the standard deduction is so big. The REAL WINNERS from this are, just as you say, upper middle-class (and higher) people with large mortgages (i.e., in BLUE states). Let them sacrifice for once.
The pro-debt tax policies need to end, asap.
You live where housing is cheap. In much of the country the mortgage deduction is huge—and yes, more huge for the upper-middle class.