Wednesday, 18 January 2012
Homeownership is going to be more costly this year because of little publicized changes to the tax code as part of the recent payroll tax extension. No longer will mortgage holders be able to deduct the premiums they pay for mortgage insurance if they have conventional, FHA or VA loans. And new fees are going to be charged for the use of loans guaranteed by Fannie Mae or Freddie Mac. Lenders are likely to pass those surtax fees on to the borrowers. But, interest rates are still very low and the experts are predicting that they will hover around 4% for the rest of the year.
