[{"data":1,"prerenderedAt":7},["ShallowReactive",2],{"faq-standard-7902":3},{"rec_id":4,"title":5,"text":6},"7902","Bought a House during 2025","When you buy a home and have a mortgage, you will get a \u003Ci>Form 1098, Mortgage Interest Statement\u003C/i> each year by January 31. The \u003Ci>Form 1098\u003C/i> should have the amount of home mortgage interest, points paid on your loan, private mortgage insurance (PMI), and real estate taxes. You will enter your \u003Ci>Form 1098\u003C/i> on the \u003Ci>Homeowner Expenses\u003C/i> screen of the FreeTaxUSA software.\n\u003Cbr>\u003Cbr>\nMenu Path: \u003Ci>Deductions/Credits > Itemized Deductions > Homeowner Expenses (1098)\u003C/i>\n\u003Cbr>\u003Cbr>\nSome of your settlement fees on your Closing Disclosure are tax deductible. Real estate taxes and points found on your settlement statement are usually deductible on \u003Ci>Schedule A\u003C/i> as itemized deductions. Mortgage interest (and sometimes points) shown on the settlement statement is usually already included in the \u003Ci>Form 1098\u003C/i> you receive from your mortgage lender. Other settlement fees, such as title fees, legal fees, and recording fees, are not tax deductible, but they are added to the cost basis of the home you purchased. \n\u003Cbr>\u003Cbr>\nKeep your Closing Disclosure so you know what your cost basis is in your home. The sale of a home is usually tax free if the gain is less than $250,000 ($500,000 if married). However, cost basis is important to keep track of if you ever rent your home or have a home office and take depreciation expense on your home.",1777391471523]