Now that homeowners can’t deduct their full state property taxes from their federal income taxes, the cost of owning and maintaining a home could rise significantly. A new report from NPR suggests that those costs will ultimately be paid by tenants, with landlords raising rents across the country – especially at the lower end of the rental market.
That could get even worse, NPR suggests, if the new lower tax rates also make the Low Income Housing Tax Credits that developers get if they construct affordable homes less attractive.
More expenses for landlords combined with fewer new affordable units could create a significant crunch on renters.
It’s more important than ever to take advantage of the new tax bill and lock in your savings. Contact Tax Ninja for a consultation.