Before the Tax Cuts and Jobs Act of 2017 bill was passed, buying a home was a big incentive to taxpayers looking to reduce their annual taxes. While some states do have a benefit calculation on rental costs, and home office users can add rental costs to their expenses, for most taxpayers the tax breaks received on the real estate taxes and mortgage interest you pay through homeownership were far more beneficial than renting. In addition, building equity in your home for possible use later was a nice added bonus. With the changes put in place by the TCJA, taxpayers are starting to wonder if homeownership is a valuable as it once was.
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