On 24/07/2011 8:03 AM, John H wrote:
On Sun, 24 Jul 2011 09:45:25 -0400, Florida wrote:

On 7/24/2011 9:15 AM, John H wrote:
On Jul 23, 9:44 pm, Florida wrote:
On 7/23/2011 9:35 PM, wrote:







On Sat, 23 Jul 2011 20:58:14 -0400,
wrote:
On 7/23/11 7:55 PM, LilAbner wrote:
On 7/23/2011 7:45 PM, John H wrote:
http://tinyurl.com/3r5l8ur
I wonder if the Democrats realize that it doesn't take a 'yacht' to
have a head, stove, and bed.
Hell, I had that in my 21' Proline.
If they want to do away with a second home mortgage interest
deduction, then do it for *all* second
homes.
All boats and all second homes over a certain value...that'll do it.
What if you travel around in an RV and trailer a boat?
What if you live on your large yacht and have a very big dinghy?
LOL
Eliminate all mortgage interest deductions. That'll do it better.
At least it would be fair across the board. Might not be popular and
might have a somewhat detrimental impact on the housing market. It
would probably help the rental market though.
Fair would be nice.

Agreed.

There is no housing market currently.

Actually there is, but it would get a hell of a lot worse without the interest deduction.

Why should the IRS be involved in giving perks for taxpayers receiving
loans?

Already discussed. The IRS didn't do it, our presidents and congressfolk did it.

At current loan rates, are we talking a lot of money in interest deductions?

Well, look at this:

Basic info
Interest rate [?] 4.250%
APR (annual percentage rate) [?] 4.560%
Loan type [?] 30-year fixed
Points [?] 0.500
Loan amount [?] $400,000
Pre-payment penalty [?] None
Lock period [?] 30 days
Monthly payment
Principal& interest [?] $1,967

Now, $400,000 divided by 360 payments gives $1111 as the amount towards principal, which would leave
$856 of interest paid each month. That would give me a deduction of $10,272. That's a pretty
significant deduction.

The IRS is trying to manipulate our lives with deductions, exemptions,
and credits.

Not the IRS, your president and congressfolk.

*It's not fair*

That's what I said up front!

Not really quite correct. $400K mortgage @ 4.5% over 30 years is about
$329.6K in interest plus the principle of $400K. A financial commitment
of $730K.

Your mortgage deductibility is determined by the interest portion of the
$2027 monthly payment, which is almost $17.9K deductibility the first
year and $582 the last year.

People bitch about not being rich need to know you can't be truly rich
and in debt. Debt costs money for no other value than the advance of money.

But how many would guess if in the 2nd year of the mortgage, you put
just $10K extra down on the principle, keep the payments the same, you
would save $26K? Easiest money you would ever save. As it is all that
interest that makes you poor and banks rich.

--
Obama, enslaving Americans with debt-tax slavery for a spending binge.
Doesn't even borrow real money, Bernanke just creates it like a
counterfeiter. .