Mortgage Interest Deduction — Tax Deduction Guide 2026
Deduct interest paid on up to $750,000 of mortgage debt for your primary or secondary home.
Eligibility
Homeowners with mortgage on primary or secondary residence
Tax Savings Calculator
Estimated Tax Savings
$1,100
At the 22% tax bracket, a $5,000 deduction saves you $1,100 in taxes.
Savings by Tax Bracket
Requirements
- 1Must itemize deductions
- 2Mortgage on qualified home
- 3Limited to $750K mortgage debt
Common Mistakes to Avoid
- !Forgetting PMI premiums
- !Not tracking home equity loan interest
Required Tax Forms
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Frequently Asked Questions
What is the Mortgage Interest Deduction?
Deduct interest paid on up to $750,000 of mortgage debt for your primary or secondary home.
Who is eligible for the Mortgage Interest Deduction?
Homeowners with mortgage on primary or secondary residence
How much can I save with the Mortgage Interest Deduction?
The average tax savings is $3,500 per year. The maximum deduction is $750,000. Your actual savings depend on your tax bracket and qualifying amount.
What forms do I need for the Mortgage Interest Deduction?
You'll need to file Schedule A and Form 1098 to claim this deduction.
What are common mistakes with the Mortgage Interest Deduction?
Common mistakes include: Forgetting PMI premiums; Not tracking home equity loan interest. Always double-check requirements before filing.
Is the Mortgage Interest Deduction worth claiming?
With average savings of $3,500, the mortgage interest deduction is worthwhile for most eligible taxpayers. Make sure you meet all eligibility requirements.