Posted by TJ on Wednesday June 4, 2008 @ 04:06 PM
[Tags: accounting, taxes, hints]

For all you home buyers out there Private Mortgage Insurance (PMI) is deductible for contracts signed in 2007 or after. This was enacted into law as part of the Homeowners Protection Act of 1998 as in effect on December 20, 2006. PMI is required for mortgage where less than 20% is put down on a home purchase.

Source: http://www.irs.gov/publications/p936/ar02.html#d0e1576

Also make have your lender cancel your PMI once your equity in the home is greater than 20%.
More: http://bankrate.com/brm/green/mtg/basics7-4a.asp?caret=38