Deduct the interest on loans from his residence: A fiscal, social, popular

Announced as a priority tax by Nicolas Sarkozy, the possibility for a person wishing to become a homeowner to deduct interest on loans related to the purchase of a property will be available next September.

The deduction of loan interest for the acquisition of real estate so far as is possible for rental housing. This is part of the tax deductions that can lead to a shortfall in land. The owner or lessor must complete the declaration in 2044 on property income. Other deductions are also possible as the work or property taxes.

But Nicolas Sarkozy wants to extend the possibility of deducting interest on loans to individuals who want to become homeowners. Currently, 50% of French people are in this case. The purpose of this measure is to increase this number to 70% as soon as possible.

In addition to the tax side of the measure, the new government of Nicolas Sarkozy shows the social aspect of such a proposal. In addition to the Act Borloo that allows home buyers to 100,000 euros, this should enable the construction of social housing in large numbers and to ensure that their occupants become owners.

The loan interest deduction for primary residence, however, faces some uncertainty. First, there exists a cap on that? Probably yes, but how high? Then what will happen there for tax-payers? Probably a tax credit but how much? Finally, this measure does allow property prices to curb inflation, the constant for about ten years? It is very possible!

In any case, this measure will allow the most modest to deduct loan interest of his principal residence or to obtain a tax credit and thus to access the property is a measure of both fiscal and social and especially popular!