Professional Documents
Culture Documents
2011
1) Entry/FrontDoorReplacement(withasteeldoor) 73%oftheaveragecostof$1,238wasrecouped 2) AtticBedroom(convertingunfinishedatticspace intoabedroomandbathroom)72.5%ofthe averagecostof$50,148wasrecouped 3) MinorKitchenRemodel[installingnewcabinetfaces (leavetheboxes),replacingsomeappliances,and replacinglaminatecountertops]72.1%ofthe averagecostof$19,588wasrecouped 4) GarageDoorReplacement(motorized)71.9%of theaveragecostof$1,512wasrecouped 5) DeckAddition(wood)70.1%oftheaveragecostof $10,350wasrecouped 6) SidingReplacement(vinyl)69.5%oftheaverage costof$11,720wasrecouped 7) WindowReplacement(vinyl)68%oftheaverage costof$11,319wasrecouped 8) WindowReplacement(wood)67.5%ofthe averagecostof$12,229wasrecouped 9) BasementRemodel(finishabasementtoan entertainingarea)66.8%oftheaveragecostof $63,378wasrecouped 10) MajorKitchenRemodel(guttingyourentirekitchen andrebuildingit)65.7%oftheaveragecostof $57,494wasrecouped
This 5,500 square foot home contains 4 bedrooms and 5 bathrooms and sits on a 101,060 square foot lot. This home features fantastic ocean views, a movie theatre, a separate media room, large exterior decks, a pool and an outdoor entertaining area complete with a fire pit and surround sound. The address: 3556 Sweetwater Mesa Road, Malibu, CA Asking Price: $13,500,000 History: Purchased in 2005 for $6.55 million Current Owner: Matthew Perry Theres More: This is the third home that Perry has tried to unload in the last few months; he also listed a Hollywood Hills estate for over $5.6 million and a West Hollywood condo for just under $3 million. WhatsYourTwoCents? AccordingtoarecentNewYorkTimesStudy,42%of thosepolledblamelendersforthehousingcrash, while29%blameregulators.Also,45%ofrespondents thinkthegovernmentshouldbedoingmoretohelp thehousingmarketand53%ofthosepolledthinkthe governmentshouldhelpthosehavingtroublepaying theirmortgages.
Reader Question: What housing expenses are tax deductible? This reader specifically asked about his owner-occupied home, so lets tackle that (investment properties are treated differently). The IRS allows for taxpayers to deduct the interest on loans on your main home (first mortgage, second mortgage, equity lines, etc.) and a vacation home up to $1 million (thats up to $1 million in loans, not $1 million of interest). However, the IRS also states that you may not deduct interest on more than $100,000 of home equity debt. In addition to mortgage interest, you may typically deduct your real estate taxes and points from a loan. These items would show up on Schedule A (as itemized deductions) of your tax return. Keep in mind that you may be able to deduct these expenses a lot depends on your specific situation as well as the numerous caveats and exceptions in the tax code; it is best to talk to your accountant or tax preparer.