Re:Is It Better to Rent or Buy?
by leishulang on Friday May 23, 2014 @12:27PM
(#7790015)
why higher marginal tax rate makes buying better? I don't get it.
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Re:Is It Better to Rent or Buy?
by dragonwriter on Friday May 23, 2014 @12:36PM
(#7790057)
Higher marginal tax rates increases the $ value of mortgage interest deduction for the same amount of mortgage interest payment (since a deduction reduces taxable income, but the amount of reduction in actual tax liability is the reduction in taxable income times the marginal tax rate.)
Re:Is It Better to Rent or Buy?
by leishulang on Friday May 23, 2014 @01:07PM
(#7790200)
I see, but most mortgage doesn't have interest income tax deduction here in Canada?
edit: Just check interweb, only mortgage that being used to invest for more incomes are eligible for tax reduction in Canada, thus more trouble to convert a house mortgage to investment mortgage.