Most people see homeownership as a string of bills. Mortgage. Maintenance. Insurance. Taxes. It adds up fast. But here’s what a lot of Grand Forks homeowners overlook: your home can actually pay you back come tax season.
If you own a home in Grand Forks, ND, you might qualify for tax deductions and credits that can lower your taxable income or boost your refund. Here’s how to take advantage of it.
Disclaimer:
I am a licensed real estate agent, not a tax professional. The information provided is for general guidance only and should not be considered tax advice. For personalized advice, please consult a certified tax advisor or financial professional.
Grand Forks Homeowners: These Tax Perks Are for You
1. Mortgage Interest Deduction
You can deduct mortgage interest on up to $750,000 of home loan debt ($375,000 if married filing separately). In those early years when interest is a big chunk of your payment, this deduction packs a punch.
2. Property Tax Deduction
If you itemize, you can deduct up to $10,000 in combined state and local property taxes ($5,000 if filing separately). Yes, that includes what you paid to Grand Forks County. Also, don’t forget to apply for your Primary Residence Credit every year in North Dakota. “Homeowners with an approved application may receive up to a $500 credit against their property tax obligation.” (nd.gov)
3. Home Office Deduction
Run a business from your home? You may be able to deduct a portion of expenses like utilities, internet, and even part of your mortgage or rent. Key rule: that space must be used exclusively for work.
4. Energy-Efficient Upgrade Credits
If you installed new insulation, energy-efficient windows, or solar panels, the IRS offers a credit for up to 30% of qualifying costs. Grand Forks winters aren’t forgiving, so if you upgraded to cut energy use, it could pay off twice.
Renters vs. Homeowners: Who Wins at Tax Time?
Renters in Grand Forks:
- Pay monthly rent without long-term return
- No property tax deductions
- Limited home office write-offs
- Improvements benefit the landlord, not you
- No equity or tax advantages
Homeowners in Grand Forks:
- Mortgage interest may be deductible
- Property taxes (up to $10,000) may be deductible
- Self-employed? Home office expenses may be deductible
- Energy-efficient improvements can earn you tax credits
- Build equity and enjoy tax perks
Your Grand Forks Homeowner Tax Checklist
Before you file your taxes, gather these:
- Form 1098 from your lender (shows mortgage interest paid)
- Property tax statements from Grand Forks County
- Receipts for home upgrades (especially energy-efficient projects)
- Home office documentation (square footage, utility bills, business use)
- Closing docs if you bought or sold a home
- Records of previous energy tax credits (for multi-year upgrades like solar)
One Last Tip for Grand Forks Homeowners
The right paperwork can put serious money back in your pocket, but every homeowner’s situation is a little different. If you worked remotely, sold your home, or made major upgrades last year, it’s worth talking to a local tax pro before you file.
Own a home in Grand Forks? Use it to your advantage—especially during tax time. Ready to start. your home search and start getting some tax breaks? Let’s talk!
Source: IRS
