The IRS is guilty of poor computer security, including controls on access to sensitive taxpayer information. Be sure to consult with your tax professional before placing your home on the market in order to be certain that you will qualify for the gain exclusion. When most taxpayers start looking for a home loan, their first concern is the interest rte. The mortgage rate represents the single most expensive part of your decision to buy a home. Over a 30-year period, you are likely to pay more in interest than you will for the house itself.
Points represent a one-time fee paid to the lender.
The more points you pay at closing, the lower interest rate available. Points are the price that you, the borrower, pay for obtaining a certain interest rate. No two taxpayers may find themselves in the same situation with the same right answer. Sometimes, it pays to pay more at the outset to gain more over the long term. Lets use an example with real numbers to illustrate the point.