Housing Industry Seeks Rethink of Mortgage Interest Tax Break

The housing and real estate industry is eyeing the 2025 tax fight as an opportunity to modify what was once a prized tax break: the mortgage interest deduction.

The ability to deduct mortgage interest payments had long been a key perk to home ownership. But the 2017 tax law watered down the deduction by limiting it to the first $750,000 in principal value, down from $1 million, as well as making it less desirable because of a higher standard deduction.

Those changes expire at the end of 2025, but the housing industry is fighting for new policy rather than restoring ...