Tax Savings Calculator

Homeowners vs. Renters: The Tax Savings Breakdown

One of the biggest financial advantages of homeownership is the tax benefits. Use Lisa Copeland's calculator to see how much you could save on taxes by buying a home instead of renting.

Section 1

Your Rental Situation

See the true cost of renting and what you are missing in tax benefits.

$
%
$
years

What Renting Is Costing You

Total rent paid over 5 years $0
Total rent paid over 10 years $0
Total renters insurance paid $0
Tax benefit from renting $0

You will spend $0 on rent over 10 years with ZERO tax benefits.

Section 2

Your Home Purchase Scenario

Enter your target home details to see your mortgage breakdown and deductible expenses.

$
%
%
%

Texas average: ~2.1% (adjust based on your city)

$

State: Texas (no state income tax)

Year 1 Mortgage Breakdown

Principal & Interest (monthly) $0
Property Tax (monthly) $0
Insurance (monthly) $0
Year 1 interest paid $0
Year 1 property taxes paid $0
Year 1 total deductible expenses $0

Section 3

Tax Savings Calculator

See how much you could save on federal income taxes by itemizing mortgage deductions.

$
%

Based on 2025-2026 federal brackets. Single: 10%-37%, Married: 10%-37%

Your Tax Savings Analysis

Mortgage interest deduction $0
Property tax deduction (SALT capped at $10K) $0
Total itemized deductions $0
Standard deduction (for comparison) $0

YOUR TAX SAVINGS

$0

per year

5 Year

$0

10 Year

$0

30 Year

$0

Tax Benefit Comparison (Annual)

Renting (no tax benefit) $0
Buying (tax savings) $0

Cumulative Tax Savings Over Time

Year 0 Year 2 Year 4 Year 6 Year 8 Year 10
$0 $0 $0

Section 4

Texas-Specific Benefits

Texas offers unique tax advantages that make homeownership even more compelling.

No State Income Tax

Texas is one of 9 states with no state income tax. This means every dollar you earn goes further towards your mortgage and investments. Compared to states with 5-10% income tax, Texas homeowners save thousands annually.

Homestead Exemption

Texas homeowners can reduce their home's taxable value by up to $100,000 through the homestead exemption. For a $350,000 home at 2.1% tax rate, that saves approximately $2,100 per year.

Over 65 Exemption

Homeowners aged 65 and older receive an additional $10,000 reduction in taxable value on top of the general homestead exemption. Combined with school tax freezes, this can mean significant savings in retirement.

Homestead Exemption Savings Calculator

$

Texas homeowners save an average of $0 per year with the homestead exemption.

Section 5

Rent vs. Buy: 10-Year Comparison

See the full financial picture side by side.

Renting

Total paid (10 yrs) $0
Tax savings $0
Equity built $0
Net cost $0
Recommended

Buying

Total paid (10 yrs) $0
Tax savings (10 yrs) $0
Equity built (10 yrs) $0
Net cost $0

The difference: $0 in wealth building over 10 years

10-Year Wealth Building Comparison

Renting (wealth: $0) $0
Buying (wealth + tax savings) $0

Section 6

Amortization Schedule โ€” First 5 Years

See how your mortgage payments shift from interest to principal over time.

Year Interest Paid Principal Paid Total Equity
Year 1 $0 $0 $0
Year 2 $0 $0 $0
Year 3 $0 $0 $0
Year 4 $0 $0 $0
Year 5 $0 $0 $0
Total equity built (5 yrs) $0

Your Personalized Summary

Your Financial Advantage of Buying

$0

Tax savings over 10 years

$0

Equity built over 10 years

$0

Total financial advantage of buying

That is $0 per year in wealth you are building instead of giving to your landlord.

Renting ($0 wealth) Buying

Ready to Start Building Wealth Through Homeownership?

Lisa Copeland helps first-time buyers every day. As a financial expert with $5B+ in career sales, she will help you understand your tax advantages and find the right home for your future.

Tell Lisa About Your Home Buying Goals

Prefer to call? Reach Lisa directly at (512) 944-5472

The Real Cost

Why Renting Is More Expensive Than You Think

When you rent, you are paying someone else's mortgage with zero tax benefit. Here is what that really costs you.

No Mortgage Interest Deduction

Homeowners deduct mortgage interest on loans up to $750,000. Renters get nothing. On a typical $350K home at 6.5%, that is ~$22,500 in deductible interest Year 1.

No Property Tax Deduction

Property taxes are deductible up to the $10,000 SALT cap. Renters pay property tax through their rent but cannot deduct it. That is lost savings every year.

No Equity, No Wealth

Every rent dollar is gone forever. Every mortgage dollar builds equity. Over 10 years at 3% appreciation, a $350K home gains over $120K in value.

Tax Guide

First-Time Buyer Tax Benefits in Texas

  • Mortgage Interest Deduction

    Deduct interest on up to $750,000 of mortgage debt for your primary residence. This is your biggest tax benefit as a homeowner.

  • Property Tax Deduction (SALT)

    Deduct up to $10,000 in state and local taxes (property tax + state income tax combined). Since Texas has no income tax, this cap is for property taxes only.

  • Points / Origination Fees

    Mortgage points paid at closing are deductible in the year you purchase your home. Each point (1% of loan amount) is typically deductible.

  • PMI Deduction (May Apply)

    Private mortgage insurance premiums may be deductible through 2025 for qualified borrowers making under certain income limits.

  • Capital Gains Exclusion

    When you sell your primary residence, the first $250,000 of gain ($500,000 married filing jointly) is tax-free if you have lived in the home 2 of the last 5 years.

Her Process

How Lisa Helps First-Time Buyers

1

Free Consultation & Financial Review

Lisa personally reviews your financial picture including credit, income, and goals. She identifies tax savings opportunities and connects you with a trusted lender.

2

Personalized Home Search & Strategy

Lisa curates homes that fit your budget and goals, schedules showings, and helps you find the right property with the best long-term tax and equity potential.

3

Closing Support & Beyond

From offer to close, Lisa negotiates on your behalf and guides you through every step. She stays in touch for years, helping with tax questions, referrals, and future moves.

Disclaimer

This calculator provides estimates only based on the information you entered. Tax laws, brackets, and deductions are subject to change. The figures shown do not constitute financial or tax advice. Consult a qualified tax professional for personalized advice regarding your specific tax situation. Lisa Copeland is a real estate agent, not a tax advisor or CPA.

Ready to Work With the Best? Contact Lisa Copeland Today

Whether you are buying, selling, investing, or exploring options, the best negotiator in Central Texas is ready to put $5B+ in career experience to work for you.

Prefer to call? Reach Lisa directly at (512) 944-5472

Book a Consultation

Call (512) 944-5472

Tap to call directly from your mobile phone

Or Reach Out Directly

Phone

(512) 944-5472

Available 7 days a week

Email

lisa@lisacopeland.com

Responds within 24 hours

Office

Lisa Copeland
210 E. Central
Belton, TX 76513

License

TX Salesperson #733507