The real estate world just got some big updates. Since the government spending bill in late 2022, a newer tax\/spending law (\u201cOne Big Beautiful Bill\u201d) passed in 2025 made important changes that affect homeowners, investors, and the housing market. Here\u2019s what matters.<\/p>\n\n\n\n
| What Changed<\/th> | Why It Helps You<\/th><\/tr><\/thead> | ||||||
|---|---|---|---|---|---|---|---|
Tax Relief for Homeowners & Real Estate Professionals<\/strong><\/td>| \u2022 Mortgage interest deduction is now permanently kept. | \u2022 The state and local tax (SALT) deduction cap was raised from $10,000 \u2192 $40,000<\/strong> (but only for households making under $500,000). \u2022 Qualified Business Income (QBI) Deduction (helps many real estate agents, landlords, small business owners) was increased and made more stable. <\/td><\/tr> Affordable Housing & Investment Incentives<\/strong><\/td> | \u2022 Low\u2011Income Housing Tax Credit (LIHTC) was expanded\u2014so more incentives for building or preserving affordable housing. | \u2022 Protection of \u201clike\u2011kind exchanges\u201d (Section 1031) helps property investors swap investments without big tax hits. \u2022 Opportunity Zones (areas incentivized for investment) got renewed support. <\/td><\/tr> Family \/ Wealth Building Supports<\/strong><\/td> | \u2022 Child Tax Credit boosted to ~$2,200 (temporarily) and indexed to inflation later. That helps families manage housing + living costs. | \u2022 Higher estate & gift tax exemption (i.e. more property\/wealth can be passed on without big tax. Helps generational wealth). <\/td><\/tr> More Stable Tax Rates<\/strong><\/td> | The lower tax rates set under the 2017 law are now made permanent and will be adjusted for inflation. That gives homeowners more predictability. <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n | What Still Matters from the 2022 Spending Package<\/h2>\n\n\n\nSome things from that older package are still in effect or have been built upon:<\/p>\n\n\n\n |