When tax season approaches, Raleigh homeowners often wonder how to maximize their potential deductions. One critical decision to consider is whether to itemize deductions—like mortgage interest and property taxes—or to take the flat standard deduction. In this blog post, Certified Mortgage Advisor & Raleigh Mortgage Broker Kevin Martini explains how the 2025 standard deduction increases may benefit Raleigh homeowners and prospective Raleigh homebuyers. Understanding how the standard deduction affects your tax savings can help you make informed choices and maximize your financial health.

What Is the Standard Deduction?

$30,000 for married taxpayers filing a joint return.
$15,000 for single taxpayers.

A tax deduction is an expense you can subtract from your income before paying taxes. For example, if you earn $100,000 per year and have a $10,000 tax deduction, you would only pay income tax on $90,000. Taxpayers can either itemize individual tax deductions (such as qualified home mortgage interest and property taxes) or take a flat “standard deduction.” In 2025, the standard deduction has increased to $15,000 for single taxpayers and $30,000 for married couples filing jointly, up from 2024’s limits. This increase could simplify the tax filing process for homeowners in Raleigh by eliminating the need to itemize in some instances.

How Does the Standard Deduction Impact Raleigh Homeowners & Homebuyers?

Choosing to itemize typically depends on whether your combined itemized deductions exceed the standard deduction. For example, if all your itemized deductions—including qualified home mortgage interest and property taxes—add up to less than the standard deduction, taking the standard deduction may be more beneficial. As a homeowner in Raleigh, these decisions can directly influence your financial strategy, especially as tax deductions play a significant role in overall financial planning. Consulting with a CPA is essential to understand your situation and make an informed choice for tax season.

Standard Deduction, Gift Tax Limits, and Marginal Tax Brackets for 2025

Standard Deduction:

• $30,000 for married couples filing jointly (up from $29,200 in 2024)
• $15,000 for single taxpayers and married individuals filing separately (up from $14,600 in 2024)
• $22,500 for heads of households (up from $21,900 in 2024)

Gift Tax Exclusion:

• $19,000: Annual gift tax exclusion for 2025 (up from $18,000 in 2024)
• $13,990,000: Lifetime exclusion for 2025 (up from $13,610,000 in 2024)

Marginal Tax Brackets:

• 37%: Incomes over $626,350 ($751,600 for married couples filing jointly)
• 35%: Incomes over $250,525 ($501,050 for married couples filing jointly)
• 32%: Incomes over $197,300 ($394,600 for married couples filing jointly)
• 24%: Incomes over $103,350 ($206,700 for married couples filing jointly)
• 22%: Incomes over $48,475 ($96,950 for married couples filing jointly)
• 12%: Incomes over $11,925 ($23,850 for married couples filing jointly)
• 10%: Incomes of $11,925 or less ($23,850 or less for married couples filing jointly)

This overview is provided for informational purposes by the Martini Mortgage group ONLY and does not constitute legal, tax, or financial advice. Please consult with a qualified tax advisor for specific guidance on your situation. For more information, please reference IRS Revenue Procedure 2024-40.

About Certified Mortgage Advisor & Raleigh Mortgage Broker Kevin Martini

Kevin Martini is dedicated to empowering families to build generational wealth through real estate, utilizing cutting-edge mortgage strategies. More than just a Raleigh mortgage lender, Kevin is widely regarded as one of the best Raleigh mortgage brokers due to his status as a Certified Mortgage Advisor and his commitment to a fiduciary approach, ensuring that his client’s best interests are always at the forefront. A prominent figure in both the Raleigh mortgage scene and the broader industry, Kevin has successfully originated over a billion dollars in home loans. His expertise helps clients navigate the complexities of financial planning to achieve their real estate aspirations.

As we move into fall 2024, the Raleigh housing market offers both opportunities and challenges. Whether you’re planning to buy or sell, staying informed is crucial in this ever-changing landscape. Here are the top two things you need to know—especially if you’re navigating the market with the guidance of the best mortgage brokers in Raleigh, NC.

Housing Affordability Has Improved, But Challenges Remain for Some Buyers

Good news for homebuyers: Raleigh home loan rates have decreased since the spring, making homeownership more affordable in Raleigh. But for many, the journey to buying a home can still feel out of reach. Here are two strategies to help ease the path to ownership:

Explore a Seller-Paid 2-1 Buydown

This option can be a game-changer. With a 2-1 Buydown, the seller covers part of the buyer’s mortgage interest, reducing the rate by 2% in the first year and 1% in the second year. This temporary reduction lowers monthly payments, offering you breathing room in the initial years of homeownership.

Consider Seller-Paid Points

Another powerful way to reduce your monthly payment is through seller-paid points. By lowering your interest rate at closing, you’ll benefit from long-term savings. Whether you’re working with the best mortgage lenders in Raleigh or exploring competitive offers, this strategy can save you thousands over the life of your loan.

More Homes Are Listed for Sale, But It’s Still Largely a Seller’s Market

The number of homes for sale in Raleigh has increased this fall, but inventory remains well below historical averages. Nationally, housing experts estimate a shortfall of 3 to 5 million homes, which continues to drive competition, especially among first-time buyers. Here’s how to navigate the market, no matter which side of the deal you’re on:

For Sellers

Pricing your home correctly from the start is key. Overpricing could result in your home sitting on the market too long, which might raise red flags for buyers. Pricing it right the first time helps you sell faster and secure more favorable terms. Partnering with a knowledgeable Raleigh mortgage broker can help ensure a smooth transaction, maximizing your return.

For Buyers

In this competitive market, speed is your best friend. Being financially prepared can give you the edge. Secure your mortgage approval in advance and consider getting approved for a bit more than you think you’ll need to account for appraisal discrepancies. Also, consider a renovation loan to expand your home search to properties that may need some work but offer great potential.

The first step to homeownership is NOT finding the house; it’s having a plan. A tailored mortgage strategy turns dreams into reality.

Logan Martini

Your Wealth-Building Strategist

Final Thoughts by Logan Martini

As we head deeper into fall 2024, having the right strategies and support is essential for success in Raleigh’s housing market. Whether you’re looking for the best mortgage brokers in Raleigh, NC, or need expert advice on how to navigate the buying process, staying informed can make all the difference.

Working with a trusted mortgage advisor like Logan Martini at Martini Mortgage Group ensures you’ll have the guidance and insight needed to achieve your real estate goals confidently. Ready to take the next step? Reach out today for a personalized plan tailored to your needs.

Will the Raleigh Housing Market Crash?

Time in the Market, Not Timing the Market: A Proven Strategy for Raleigh Real Estate Success

Why Securing a Raleigh Mortgage Approval Should Be at the Top of Your Homebuying To-Do List by Kevin Martini

Curious about the future of the Raleigh housing market? Many are questioning whether home prices will drop or if the market is headed for a significant downturn. To address these concerns, it’s essential to understand the key factors influencing the Raleigh real estate scene—housing supply, inflation, and Raleigh mortgage rates. These components are critical in shaping the market’s future, and by analyzing them, we can assess whether a crash is likely or if the market will remain resilient amid changes.

There Is Limited Housing Supply… And This Won’t Change Anytime Soon.

According to research from Freddie Mac and the National Association of Realtors, the U.S. faces a housing shortage of between 3 million and 5 million homes. This shortage stems from a decade of under-building, and even with a surge in construction, it will take years—if not decades—for supply to meet demand. As a result, housing supply will likely remain limited for the foreseeable future, particularly in high-demand areas like Raleigh (Triangle Area). With supply outstripping demand, home prices in Raleigh are expected to continue their upward trend, even if the pace of growth slows.

Lower Inflation Doesn’t Equal Lower Prices.

A slowdown in inflation doesn’t mean home prices will fall—it simply means they may rise more gradually. Just as grocery store prices won’t revert to previous lows if inflation drops, housing prices will likely stabilize or increase at a slower pace. If inflation cools, we might see home prices rise by 3% annually instead of the double-digit increases experienced in recent years. However, if Raleigh mortgage rates drop, the demand could surge, pushing home prices higher again. This dynamic suggests that waiting for lower prices could be a gamble.

Elevated Mortgage Rates Have Slowed Price Growth… For Now.

The record-low mortgage rates of 2020 and 2021 were a driving force behind the rapid rise in home prices. Since then, higher mortgage rates have tempered this growth, leading some prospective buyers to delay their home purchases. But with rates beginning to stabilize and even decline slightly, more buyers may reenter the market. If Raleigh mortgage rates fall further, we could see an uptick in demand that pushes prices higher again—potentially erasing any gains from waiting.

The Martini Mortgage Group Bottom Line

While various factors impact the real estate market, a Raleigh housing crash seems unlikely in the near future. With limited supply, ongoing demand, and shifting mortgage rates, home prices may not drop significantly—though the rate of increase could slow. If you’re considering buying or selling, it might be wise to act now before the market heats up once again. To navigate this evolving market and make informed decisions, connect with Raleigh Mortgage Broker Logan Martini or Certified Mortgage Advisor & Raleigh Mortgage Broker Kevin Martini at the Martini Mortgage Group. They can guide you through this dynamic landscape and help you secure the best outcomes for your real estate goals.