Interests on owner occupied home mortgages is a deductible item on Federal Income Tax Returns. The deductions enables homeowners to recoup part of the mortgage payments through a decrease in their taxes. Rent on owner occupied homes, however, is not a deductible item. This program captures your effective rate and estimates your marginal rate in determining the after tax benefits of mortgage payment verses rent. The results of the calculations are a rough estimate and you should contact a tax professional for advice. There are other important considerations such as impact of state income taxes that should be reviewed. This program is not a pre-qualifier but merely compares the after tax benefits of owning a home which is financed with a mortgage. You may input last year's income and Federal Income Tax or estimate your annual income and Federal Tax.