I’m a CPA: 6 Reasons Homebuyers From 2025 Should Hire a Pro for Their Taxes
When you bought your home last year, your chief concerns probably involved locking in the best mortgage possible — and then getting rid of that ghastly wallpaper in the dining room. Now that the dust has settled and that wallpaper is gone, it’s time to consider your taxes.
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Doing your taxes as a homebuyer from 2025 isn't going to be as easy as redoing your dining room. While you may be tempted to go it alone, there are several reasons you’re better off paying for the services of a professional. To learn more about why you need tax help from a pro, MoneyLion talked to one. We connected with Kyle Paxton, a CPA and real estate tax director at James Moore & Co.
1. Homebuying Is Different Today
For Paxton, one of the biggest reasons you’ll need a tax professional in your corner after buying a home is the simple fact that homebuying today is very different from what it was even a few years ago.
“Based on what we’ve seen since the pandemic, buyers are prioritizing larger homes, dedicated workspaces and upgraded features,” he said. “Those decisions often come with more complex financial and tax implications.”
Higher purchase prices, larger mortgages and changing work patterns can all affect how your home shows up on your tax return — and not always in obvious ways.
2. The Financial Picture Is More Complex Than Just the Purchase Price
Traditionally, discussions around the financial impact of homebuying focused largely on the cost of the property itself. But Paxton says things aren’t always so simple today, as buyers increasingly stretch into larger homes, purchase second properties or take on homes that require renovations.
“That introduces considerations like interest deductibility limits, property tax caps and how improvements are treated from a tax standpoint,” he said.
Point-blank: These are tax issues most homebuyers aren't equipped to navigate on their own. A tax professional can help you understand what applies to your situation and help you avoid costly mistakes when filing.
3. Remote Work Has Created Multistate Tax Considerations
If you’re one of the many people who now work remotely — or who relocated after buying your home — Paxton says it’s especially important to understand how state taxes may come into play.
“Where you live, work and own property all factor into your tax exposure,” he said.
A CPA can help determine whether you may have multistate filing requirements or additional obligations you didn’t expect.
4. Renovations and Upgrades Need To Be Tracked Properly
While many buyers look for move-in-ready homes, others take a more hands-on approach. You might be investing in upgrades that make your new home truly yours, such as kitchen remodels, outdoor improvements or energy-efficient improvements.
These renovations and upgrades don’t just add a fresh face to your new abode; they also have an impact on your taxes. Paxton says that “keeping track of these costs is critical for future tax benefits, especially when it comes time to sell.”
Do you know how to keep track of these costs and how they may affect your cost basis? Likely not. A good CPA will, though, which is why you need to have one in your corner.
5. Interest, Deductions and Planning Opportunities Are Often Misunderstood
Like many new homebuyers, you might think that buying your home automatically leads to major tax savings. According to Paxton, that’s one of the most common misconceptions he sees.
“In reality, many taxpayers benefit more from the standard deduction,” he said. “A CPA can help determine what actually applies to your situation and avoid overestimating tax benefits.”
Between limits on mortgage interest deductions, caps on state and local tax deductions and changing tax laws, a professional can help you understand what you’re actually eligible to claim.
6. Planning Ahead Prevents Costly Surprises Later
Relying on a trustworthy tax professional can help you avoid what Paxton sees as the biggest tax mistake homebuyers make: treating taxes as an afterthought.
“The most valuable tax strategies — whether it’s structuring ownership, planning for a future sale or understanding cash flow — happen before or during the purchase, not after.”
The Bottom Line
Buying a new home is a major life milestone. It’s also a huge financial decision, with impacts on your taxes and your long-term goals. That’s exactly why Paxton encourages new homeowners to bring in professional help.
“Bringing a CPA into the conversation early helps ensure that decision supports your long-term financial goals, not just your immediate needs,” he said.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal, or tax advice.
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