Amortisation / Life insurance

News from DL MoneyPark and information on the financial market and Swiss romande real estate

Author : Kristen

Direct amortisation

We understand direct amortisation to be repayment in regular instalments, directly from a mortgage loan to a lending bank. Consequently, each instalment reduces the debt and interest while increasing the tax burden.

Home owners can deduct debt interest from their taxable income in order to compensate, either entirely or in part, for the rental value. Together with the marginal tax rate , this deductability predetermines financial plans and property tax strategies.

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