If you purchased a home last year, tax season comes with one extra to‑do — and it’s an important one. Before you file, make sure you locate your final closing statement (also called the settlement statement or Closing Disclosure). This document holds the key details you’ll need to accurately report your home purchase and any deductible expenses.
Why Your Closing Statement Matters
Your closing statement is essentially the financial snapshot of your home purchase. It outlines:
Your purchase price
Property taxes paid at closing
Prepaid interest
Loan fees and certain closing costs
Any credits or prorations between buyer and seller
Some of these items may be relevant for your tax preparer, especially if you’re itemizing deductions or tracking cost basis for future planning.
What to Look For
When you pull out your closing statement, highlight or flag the following sections:
Property taxes paid at closing
Mortgage points (if applicable)
Recording fees or transfer taxes
Any lender‑required expenses
Your total cash to close
Your tax professional will know exactly how to categorize these items, but having them ready makes the process smoother and more accurate.
Can’t Find Your Closing Statement?
Don’t worry — it happens. You can usually retrieve a copy from:
Your lender
Your escrow or title company
Your real estate agent (many of us keep digital archives for this very reason)
Taking a few minutes now to gather your documents can save you time, stress, and potential corrections later. Your home is one of your biggest investments, and keeping your paperwork organized helps protect that investment year after year.
