Silicon Valley Real Estate Market July 2025 The Big Beautiful Bill’s Impact on You [Source: WINTRUST Investments] The nearly 900-page Republican spending and tax bill, or so-called “big, beautiful bill’; is now law after President Trump signed it on Friday, July 4. Broadly, the law makes Trump’s 2017 tax cuts permanent, extending current income-tax rates. It also adds some new breaks while making cuts to federal healthcare coverage, food-aid, and student loan programs. Changes Affecting Certain Individuals On average, according to a Tax Policy Center analysis, households could see about a $2,900 reduction in their federal tax burden in 2026. That will vary widely based on your income, however. If you Live in a High-Tax State The law raises the maximum Schedule A deduction for state­ and-local tax (SALT) from $10,000 to $40,000, though the maximum deduction begins phasing down once income crosses $500,000. The income threshold also increases 1% every year through 2029 before reverting to $10,000 in 2030. Filers who will benefit from this change should evaluate the timing of other Schedule A items such as charitable contributions to maximize benefits. Those facing the $500,000 threshold might want to lower modified adjusted gross income, say by making donations through IRA charitable distributions if possible.

If You are a Homeowner The deadline for qualifying for the energy-efficient home improvement credit is no longer the end of 2032, but is now December 31, 2025, and the deadline for qualifying for the residential clean energy credit is no longer the end of 2034 but is now also December 31, 2025. If You are Over 65 The law does not eliminate taxes on Social Security, but it does add a new tax deduction for seniors for the 2025 to 2028 tax years. People over 65 can deduct up to $6,000 from their taxable income if they make $75,000 or less, or $150,000 or less for married couples. The maximum deduction starts shrinking when income crosses that threshold and is eliminated completely once income crosses $175,000 per person or $250,000 per couple. This is in addition to the regular standard deduction and the additional standard deduction for seniors already in place. If you are Planning to Buy a Car Under the new law, tax credits for buying a new or previously owned electric vehicle will expire on September 30 rather than the end of 2032. That includes a $7,500 incentive for buying a new EV, or $4,000 for a used one. The credit for buying and installing a home charging station would end June 30, 2026. In addition, the law enables taxpayers to deduct up to $10,000 in auto loan interest from their taxable income for the 2025 to 2028 tax years. This only applies to U.S.-made cars and the maximum deduction phases down when income surpasses $100,000 for individuals or $200,000 for married couples filing jointly. Resources Available If you have any questions or need real estate resources nation wide, I am happy to help. Please feel free to reach out. Our goal is to bring genuine care, outstanding real estate services, and significant value, in order to positively impact our communities and clients.   Below are stats for the last 24 months in Santa Clara and San Mateo counties. Stats in other areas are available upon request.

San Mateo County

last 24 months