President Donald Trump’s Big Beautiful Bill that passed in Congress in July 2025 included a provision to raise the state and local tax (SALT) deduction cap to $40,000 from the previous $10,000. “An additional $30,000 in deductions could amount to about $10,500 in annual tax savings for such homeowners, assuming a 35% federal marginal tax rate,” Realtor.com senior economist Jake Kimmel said in an email.
Realtor.com broke down the 10 states and 10 metropolitan areas with the highest percentage of properties with taxes over $10,000, that stand to really benefit from the SALT cap increase.
