We will stick to the durable framework and leave the political handicapping, and your personal math, to a tax professional. SALT stands for state and local taxes, and the SALT deduction is the federal itemized deduction for the state income and property taxes you pay. For a number of years that deduction has been subject to a federal dollar cap, which limits how much of those taxes high earners in high-tax states can actually deduct. If you earn enough to buy an expensive home in a state with meaningful income and property taxes, your combined state and local tax bill can easily exceed the cap, and some of what you pay stops being federally deductible. That mechanism is why the cap matters to move-up buyers. The cap has been debated and adjusted before and may change again, so treat any current number as something to verify rather than a fixture, and nobody can promise how a given bill lands. Keep it distinct from the mortgage interest deduction, which is a separate itemized deduction with its own rules. Because the impact depends entirely on your income, your state, and your filing situation, have a tax professional model it for you rather than planning around a projected figure.