Saved Assume your home is assessed at $295,000. You have a $230,000 loan for 10 years at 5 percent. Your property tax rate is 1.2 percent of the assessed value. In year one, you would pay $11,500 in mortgage Interest and $3,540 in property tax (1.2 percent on $295,000 assessed value). Note: The problem assumes that interest-only payments were made on the mortgage. Assuming you are in a 28 percent tax bracket, by what amount would you have lowered your federal income tax? Assume you have other deductions that equal or exceed the standard deduction. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Amount of decrease in federal tax