The House of Representatives has passed a tax reform that would alter mortgage interest deductions and real estate tax write-offs, according to Loop North News.

The tax reform legislation, the Tax Cuts and Jobs Act, would allow homeowners to keep their existing mortgage deductions, but any deductions for new home purchases would be capped, according to the report. If passed, home values would be limited to $500,000 and real estate tax write-offs would be capped at $10,000.

The Senate also has a version of the proposed legislation. This version would allow the same limit on mortgage tax deductions, but homeowners would no longer be able to write-off real estate taxes, according to the report. 

While the reform would increase the standard deduction for middle-class families, the deduction caps could affect luxury homeowners, according to the report. The National Association of Home Builders is arguing against the legislation, claiming that it will eliminate housing tax benefits in markets like Chicago. 

Loop North News points out that this legislation would have a big impact on people who are considering buying a home in neighborhoods like the Gold Coast, Lakeview, and Lincoln Park.