A new study by the Federal Reserve Bank of New York points to the 2017 tax overhaul as one reason sales of new homes declined sharply last year. The New York Fed pointed to the cap on the mortgage interest deduction and the State and Local Tax (SALT) deduction as factors in slowing down home sales, especially when it came to sales in higher price brackets. While some independent research concurs with the New York Fed’s findings, there are other factors at play — homes are getting more expensive overall.