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I bought a second home in the middle of 2017 which made my total loan exceeds 1 million. When I was trying to figure out my deductible interest payment following Pub 936, I got confused:


Say I own a primary home throughout entire 2017, with an average mortgage balance of 0.5 million. I bought a second home on Dec 2017 with 1.5 million loan. According to the instructions on Pub 936, I should put 2 million at line #9 of the worksheet ("total of the average balances of all mortgages"), and then I would only quality for 50% of interested paid in 2017. However, that sounds very unfair since during most of 2017, my loan is under 1M and should be fully deductible.


Should I ignore Pub 936 and work out the deductible interest month-to-month?