That clarification does not help. The value of the house is $380,000 that I paid cash and am the mortgage holder for my son. His payments are $2400. Breakdown:
$500 Taxes
$94.87 Homeowner insurance
$1600 5% Interest (Approx., varies per month)
$205.13 Principal
If I claim the entire $2400 and deduct the taxes, insurance and interest that mean my income would be the principal which is wrong.
I am the mortgage lender to my son. So the interest would be my income.
The taxes and insurance would then also be my income and then offset as expenses.
The principle would then be me turning over equity to my son.
So basically I would need to create the same form that a mortgage lender creates for a homeowner.
