1) suggest calling your servicer and ask 'why'.
2) there are threads elsewhere on this website that there are bugs with certain versions of TT regarding the mortgage deductions. Which method (CD / Download, App, Online) and version (premiere, deluxe, basic) are you using? It may be worth waiting a week or two to see if these bugs clear out.
3) does the combined total of all mortgages exceed $750,000? if no, then I don't understand why the value in Box 2 matters and it suggests you may be experiencing the bug.
here is what TT writes in their HELP Notes:
Limits for home equity lines of credit (HELOC
)
The main change to the Mortgage Interest Deduction this year is for home equity lines of credit (HELOC). Now you can only deduct the interest you paid on the amount of the loan used to buy, build, or improve the home the loan is secured by (meaning the property that acts as collateral for the loan). This has always been the case for home mortgage loans.
Example: John took out a home equity line of credit on his home on Tuberose Street for $40,000. He used $25,000 to remodel his kitchen and bathrooms in his Tuberose Street home, and $15,000 as a downpayment on a second house on Snowdrop Lane. He can only deduct the interest he paid on $25,000 he used to improve his Tuberose Street home.
Limits for higher loan balances
There are some updated limits to how much interest taxpayers can deduct from larger loans based on the loan size and origination date. These limitations still apply if you've refinanced the loan on or before this date:
- If you got your loan between October 13, 1987 and December 15, 2017, you can deduct interest on a mortgage up to $1 million for your first and/or second home ($500,000 if Married Filing Separately).
- If you got your loan after December 15, 2017, you can deduct interest on a mortgage up to $750,000 for your first and/or second home ($375,000 if Married Filing Separately).
