Deductions & credits

If you merely want to know where you deduct the interest you paid on your mortgage to the bank, that would be under Mortgage Interest, Refinancing, and Insurance in the Deductions & Credits section.

 

Since you did "sort of a wrap" and are currently paying the mortgage to your lender, I can only presume you still hold title to the property (if the bank discovers this "arrangement" the due-on-sale clause will almost certainly be triggered and the balance will immediately become due). As a result, nothing has actually changed from your perspective; you still own the house and have sole liability for repayment of the note to your lender.

 

As a sidebar, the "buyer" actually cannot deduct interest payments (as mortgage interest) made to you since those payments are not secured debt. 

 

See https://www.irs.gov/publications/p936#en_US_2018_publink1000229896