GiseleD
Expert Alumni

Deductions & credits

It sounds like you took the standard deduction in 2018. If this was the case, then you did not deduct the mortgage interest (even if you entered it). The Tax Cuts and Jobs Act nearly doubled the standard deduction for most filers, thus many are no longer able to itemize.

 

Regarding the $4500, even if the loan was for $111k, you can only deduct the interest and mortgage insurance (if applicable) portion of the loan. The mortgage interest is in box 1 of your 1098, and the mortgage insurance (if applicable) is in box 5. 

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