If you have multiple 1098 mortgage forms, you’ll enter them one at a time.

After going through the steps with the first one, you can add a lender when you get to the Mortgage deduction summary screen. (In the case of a refinance, it's best to enter the 1098 from your original loan before the 1098 from your refinance.)

But, if they're both from the same lender, and one of them has the “Corrected” checkbox marked at the top, enter the corrected 1098 and discard or shred the other one.

If the loan was refinanced or moved to a different lender in 2020 and you have two 1098's to enter:

First, delete both 1098's if you started to enter them. Do NOT try to edit them.

Enter the older loan first, enter box 2 as it is reported, 

THERE WILL BE A SCREEN ASKING "WAS THIS LOAN PAID OFF OR SOLD IN 2019?"  CLICK "YES" 

(this screen will not appear if you go back and edit)

Continue through the interview

Next, enter the second 1098

If box 2 is blank, enter zero, otherwise enter what is in box 2. DO NOT LEAVE IT BLANK

Continue through the interview questions. Do not select that it is a HELC. 

Since you clicked that the first 1098 was paid off or refinanced with a different lender, the mortgage balances (box 2) will not be added together. 

This did not work, I have searched dozens of community threads and there have been multiple recent answers from experts that give completely different answers.  Some say combine the numbers, some say to enter separately.  My refi lender is different from my original lender so combining is not appropriate.  Which one would I use for lender name in that case?  Even following step-by-step for every method the experts suggest, none of them work.  Each time my mortgage interest is reduced because the program still thinks I have two outstanding mortgages. Entering zero into the outstanding balance for the original one creates an error message. The only reason I paid for TT was to have it handle the multiple 1098s.  I look forward to them fixing this soon.

Please try this.  If there is a refi and there was an outstanding mortgage principal listed in both of them on Line 2 on the 1098. When you do put an outstanding balance in both forms, then the program adds them together and if that number is greater than $750k, then it puts you in the category to "limit interest". To get that to go away, you need to go back to the deductions section and click on "edit" mortgage interest statement. Change the line 2 of the mortgage that you no longer owe on (like the one that you refinanced and paid off) to a 0 (zero) because you have refinanced out of that loan and no longer have an "outstanding mortgage principal". Once you change one of them to zero (the one that was paid off by the refinance) then it should no longer pop up with that error at the end when you go to file. 

Thanks for the reply.  I realize the issue is with the outstanding balances adding up, but as I mentioned in my last post the system does not allow a zero to be entered in "Box 2 - outstanding mortgage principal" for either 1098.  It give an error message "outstanding mortgage principal must have a value" and won't let me continue to the next page. I'm sure there are many people dealing with this same situation because of the interest rates in 2020, TurboTax needs to release a definitive answer to this problem.

Enter "$1" as the outstanding mortgage balance on the loan you paid off. This will not have any effect on your tax calculation and will not generate an error in either TurboTax or with the IRS.

From an economic perspective, it is accurate - you owed virtually nothing on this mortgage at the end of 2020. 

There are many places in TurboTax where you must make a non-zero entry, primarily to let the program know that you answered the question and that the answer makes some sense.  

In this case, entering "$1" tells the program that you didn't forget to answer the question and that you had at least some amount of a mortgage loan balance to justify claiming an interest deduction. 

I have an original loan started in 2016 greater than $375K.  Ist loan was sold in March 2020 to Company B.  I refinanced in April 2020 (company C) and again in October 2020 (Company D).  I have Four (1098s).  Turbo Tax says to combine the loan and put them on one line.  I paid $15K in interest and it is limiting me to ~$7300 deduction

Questions is what do I enter.  What company name?  Turbo tax states to get a calculator and add all the interest together.  I have no points paid.  What company name do I use?  Just A or ABCD or two line lines with AB and CD companies together.  Instructions are confusing.

Any help is appreciated.

When combining multiple 1098 forms, use the company name of the original  lender.

@jkramer1970