How should I handle when the 1098s cover two properties?
Property 1: Refinance in early Jan 2020 and then sold in July 2020.
First 1098 covers early Jan and second 1098 covers Jan-July. Outstanding mortgage balance was an average of $760,000.
Property 2: Purchased in July 2020 and loan was sold in August 2020
First 1098 covers July/early August and second 1098 covers August-December. Outstanding mortgage balance was an average of $1,100,000.
So adding the 1098s doesn't quite work correctly either. Because the limiting formula is different for each half of the year. I currently did it as two 1098s, but then it's limiting as if my outstanding mortgage balance was basically $1.8M.
