I don't mean to hijack your thread, but the way TurboTax determines points deductions is buggy. I have the opposite problem. We sold our house and bought a new one on the same day. On the new mortgage, we paid $5,000 in points. Instead of allowing me to deduct the full $5,000 for tax year 2021, TurboTax is amortizing the amount and allowing me to deduct only $18. Even that number is incorrect, because $5,000 amortized over 30 years should be $167 annually. This sure looks like a bug to me.
IRS Topic 504 (https://www.irs.gov/taxtopics/tc504) explains the requirements that must be met to deduct the entire amount in one year. We meet the requirements, but TT isn't even asking us the necessary questions to determine the possibilities.
