Seems like I'm not getting the right Average Mortgage Balance in the Deductible Home Mortgage Interest Worksheet.
*Home 1 was sold/paid off in Sept 2021 (started Jan 1st with 500K principal). Home purchased in 2007, refi in 2020.
*Home 2 was bought in April 2021 (started with $2.2M Principal ended with $1.4M ). Made large principal-only payment in Sept.
The average mortgage balance TT is reporting in forms is $1.8M, which is just the "Average of first and last balance method". This seems wrong - should it account for both mortgages and the fact that the home was owned only part of the year?
The "Home Debt Originating after Oct 13 1987..." section has loan 1 (i.e. Home 1) listed but only one field is filled in "Enter amount debt used to buy...". Why aren't the other fields filled in to calculate the avg balance there?
Seems like I'm much better off with "Interest paid divided by interest rate method", but I don't know how to do this for both loans and enter it into TT. Any idea?
