I refinanced my original loan in 2020 with lender A. Lender A sold my loan to lender B in 2021. I got 1098-B(s) from lender A and lender B, both with the same outstanding mortgage principal in the form, which is a bit weird.
- For the question: Is this loan a home equity line of credit (HELOC) or a refinance of a previous loan, should I answer yes for both 1098-B from lender A and lender B or only lender A, as lender A sold my loan to lender B, instead of a refinance?
- It seems the federal tax due jumped up significantly (several thousands) when I answer yes for the question above. Is that expected?
- It seems TurboTax treated the 2 1098-B forms as separated loans and asked what was the outstanding loan balance on Jan 1st, 2022. As lender A sold my loan to lender B in the middle of 2022, I am not sure how to answer the question for lender A.
