@cao154 , having read your post and the response of my colleague @MonikaK1 ( of course agreeing with her ), what TurboTax is trying to do is to segregate the expenses ( the details that HUD-1 provides ) into two categories --- those related to the acquisition of the property and those that are related to the loan that is secured by the property.
The first ,( i.e. the asset related expenses ) are classed as part of the acquisition cost and therefore becomes part of your basis in the asset. You will need the basis for computing your gain when you dispose off the asset.
The second ( i.e. items/expenses related to the loan/ mortgage ) -- including points paid etc. are loan costs and treated as advance payment of interest and therefore amortized over the life of the loan ( whether it is a 30 year or 15 year or whatever ). This reduces your taxable income from the rental endeavor , just like depreciation.
Hope this helps.
Is there more I can do for you
pk
