I have three 1098's, One home I sold in February of 2023, one I purchased in January of 2023, and one I purchased in August 2023. The Worksheet is limiting my deduction because the Average Balances are not calculating properly it seems? Beginning balance + Ending Balance divided by 2 is not happening? It is showing average balances as almost the full amounts on even the home purchased in August of 23 and reducing my deduction by 4796.00 when the loan paid off in Feb has a total interest of only 2633.00. Makes no sense to lose 5K in interest over a loan we had for 2 mos only? Even after I tried to manually adjust the worksheet, it did not correct the allowed interest deduction?
Loan paid off in feb of 2023 was 478K - 2633 in interest.
Loan originated in Jan 23 is 388K - 19,179.21 in interest.
Loan Originated in Aug 23 is 300K - 6811. in interest.
System is set to only 19,179.21 allowed????
