I have two mortgages. Both loans originated in 2017, so I have up to $1M for the mortgage balance to deduct interest.
First home (primary) - Entire year
beginning balance - $1904931
ending balance - $1867423
Total interest - 63714
Second Home (Personal use for 111 days of the year, then rented out from 4/23/18. I have included the rental portion of the interest in the rental calculations)
Starting balance Jan 1st 18- $385000
Ending balance on April 30th 18 - $382329
Ending balance as of Dec 31st 18 - $378509
Total Interest for the year - $16237
Prorated interested for 111 days - $4871
I want to know how to calculate the average loan balance and mortgage interest that I can deduct for both the loans.
I also wanted to know how I should enter this in TurboTax Premier desktop version. It asks me to enter both the loans separately, but then only displays the higher mortgage deduction and asks me to enter the allowed deduction. Please let me know if I should directly use the form entry instead. Thanks a lot for your help.
