I held the lien on the house since 2011, well over a decade. Is there any way to claim the interest as a long-term capital gain, in order to get a more favorable tax rate of 15% (which would align with my income bracket)? It seems that claiming it as regular interest would be more of a short-term gain, and therefore make it subject to a higher tax rate, like regular income. And thank you for your previous response!
