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I refinanced my home in December 2017 but the loan was not funded until January 2018. How do I enter the 1098 for my new lender with a blank Box 2 and a 2017 origination?
I refinanced my home on 12/27/2017 (origination date) but the loan was not funded until January 2018. As a result I was sent a form 1098 from both lenders for 2018. The 1098 for my old lender includes interest from the payoff, and includes my principal balance in Box 2 since they technically still owned the balance on 1/1/2018. Box 2 on the 1098 from my new lender is blank, as it should be since the loan was not funded on 1/1/2018. TurboTax will not allow me to enter the 1098 for my new lender because the origination date is in 2017, but the outstanding principal as of 1/1/2018 is $0. How should I enter these two 1098s in TurboTax?
The way I see it, one of the loans should have a $0 balance on 1/1/2018 with an origination date prior to 2018 even though the system won't allow that. The only other option I can think of is to enter a false 1/2/2018 origination date for the new loan and enter balances for both. Neither option seems great. This can't be the first time this has ever happened. What's the right way to handle this?