Mortgage interest for property that you own and lease out to others as rental real estate is claimed/reported on the SCH E. If you work through the program the way it's designed and intended to be used, then while working through the rental expenses section you will be asked for mortgage interest, as well as property taxes and property insurance. I can't stress enough the importance of reading the small print on each and every screen, because it does matter - especially in the tax year you convert the property from personal use to residential rental real estate.
