vimal_mathimaran
Returning Member

I'm trying to correctly allocate the mortgage interest on Schedule E for my rental property investment. If I borrowed $50,000 and the balance on my primary was $200,000.

I refinanced my primary home and received cash early 2017. I invested that cash entirely into buying my rental property.

I'm trying to correctly allocate the mortgage interest on Schedule E for my rental property investment. Let's say I borrowed $50,000 and the original balance on my primary home was $200,000. So in total I owe $250,000 on my primary home. Now I have 1098 from the lender stating $5000 in interest payment for 2017. 

Here are my 4 questions

1. What do I state on the Mortagage Interest question for my personal mortgage interest (which is $5000 on form 1098) 

2. How much do I put the mortgage interest for the portion of my Rental Property?

3. Where exactly on Schedule E should I include this value?

4. Can I distribute a portion of my closing costs incurred in refinancing my primary home as a business expense on my rental property? If so how much and where should I include that on Schedule E