@Carl wrote:
...Here's just a few things I'll point out here.
In order to claim the mortgage interest and property taxes on your tax return, there are two criteria that must be met.
1) You must be legally obligated to pay it. (You are if your name is on the loan and the deed)
I just wanted to point out that a taxpayer's name does not have to be on the loan nor does a taxpayer have to be liable for repayment in order to claim the mortgage interest deduction.
Treas. Reg. §1.163-1(b): Interest paid by the taxpayer on a mortgage upon real estate of which he is the legal or equitable owner, even though the taxpayer is not directly liable upon the bond or note secured by such mortgage, may be deducted as interest on his indebtedness.
