HERO/PACE loan

[JJSteele]

Took out a HERO loan for a new roof in 2016.  Was able to deduct repayments with Real Property Tax payments (including Principal & Interest).  Totally paid off loan in 2021 - how much if any of Interest paid is deductible if I did not receive a 1098 form?

[JillS56]

All of the interest would be deductible even if you did not receive Form 1098. You enter the interest as if you received the 1098. Do not enter this as a seller-financed loan.  To enter the interest:

1. Log into Turbo Tax
2. Go to federal>deductions and Credits>Your Home>Mortgage Interest and Refinancing (Form 1098)
3. Did you pay any home loans in 2020? Yes
4. Now enter the answers to the questions as if you have a 1098.
5. Put the mortgage interest in Box 1
6. For the mortgage balance outstanding, if you already have a 1098 for the original loan, Put 0 in this box. If this is your only 1098, put in the mortgage balance outstanding.  If it is paid off, put 0 in the box.
7. Do not put any property taxes in this form though because property taxes are not deductible on Hero loans.