Mortgage interest

[Ayerzy]

My husband and I bought a home in July 2019.  We refinanced in October 2019. We got 1098 forms from the original loan provider, the purchaser of that loan, the company through whom we refinanced, and the company who later purchased the refinanced loan. Am I supposed to enter all 4?

[DianeC958]

Yes, you need to enter all for 1098 forms you received.

When you enter the information for the refinanced loan and the 1098s you received because the loan was purchased the amount for box 2 should be $0.  This box is asking for the principal balance due on 01/01/2019 for the refinanced loan and the sold loans this amount will be $0.

By doing this you will not have issues with the program limiting the amount of Mortgage Interest you can deduct on your tax return.

[pflumm]

I received two form 1098 statements from one bank.

One for a HELOC.  One for a for a home mortgage.  form 1098

HELOC shows interest:  $589.11,  Loan $49,775.63

Home  Mortgage interest: $3,802.80,  Mortgage:  $128,000.00

The Home Motgage Loan of 128,000 paid off the HELOC Loan of $ 49,775.63

My Questions are:  Line 1,  do I add both Mortgage interest paid?

                                     Line 2, do add both Mortgages together since the $128,000.00  paid off the 49,775.63 ?

thak you,  Pflumm

[pflumm]

The HELOC did not get paid off until March 2020 when the Home Mortgage was official.

Is there a separate page to enter both on the Tax Statement?

Pflumm

[pflumm]

Thank You for  your assistance  

Pflumm