topic Second Mortgage in Deductions & credits

Second Mortgage

bhooper269 — Mon, 09 Mar 2026 11:50:02 GMT

I purchased a piece of property (land only) and the bank I used did this as a mortgage loan. So now I have 2 mortgage loans (One for primary home, one for land). Question: How do I input this in TT? I see primary home which I input that information. The next is second home (of which there is no home. Just land). However, I have Mortgage Interest & Outstanding Mortgage Principal indicated on that 1098. How do I handle the second mortgage? As second home or check "other" block? Thanks!

Bhooper269

Re: Second Mortgage

DMarkM1 — Tue, 05 Apr 2022 20:32:25 GMT

The interest paid on a loan for land purchase is not deductible as home mortgage interest since it is not secured by your main or second home. To be a home it must have sleeping, cooking, and toilet facilities according to Publication 936.

You would not enter that form 1098 into TurboTax.

Once construction begins on a home on that land then the loan becomes secured by a home and deductible.