topic Property tax on a home I own but don’t live in in Deductions & credits

Property tax on a home I own but don’t live in

kyla_allaman — Fri, 14 Feb 2025 03:40:19 GMT

I’m struggling it keeps saying error and need to fix.. so I own a home I pay the mortgage my parents live there the 1098 is in my name because I pay the taxes.. I put in on federal rental business because I don’t live there but on state it won’t go through .. is says is this where your principal residence is located and shown on your property tax statement with the address I live at not the property I own so I say no then I type in address where the property taxes are and type in 0 months lived there at then it says on next page fix problem Months lived there is not between the prescribed upper and lower limits. And wants me to change the 0 to months lived there .. I can’t get passed this I don’t get it.. please help I have been messing with this for 3 weeks

Re: Property tax on a home I own but don’t live in

xmasbaby0 — Fri, 14 Feb 2025 03:45:50 GMT

This is confusing. You say that you own the home and your parents live there. You pay the mortgage and the property tax. Do your parents pay rent to you? You say you entered it as rental property in your federal return.

Re: Property tax on a home I own but don’t live in

KrisD15 — Fri, 14 Feb 2025 03:49:05 GMT

First, do you really rent the house to your parents? There is nothing stopping you from owning two houses, you don't HAVE to make one a rental, unless it really is. A rental is depreciated and you may need to deal with depreciation recapture if/when you sell the house.

Next, for the state errors, to clarify, are you entering that for a homestead or property tax credit?

Which state?

@kyla_allaman

Re: Property tax on a home I own but don’t live in

kyla_allaman — Sat, 15 Feb 2025 17:48:54 GMT

No I don’t make any money of this property I talked to the live agent which said I had to put it in as a rental property so I did

Re: Property tax on a home I own but don’t live in

kyla_allaman — Sat, 15 Feb 2025 17:54:37 GMT

My parents pay the mortgage payment when they can no extra some months I’m out money if they can’t pay so it’s not really a rental but the live agent I talked to said I had to put it in as a rental .. and for property tax credit off 1098 and Indiana

Re: Property tax on a home I own but don’t live in

kyla_allaman — Sat, 15 Feb 2025 18:04:04 GMT

Primary home

This is where you live most of the time—can be a house, condo, mobile home, or other property types.

Second home

This is usually a vacation home. It can be rented out part-time as long as you live there for a certain amount of time each year.

Other

This includes rentals you don’t live in and business properties.

this is what it says and I chose other because I didn’t live in the house at all .. technically no one lived in the house March of 24 - November 24 the home was hit by a tornado and was a total loss but fema didn’t step in so the agent said it doesn’t matter to claim you lost the home ..

Re: Property tax on a home I own but don’t live in

kyla_allaman — Sat, 15 Feb 2025 18:15:20 GMT

Confirm Property Address

Based on information from your federal return, your address is listed below.

Is this where your principal residence is located and shown on your property tax statement?

This is what the page says and has the address to the home I’m living in currently but don’t own so I say no because the principal residence is not the same as my 1098 ..

Tell Us About Your Property

Property Address

Street address

City

State

(No entry)AlabamaAlaskaAmerican SamoaArizonaArkansasArmed Forces the AmericasArmed Forces EuropeArmed Forces PacificCaliforniaCanadaCanal ZoneColoradoConnecticutDelawareFederated States of MicronesiaFloridaGeorgiaGuamHawaiiIdahoIllinoisIndianaIowaKansasKentuckyLouisianaMaineMarshall IslandsMarylandMassachusettsMichiganMinnesotaMississippiMissouriMontanaNebraskaNevadaNew HampshireNew JerseyNew MexicoNew YorkNorth CarolinaNorth DakotaNorthern MarianasOhioOklahomaOregonPalauPennsylvaniaPuerto RicoRhode IslandSouth CarolinaSouth DakotaTennesseeTexasUtahVermontVirginiaVirgin IslandsWashingtonWashington D.C.West VirginiaWisconsinWyomingOther Country

ZIP code

Property Tax Info

Number of months you lived at this address during 2024

Property tax paid

so this is next page I type in address to home I own but don’t live in and put 0 months then next page says

Check This Entry

Schedule 2: Months lived there is not between the prescribed upper and lower limits.

Months lived there

Re: Property tax on a home I own but don’t live in

AmyC — Thu, 20 Feb 2025 20:32:00 GMT

A rental house being rented to family members at less than fair rental value does not qualify as a rental house. Please read this article Personal Use of Business Property to determine if this is a rental house or a second home for you.

A rental house can be great since you get to deduct the mortgage interest, property tax along with repairs and maintenance.
If it isn't really a rental, then you can just add the mortgage interest and property tax in like your main home for itemized deductions, as this would be a second home. Literally, just add the two property taxes together. Enter the mortgage interest but you will select time lived there because your parents are living there for you- they are your personal use that makes it a second home instead of a rental.

Once you know for certain, please reply again if you need help.

Reference:

Real estate (taxes, mortgage interest, points) on second home