Can I deduct the origination fees in this current tax year of 2016 for my primary home that was purchased in 2011?

[lesdorsen]

I did not know origination fees were tax deductible.   No amount is listed in the appropriate box on the1098 form for the tax years after my home was purchased in 2011, but the fee is listed on the HUD 1 statement in the paid by the borrower column.   A huge oversight!

[DS30 · Accepted solution]

Unfortunately no, you cannot deduct these origination fees paid in 2011 on your 2016 tax return. Instead, you can add the amount to your basis in the home to increase the cost basis in order to lower any gain on the sale of your home at some future date.