Seller Financed loans are treated the same as bank financed loans.
If any part of the house payments include mortgage
interest, yes, you can claim mortgage interest. If you also pay property taxes, you can claim them.
You cannot claim the mortgage principal.
You would enter the mortgage interest under Seller Financed:
- Type mortgage interest in the search bar and click search.
- Click
on Jump to mortgage interest.
- Continue
entering information until you get to the 'Do any of these uncommon
situations apply to your loan with XXX?' screen.
- Click
on The seller is financing
this loan and I didn't receive a 1098 screen.
- Continue
with the onscreen interview.
To enter the
real estate taxes you
paid:
Where do I enter the real estate taxes I paid?
Related information: