HI- If a newly married couple owns 1 primary residence as well as each spouse owns individually a second home can all three home mort int and RE Tax be deducted via SchA

[xmasbaby0]

No.   You can use the mortgage interest for one primary home and one "second"  home.  And bear in mind, that the property tax deduction is capped at $10,000.

[Bsch4477]

The third one would have to be used as rental (investment) property to deduct those expenses on Sch E. 

[rjs · Accepted solution]

A couple of clarifications:

You can deduct real estate tax on all the homes you own that are in the United States. You can deduct mortgage interest for only two homes.

For 2018 through 2025, the total deduction for state and local taxes is limited to a maximum of $10,000 per year ($5,000 if you are married filing separately). The maximum applies to the total of real estate tax, personal property tax, and either state and local income tax or state and local sales tax.

[eg1-cox-net]

Thanks for the response.

If filing Married but separately would we be able to deduct the mortgage interest then?

[eg1-cox-net]

Thank you

[eg1-cox-net]

What if it wasn’t rented so no rental income? Can it still be deducted as a Rental?

[Bsch4477]

You’re bordering on skirting around tax law. Either you are in the business of renting and making an attempt to profit by marketing your property or you are not.   Just saying a property is a rental doesn’t make it one. 

[eg1-cox-net]

Hi

So that would not work then.

Thanks for your input.

[egg1]

Thank you very much for the clarification.