Since I refinanced my home to pay my ex-wife for her share of our home, how much of the interest on my new mortgage can I claim as a deduction?

My wife and I jointly owned our house with a mortgage balance of $40k. When we divorced, I refinanced my mortgage with a new balance of $225k because I had to pay my ex-wife $160k for her share of the house's value (rather than the equity). How much of the interest on my $225k mortgage can I claim as a deduction?

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1 Best answer

Expert Alumni

Jun 4, 2019 5:34:38 PM

I would say all of it, since what you effectively did was purchase your wife's interest in the house.

Expert Alumni

Jun 4, 2019 5:34:38 PM

I would say all of it, since what you effectively did was purchase your wife's interest in the house.

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Since I refinanced my home to pay my ex-wife for her share of our home, how much of the interest on my new mortgage can I claim as a deduction?