We are buying a house on a land contract, how do we answer the questions about renting or owning?

[Mike9241]

Buying a home on a land contract gives the buyer equitable title (ownership), though not formal title, to the home. The Internal Revenue Service, though, gives buyers under land contracts much of the tax deduction benefits of true home ownership. For example, a land contract home buyer can deduct any property taxes she pays on her home. Also, any interest the land contract home buyer pays on her seller-carried financing is also tax deductible.

[Cynthiad66]

Owners.  You are home ownerx.

For tax purposes, the IRS treats buying a home under a land contract the same as it would any other home purchase.

According to the IRS, if you buy a home under a land contract you usually qualify for typical homeowner tax benefits. When you buy a home, you don't get anything just for buying your home. However, you are able to include certain items related to your home on your tax return. If you itemize, you get to take such things as:

• the interest that you pay on your land contract
• real estate taxes you pay on the property

You will enter this information into TurboTax under Deductions and Credits >> Your Home. TurboTax will help you find all the deductions that are available to you.

For more information, see IRS Pub 530 Tax Information for Homeowners  Per @PatriciaV