Here are the steps to take, disregard the information about Points if you did not pay any.
Enter the first (oldest) 1098 and indicated that it was secured by home
Select BOTH "new loan with points" (if points were paid) and "bought or improved home in 2024"
Enter points (if applicable)
Select YES "This loan was paid off or refinanced with a different lender in 2024".
(NOTE; If you indicate NO to "paid off or refinanced", the program will add the mortgage balances)
No, not most recent 1098
"HELOC or refinance?" NO
Yes, only used on this home
The points and interest should be added and reported on Schedule A
Enter the second 1098
Yes, secured by home
Indicate that you bought or improved the home with this loan, but DO NOT indicate that it was a NEW loan, DO NOT ENTER POINTS A SECOND TIME
Yes, most recent 1098
Neither HELOC nor refinance
Yes, only used on this home
DONE
All interest and points (if applicable) were reported as deductions on Schedule A
I did get a "Let's Check These Entries" when I ran "Smart Check" where I had to indicate if either loan was a refinance.
I selected "Refinance NO"
The full deduction remained on Schedule A
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