We bought a foreclosed house with cash --vacation rental. We then refinanced our home, adding the cash buy onto our refinance. Do we review the refinance with rental?

[bgcshannonl]

Bought foreclosure with cash.  Made it into vacation rental. Then refinanced our home with added cash buy.  Now, do we review our refinancing as our rental or as our home?

[DoninGA · Accepted solution]

The mortgage for the re-finance was secured by your personal residence and not the rental.  So any mortgage interest deductions would be reported on Form 1040 Schedule A not on the Schedule E for the rental.