I am talking about the case when you got 80/20% mortgage loans with 0% downpayment. I know that the 80% one is fully deductable, but not sure if I can deduct taxes for the second one
2006-12-21 15:43:56 · 7 answers · asked by Ekaterina K 2 in Business & Finance ➔ Taxes ➔ United States
I've gotta better one.
What will you do when your rate goes up and you have no equity and you can't sell?
I'd refinance on a 30 year fixed. If you can't afford it then you can't afford the house.
2006-12-21 15:52:36 · answer #1 · answered by CP 4 · 0⤊ 0⤋
As long as both loans were obtained to purchase the residence and the total of both loans does not exceed $1,000,000 you will be able to deduct all of the interest that you are paying.
If the total debt is for more than the $1,000,000 any interest paid on the excess amount is not deductible.
If one loan was obtained to buy furniture and the like then the interest paid on the first $100,000 of such debt would be deductible.
2006-12-21 22:11:29 · answer #2 · answered by waggy_33 6 · 0⤊ 0⤋
Call H&R block at your own peril, they're morons. Do a little research in your area and find a reputable tax consultant. Talk to folks who have lived in the area for a while (years), espicially those who are semi well off. They will know who can get all they can LEGALLY out of the tax code.
Also as CP said, get outa that intrest only nonsense and into a 30 yr fixed.
2006-12-21 18:14:40 · answer #3 · answered by drivingdog18 4 · 0⤊ 0⤋
Yes -if both liens are on your primary residence mortgage.
2006-12-21 16:27:39 · answer #4 · answered by amy23 3 · 0⤊ 0⤋
call H&R Block and ask to be sure
2006-12-21 16:21:38 · answer #5 · answered by sophieb 7 · 0⤊ 0⤋
Why couldn't you?
2006-12-21 15:45:33 · answer #6 · answered by Becky F 4 · 0⤊ 0⤋
yes!!
2006-12-21 15:50:11 · answer #7 · answered by Markoo 2 · 1⤊ 0⤋