HELOC For Rental Property Purchase?
If I use my home equity line to supplement the purchase of an rental property, can I write off the interest portion of its monthly payment against the rental income on my Sched E?
If I use my home equity line to supplement the purchase of an rental property, can I write off the interest portion of its monthly payment against the rental income on my Sched E?
I have be told yes, if you're clean about the source and use of funds.
e.g. 50K/100K line used for real esate, you can deduct 1/2 the interest.
Or, just take an interest deduction on your Schedule A along with your home mortgage interest deduction when you itemize. Net effect is the same.
isn't only the interest on your 1st and 2nd home deductible?
Seem like you'ld have to take the sched e route.
I have a 401k plan through my employer and a IRA. What other plans are available to me as a landlord?