Do You Own Your Home But Not The Deed? - Palma Financial

There is another client story you need to know about, and it involves deducting mortgage interest payments. 

You may be surprised to hear that the tax law has a fantastic break for unconventional homeowners.

The IRS allows you to deduct your mortgage interest payments even when the deed to the house and the mortgage are in someone else’s name. 

How One Client Saved More Than $18,000

Here’s what happened to our client Louisa Johnson.

Louisa could not personally qualify for a home loan, and her parents stepped in to help. They bought the house and signed the mortgage.

But Louisa lives in the home and pays all the property expenses, including the property taxes and the mortgage.

Using a little-known tax rule, Louisa deducts the mortgage interest payments she makes on her Form 1040.

Even more interesting is that she found out about this little-known rule after making payments for a few years. Once she learned the rule, Louisa amended three years of tax returns, claiming about $18,000 per year in deductions, and got a sizable tax refund.

If you are in a similar situation, you can get a refund for prior years. Let’s talk —-> [Schedule Your Free Assessment Here]