Posted by Nate on February 21, 2001 at 09:36:04:
True. But he did not ask if the “lease payment” was deductible, he asked if the “interest payments” were deductible.
Nit-picking :),
NT
Tax write-off? - Posted by Rico
Posted by Rico on February 19, 2001 at 11:13:44:
If I own my primary residence and am L/O optioning another property, is the intrest payments on the second property (that I am paying a mortgage on) tax deductable? Does anyone know were I can get information on L/O and tax benifits?
Thank you.
Re: Tax write-off? - Posted by Nate
Posted by Nate on February 19, 2001 at 13:27:44:
Not clear what you mean by L/O a second property…could be one of two things:
-
you own the fee simple interest in the property and have leased it to someone, who has an option to buy it.
-
you are leasing the property from someone else, and you have an option to buy it.
in case #1 - yes, interest is deductible on an investment property.
in case #2 - no, because you do not own the property.
NT
Case #3 - Posted by Bud Branstetter
Posted by Bud Branstetter on February 19, 2001 at 23:16:47:
He could be doing a sandwich lease in which case he could deduct the master lease payment as an expense to offset the income from the TB.