Who can deduct mortgage interest and property taxes for a home residence.?

The legal owner of the home that has been used as collateral to secure the mortgage for the home and makes the payments would be the only that can legally take the deduction of the schedule A itemized deductions of the 1040 income tax return.

Hope that you find the above enclosed information useful for your situation and good luck.

I think that the issue you are running into is the terminology that you are using. A mortgage is a loan used to buy property, secured against the property it is buying. What you want to do is use the equity in your home to buy a different property. Once a bank knows that, they are most likely going to offer you a home equity loan rate, not a mortgage rate. Once you wrap your head around the idea that what you are doing, in essence, is taking out a loan to pay for the rental property, the IRS guidelines on deducting the interest should be easier to figure out. In other words, how would they handle it if you borrowed that money from investors? Also, you are aware that if you do this, and for some reason can not pay the loan back, you are risking the bank taking your house, not the rental property? Sure, you would probably come out of it with money, since it's only half the equity of your house, but that's not a lot of comfort if you have to move.

In order to deduct mortgage interest and property taxes you must be legally liable for the expenses and you must be the one actually paying it.

If you're not listed on the mortgage as a borrower, then you aren't legally liable for the mortgage interest and you cannot deduct it even if you are the one paying it.

If you are not listed on the deed to the house as a legal owner, then you are not legally liable for the property taxes and you cannot deduct them either.

Your son cannot take the deduction because he is not actually paying them out of his own pocket, so in your case nobody gets the tax deduction.

The person who both owes and pays the money. So neither of you. he owes but does not pay, you pay but do not owe. Legally, neither of you is entitled to claim the deduction.

That said, let him claim it and split the money with you or some such deal. You will never be able to claim it b/c the 1098 doesn't come to you, and the property taxes don't come to you.

Only the owner(s) can deduct property taxes paid - regardless of who paid them. Only the borrower(s) of record can deduct interest paid - regardless of who makes the mortgage payments.

No, you can't deduct them. To deduct them you must both be legally obligated to pay them and actually pay them. You're not obligated for the payment, so you can't deduct them. He didn't pay them so he can't deduct them either.

No.

If you deduct these from your taxes expect a nice audit..