San Jose, CA · Member since 2016 · 17 posts · 2 votes
Hi Friends in Biggerpockets,
I am trying to get cash out loan (30 year fixed) from my primary house as and use it to do real estate investment.
My plan is to use the refi-ed cash to do both purchase and rehab (then rented it out) and I wanted to deduct the loan interest.
I know from purchase side, the amount of mortgage interest can be deducted as expense for as long as the loan exists and I hold the rental property.
For rehab, the situation is more complicated. Given the rehab cost itself can be deducted must faster than the 27.5 years convention, if I pay the rehab cost through the loan, how long can I deduct loan interest? Anyway I can deduct the loan interest as expense for many years?
Hi Richard,
That sounds like a solid plan. If you need any guidance for real estate investing or assistance with this process itself, feel free to PM me.
I️ would be more the happy to assist.
Much success!