Are the interest and points paid on the loan Tax- Deductible?
Per IRS regulation, interest paid on primary and secondary residences up to an aggregate one million dollars in loan amount is tax deductible. The IRS regulation does not specify that the home must be located in the United States, and thus is the opinion of tax consultants that interest paid on a home loan on Mexican property is in fact deductible. Points paid in relation to obtaining a loan for second homes are only deductible over the life of the loan.
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