While points paid to purchase a residence are deductible as interest in the period paid,points associated with the refinancing of a residence must be amortized and deducted over the life of the loan.

Question

Quizplus · Accepted Answer

Points paid for the purchase of a residence can be deducted in the period paid, while points associated with refinancing must be amortized over the life of the loan and deducted accordingly.

While Points Paid to Purchase a Residence Are Deductible as Interest