Good question, John. I'm not a tax accountant, but I believe you can only deduct the interest on a home equity line of credit (which is akin to what these loans are today) if you use the proceeds from the loan for improvements to the home. I would think the same tax rules apply here.
As a borrower, can you deduct the interest expense against your taxes in this format?
Good question, John. I'm not a tax accountant, but I believe you can only deduct the interest on a home equity line of credit (which is akin to what these loans are today) if you use the proceeds from the loan for improvements to the home. I would think the same tax rules apply here.