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February 1, 2021
Question

1098 box 7 is not check and my address is in box 8. Is the loan secured by a property of mine?

  • February 1, 2021
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1 reply

KrisD15
February 1, 2021

You have to answer that for the TurboTax program, not all the answers are on the 1098.

 

What it is asking you is this, is the interest for a loan that is for your house?

There are some loans where you just go to a bank and sign a promissory note. You are saying, lend me money and I promise I'll pay it back. All your giving them is your word. Most loans are not done this way. 

 

Other loans are when you go to a bank and they make you promise that the loan you are asking for is to buy this particular house, and if you don't pay it back, the bank could take the house from you. You are giving them the right to take the house if you default. THAT IS WHAT IS MEANT BY SECURED BY A PROPERTY. 

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