Can I deduct interest from a HELOC if the funds were used for installing a new lawn and irrigation system?

Forum|Forum|7 years ago
June 5, 2019
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We used our HELOC to re-grade our yard, install an irrigation system, and seed for a new lawn Does this qualify for an interest deduction based on substantial improvements to our home?

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Best answer by DanielV01

Yes, provided that these are improvements to the land on which your home sits. All of your property is securing the loan, not just the house. Therefore, interest payment on a HELOC for improvements to the property (within the 750,000 limits established by the government this year) would still qualify as deductible interest.

DanielV01Answer

Employee

Yes, provided that these are improvements to the land on which your home sits. All of your property is securing the loan, not just the house. Therefore, interest payment on a HELOC for improvements to the property (within the 750,000 limits established by the government this year) would still qualify as deductible interest.

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