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If you don’t itemize your deductions within the 12 months you get the mortgage, you can spread the points over the life of the loan and deduct the appropriate amount in each future year, if any, if you do itemize your deductions. The funds you offered at or earlier than closing, plus any factors the seller paid, were a minimal of as a lot as the points charged. The funds you supplied aren’t required to have been utilized to the factors. They can embrace a down payment, an escrow deposit, earnest money, and different funds you paid at or before closing for any function. The points weren’t paid in place of quantities which might be ordinarily stated separately on the settlement statement, corresponding to appraisal charges, inspection fees, title fees, attorney fees, and property taxes. To be deductible, the curiosity you pay must be on a mortgage secured by your …