Go Back   iRV2 Forums > MOTORHOME FORUMS > MH-General Discussions & Problems
Join iRV2 Today

Mission Statement: Supporting thoughtful exchange of knowledge, values and experience among RV enthusiasts.
  This discussion is proudly sponsored by:
Please support our sponsors and let them know you heard about their products on iRV2
Thread Tools Search this Thread Display Modes
Old 11-13-2014, 04:03 AM   #1
Senior Member
Butte64's Avatar
Tiffin Owners Club
Freightliner Owners Club
Join Date: Jul 2012
Location: Aiken County, SC
Posts: 1,259
RV Loan Interest as Second Home Deduction

In a discussion about using the interest on an RV loan as a second home deduction I was asked about closing costs. I did not understand why there would be closing costs as it is not real estate. The response was that in order to make it tax deductible there would need to be closing costs. So questions -
- Should closing costs be expected, different than what is done with a car loan?
- Is there something that needs to be done to make the RV loan qualify as a second home loan and therefore tax deductible?

2015 Phaeton 40 QBH, 2013 Honda CR-V
FMCA F428578
Butte64 is offline   Reply With Quote
Join the #1 RV Forum Today - It's Totally Free!

iRV2.com RV Community - Are you about to start a new improvement on your RV or need some help with some maintenance? Do you need advice on what products to buy? Or maybe you can give others some advice? No matter where you fit in you'll find that iRV2 is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with other RV owners, see fewer ads, upload photographs, create an RV blog, send private messages and so much, much more!

Old 11-13-2014, 04:47 AM   #2
Senior Member
cc8375's Avatar
Newmar Owners Club
Join Date: Dec 2002
Location: Pasadena, Md.
Posts: 1,004
Never heard the Closing Cost Question. My understanding on Interest is yes.....
"For you to take a home mortgage interest deduction, your debt must be secured by a qualified home. This means your main home or your second home. A home includes a house, condominium, cooperative, mobile home, house trailer, boat, or similar property that has sleeping, cooking, and toilet facilities."

"Generally, home mortgage interest is any interest you pay on a loan secured by your home (main home or a second home)."

Publication 936 (2013), Home Mortgage Interest Deduction

CC..... Happy Rving!!
2013 Newmar - Canyon Star 3940
2012 Honda CR-V toad
cc8375 is online now   Reply With Quote
Old 11-13-2014, 06:03 AM   #3
Senior Member
paz's Avatar
Join Date: May 2005
Location: Full-timers - Home is where we park it.
Posts: 4,431
To qualify as a second home, an RV must be fully self-contained. That means it must have sleeping accommodations and bathroom and kitchen facilities. I don't think closing costs are part of the requirement.

Closing costs for real estate include things like a title search, loan origination fees, title transfer taxes, repaying the seller for prepaid property taxes, etc. You would not have such fees with an RV. However, with an RV you may have expenses like dealer prep, delivery fee, state license and title fee, loan application fee, notary fee, etc. that get added after your negotiations.
2015 DRV Tradition 375KPS
2015 Chevy Duramax 3500HD LTZ Dually
Full-timers...Home is where we park it.
Check out our blog: Living Our Dream
paz is offline   Reply With Quote
Old 11-13-2014, 06:10 AM   #4
Senior Member
bulldog2's Avatar
Join Date: Apr 2014
Posts: 260
when i got my boat ,i asked my tax advisor about it ,she said if you can cook in it ,sleep in it ,and poop in it ,its a vacation or second house and yes you can deduct it
bulldog2 is offline   Reply With Quote
Old 11-13-2014, 06:13 AM   #5
Senior Member
CoreyinWP's Avatar
Entegra Owners Club
Join Date: Dec 2012
Location: West Palm Beach, Fl
Posts: 1,015
while you can deduct the interest like mortgage interest it is not mortgage interest on your return. If you put it in as home mortgage interest you will not have the corresponding tax doc for home interest like you would from the bank from your home. No closing costs are needed
Corey and Tammi
2013 Entegra Anthem DEQ
2015 Buick Enclave
CoreyinWP is offline   Reply With Quote
Old 11-13-2014, 06:13 AM   #6
Senior Member
Tha_Rooster's Avatar
Join Date: Aug 2008
Location: Georgia
Posts: 4,074
Yes it is deductible I've been contacted by IRS twice.
2007 Fleetwood Revolution LE 40V
Tha_Rooster is offline   Reply With Quote
Old 11-13-2014, 06:30 AM   #7
Senior Member
camato5's Avatar
Thor Owners Club
Freightliner Owners Club
Join Date: Aug 2014
Posts: 447
So far all the advise you got seems correct. I had a 5er that I claimed interest every year, cook, and poop and sleep its a second home. I did not pay closing costs, it is not real estate.. That may just be additional dealer profit!!!!! ya gotta watch them guys ha
camato5 is offline   Reply With Quote
Old 11-13-2014, 06:37 AM   #8
Senior Member
Firebug5's Avatar
National RV Owners Club
Workhorse Chassis Owner
Retired Fire Service RVer's
Join Date: Apr 2014
Location: Salida, Colorado
Posts: 656
Here is the IRS publication:

Publication 936 (2013), Home Mortgage Interest Deduction


EDIT: Sorry, I typed toooooo slow, somebody already posted it.
Bruce & Judy, living the dream in Salida, CO!
2005 Nat'l Dolphin W22 Chassis, 2004 Jeep Liberty
"Let's Roll 'em, Let's Roll 'em!"
Firebug5 is offline   Reply With Quote
Old 11-13-2014, 08:51 AM   #9
Moderator Emeritus
Gary RVRoamer's Avatar

Fleetwood Owners Club
Freightliner Owners Club
Join Date: Jan 2000
Location: Silver Springs, FL. USA
Posts: 16,432
You an forget about closing costs - the IRS pubs state no such requirement. Others have already outlined what is needed, so I won't repeat.

I've included RV "secured-home-loan" interest on my 1040 Schedule A for 15 years now and never been asked to provide additional documentation. You do need to fill in lendor info, though, since you will not have the form 1098 from the lendor that normally provides that direct to the IRS. The Schedule A instructions describes what to provide.
Gary Brinck
2004 American Tradition; 2014 Buick LaCRosse
Homebase in the Ocala Nat'l Forest near Ocala, FL
Gary RVRoamer is offline   Reply With Quote
Old 11-13-2014, 09:12 AM   #10
Senior Member
tomckeon's Avatar
Monaco Owners Club
Join Date: Mar 2013
Location: Bellingham, WA
Posts: 224
Rather than dealing with a second home, I mortgaged my stick and brick (which was already paid off) and used that money to purchase MH. Advantages included a substantially lower interest rate than I could get for just a MH and I hold the title to MH. I now have "full" Home Mortgage Interest deduction without the need to do additional claiming.
Tom and Gail McKeon plus Chief
2007 Beaver Contessa 42' Tag CAT C9
2010 Jeep Wrangler 1997 HD Roadking on Hydralift
tomckeon is offline   Reply With Quote
Old 11-13-2014, 09:23 AM   #11
Senior Member
Join Date: Apr 2010
Posts: 2,300
Everyone has given you the proper advice but I would caution you on using the home equity loan to buy an RV. Technically, the limit on home equity loans is $100,000 for the interest to be deductible. You can use the tracing rules to show that you used the proceeds of the loan to purchase a second home (RV) and that may work, depending on the auditor.

Remember that if you do go the route of the RV loan to show the interest on the other interest line on the Schedule A and that will help you to avoid a letter from our friends at the IRS.
2011 Berkshire 390bh
wnytaxman is online now   Reply With Quote
Old 11-13-2014, 11:42 AM   #12
"Formerly Diplomat Don"
Dutch Star Don's Avatar
Newmar Owners Club
Join Date: Apr 2005
Location: Moorpark, Ca.
Posts: 7,214
I do my own taxes (Turbo Tax) and I place the motor home interest on the "Other" line. I include the words Motor Home Loan, name of the lender and the loan number. About every three years, they send a letter asking what the loan is for, rather than look at the verbiage on the return.

Over the years, the IRS has clamped down pretty good on fraud by requiring forms from employers, banks, retirement funds etc. The one item of fraud they miss, is the claiming of interest on second homes (RV's). I wish they would require the banks to produce interest statements on RV loans when requested by the borrower. It would save hassle in the end.
Don & Mary
2014 Newmar Dutch Star - All Electric - 450 ISL
2016 GMC Canyon 4WD Crew Cab
Dutch Star Don is online now   Reply With Quote
Old 11-13-2014, 07:05 PM   #13
Senior Member
Join Date: Mar 2010
Posts: 100
The "other" box is the key I think to not getting a call from the IRS. We didn't know about the deduction for the first five years and it wasn't until I called and talked with an IRS agent that I found out about how to do it. I even refilled the previous four years and got a check for each.
tfiedler is offline   Reply With Quote
Old 11-13-2014, 07:10 PM   #14
Senior Member
Mr_D's Avatar
iRV2 No Limits Club
Join Date: May 2011
Location: Vancouver, WA
Posts: 22,382
Our lender has been sending us a form to include with our taxes for years now so I use it and include a copy with our return. Never had a problem or question from the IRS about it.

2009 45' Magna 630 w/Cummins ISX 650 HP/1950 Lbs Ft
Charter Good Sam Lifetime Member, FMCA, SKP
RV'ing since 1957, NRA Benefactor Life, towing '05 Odyssey
Mr_D is online now   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Sales Tax Deduction in 2013 and 2014 wnytaxman iRV2.com General Discussion 24 01-22-2015 09:02 PM
Home at Last pttaylor Entegra Owner's Forum 9 05-11-2014 09:53 AM
Rv loan help ! JCMINIS iRV2.com General Discussion 13 04-19-2014 05:22 AM
Interest Rates majfrizz RV'ing On A Budget 2 06-10-2013 05:56 AM

» Virginia Campgrounds

Reviews provided by

Our Communities

Our communities encompass many different hobbies and interests, but each one is built on friendly, intelligent membership.

» More about our Communities

Automotive Communities

Our Automotive communities encompass many different makes and models. From U.S. domestics to European Saloons.

» More about our Automotive Communities

Marine Communities

Our Marine websites focus on Cruising and Sailing Vessels, including forums and the largest cruising Wiki project on the web today.

» More about our Marine Communities

Copyright 2002-2015 Social Knowledge, LLC All Rights Reserved.

All times are GMT -6. The time now is 12:23 PM.

Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2016, vBulletin Solutions, Inc.