Can I deduct the interest from my home equity loan in 2018? Yes, but…

only if it adds to or improves the value of your home. Additionally,  the deduction only applies to $750,000 of qualified residence loans. The limit is $375,000 for a married taxpayer filing a separate return. These are down from the prior limits of $1 million, or $500,000 for a married taxpayer filing a separate return.  The amount of the home equity loan, original loan and any other loans or lines of credit used for the home would apply to the limit.

So, if you use your home equity loan to pay off student loans or other personal expenses, it is NOT DEDUCTIBLE anymore.

If you have any questions, please feel free to comment below!

https://www.irs.gov/newsroom/interest-on-home-equity-loans-often-still-deductible-under-new-law