Good Morning Ramona,
Certainly the question regarding the deductibility of the mortgage interest and other typical and usual deductions is a good one and the answer is, yes you certainly are allowed to deduct the interest from both the primary loan that you may take on and the interest for any underlying mortgage the building may have and a new owner will assume as part of their financing, if one exists.
I would offer that the larger considerations one may want to incorporate when over viewing condo vs. CO-OP Purchases are the following: Building rules and how they affect your goals and expectations, resale fungibility, building and CO-OP trends and how they compare to like condos in same area. Building recognition agreements with lenders and how that may affect your purchase and or when one intends to resell.
Much like many considerations relating to the best Real Estate decisionsâ€™, the answer is usually launched from an â€œIt Depends platformâ€, one that collaborates with the purchaser to best identify your goals, intentions and defined parameters to define the best realistic options.
Kindly contact me if I may provide you with a next step approach to your search.
Thank you for your inquiry
Principal Broker-MD,DC /SR,VP Brokerage
RE/MAX Allegiance is the World's Number One Selling Company
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