I recently just purchased a home with FHA lending. I am having trouble reconciling the money I put down for the house. Do I put the upfront PMI fees in just the regular PMI expense and the other PMI payments in escrow?
Do I put the rest of the money in closing costs, if so is that really a capital expense? If anyone can help me walk through this that would be fantastic.
@nathanfortes2 Thanks for reaching out. This is really a question for a CPA. Tax treatment for various closing costs is somewhat complicated and we don’t provide direct tax advice. Typically, funds paid into escrow accounts should go in a Transfers category, while actual PMI payments can go in “Mortgages & Loans > Private Mortgage Insurance (PMI)”. Hope that helps!