My memory is fuzzy, but i recall that mortgage interest is deductible only
on a primary residence. Further, the lender's sense of security takes a big
hit if the asset securing the loan can be trucked away. I'd first explore
borrowing against the first home.


"Steve Lusardi" wrote in message
...
Glenn,
Good luck. Pay close attention to the insurance requirements the mortgage
mandates. You may find them unacceptable as well as unaffordable.
Steve

"Glenn Ashmore" wrote in message
news:0X7Ag.8223$ok5.4280@dukeread01...
In accordance with my original plan for paying for Rutu I am going to
have
to finance the last $30K for spars, sails and the last items needed for
commissioning. I can't get a permanent loan until she is finished.
Within the next couple of months Rutu will be spruced up enough to give
my
banker a tour and get an interim loan until she is finished and I get a
permanent boat loan. In IRS parlance Rutu has 3 bedrooms, 2 baths and a
kitchen which qualifies here for the second home mortgage interest
deduction. It will still be a year before she is in the water. Anyone
know if the construction interest is deductible on a yacht? I know it
is
on a regular house.

--
Glenn Ashmore

I'm building a 45' cutter in strip/composite. Watch my progress (or lack
there of) at: http://www.rutuonline.com
Shameless Commercial Division: http://www.spade-anchor-us.com