maggiely2022
Returning Member

Interest expenses related to funds borrowed for down payment at a townhouse

Hi,

 

I signed a purchase agreement to buy a townhouse that will be closed in 2023. However, in order to pay the down payment, I borrowed the funds from friends, and I agreed to pay interest on an annual basis. The townhouse is an investment property that I intend to rent it out after closing. May I ask can I claim interest expenses in 2021 although the townhouse will be closed in 2023?