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Annual Mortgage Statement

Annual Mortgage Statement

What Is an Annual Mortgage Statement?

An annual mortgage statement is a statement shipped off a mortgagor by the mortgagee's servicer. The statement normally shows the interest paid on a mortgage, the current mortgage balance, the current interest rate, the term of the loan, the amount staying on the mortgage term, the escrowed taxes or potentially insurance that the lender paid for the borrower's sake, contact information for the lender, and assuming there are any unpaid debts — or past due payments — on the mortgage.

How an Annual Mortgage Statement Works

Annual mortgage statements are prepared by the mortgage lender. These documents are incorporated once every year and conveyed to borrowers. The purpose of the annual mortgage statement is to provide the borrower with key information connected with the loan, activity on the account, and information about other financial obligations for which the borrower is responsible. A mortgage statement may likewise incorporate a history of payments from the date of the last statement that was issued.


An annual mortgage statement isn't equivalent to a amortization schedule, what breaks down how payments are applied to principal and interest over the life of a loan.

Mortgage statements can likewise be issued month to month as a periodic statement or provided to the borrower upon request. The information provided in the statement assists the borrower in taking the right deductions on their tax with returning in the event that they hope to deduct interest paid to the loan.

Annual mortgage statements are important disclosure documents for the buyer. They're likewise key financial documents that contain sensitive information. Hence, it's important to securely check their exactness and store them. For instance, borrowers ought to compare the annual statement with their records, then, at that point, report any slip-ups or oversights connected with the statement, outstanding balance, or payment history to the lending institution right away so a revised statement can be issued, if vital.

Borrowers ought to store mortgage statements securely and, on the off chance that requesting explanations for any of the estimations with their lender, they ought to request those explanations recorded as a hard copy. Most financial institutions presently make annual mortgage statements, alongside month to month statements and other account information and updates, accessible with the goal that customers can undoubtedly access them online and print them for their records.

This offers extra convenience since borrowers can audit and print their statements when they are free, without the need to trust that this administrative work will show up by means of mail or email. Mortgage holders can twofold check the numbers showing up on their statements by utilizing mortgage adding machines that can be effortlessly found online.


An annual mortgage statement can be a useful update that you might have to shop around for a refinance loan on the off chance that you might want to secure a lower interest rate or convert a adjustable-rate mortgage (ARM) to a fixed-rate loan.

Parts of an Annual Mortgage Statement

In the United States, the annual mortgage statement is otherwise called the year-end statement or the mortgage interest statement. It is likewise alluded to as Form 1098.

The Internal Revenue Service (IRS) requires a lender or other business to send an annual mortgage statement to any individual or entity that has paid no less than $600 in interest during a specific calendar year. On account of a mortgage, this form will list the mortgage interest paid and any points connected with the loan. Borrowers need this form if they have any desire to claim any related tax deductions to which they might be entitled. Taxpayers would have to talk with their accountant or tax preparer or audit the IRS guidelines to see whether the interest they paid is deductible and, assuming this is the case, how to list this information on their tax return.

So what's remembered for Form 1098? Key insights regarding your mortgage loan, including:

  • The lender's name and address
  • The lender's tax ID number
  • The borrower's name and address
  • The borrower's tax ID number
  • Number of properties getting the mortgage
  • Mortgage interest paid by the borrower for the year
  • Outstanding mortgage principal
  • Mortgage origination date
  • Refund of overpaid interest
  • Mortgage insurance charges
  • Points paid on the purchase of the residence
  • Mortgage acquisition date

Assuming you plan on deducting mortgage interest on your taxes, you'll require this form to make it happen. Also, it's important to guarantee that you're entering your information accurately when you file your return to augment your mortgage interest tax benefits.


On the off chance that you don't receive your annual mortgage statement, or on the other hand assuming you do however it's mistaken, contact your lender to request a refreshed Form 1098 document.

Annual Mortgage Statement Example

In the event that you recently purchased a home, you may not yet be know about what an annual mortgage statement resembles. As you head into tax filing season, it's important to be keeping watch for your Form 1098. This is what this form resembles before your mortgage lender adds the applicable information.


  • A mortgage statement is provided to the borrower periodically, annually, and can be provided to the borrower upon request.
  • An annual mortgage statement is a document shipped off a borrower by the mortgage holder.
  • In the United States, the annual mortgage statement is otherwise called the year-end statement, the mortgage interest statement, or Form 1098.
  • This statement provides the borrower with key information connected with the loan, activity on the account, and the leftover balances owed or other financial obligations for which the borrower is responsible.


What is required on a mortgage statement?

As well as listing information about your mortgage loan, for example, the principal, interest and any fees or escrow saved portions, your statement ought to likewise incorporate information about how to contact your mortgage lender, payment breakdowns, and any information in regards to past-due payments in the event that you've fallen behind.

Do I really want mortgage statements for taxes?

You don't require mortgage statements for tax purposes on the off chance that you're deducting interest to a home loan. All things considered, you'll file Form 1098: Mortgage Interest Statement when you file your return to show how much interest you paid on the loan for the year. Your mortgage company ought to issue Form 1098 to you every year.

What is an annual mortgage statement?

An annual mortgage statement is a yearly statement that incorporates important insights regarding a mortgage loan. This incorporates amounts paid toward the principal, interest, and escrow as well as the latest loan balance.