PaperItUp turns a kitchen-table deal into a properly documented loan, then keeps the payments, records, and year-end tax statements on track for both of you. The deal stays fair, and so does Thanksgiving.
Banks send a Form 1098 every January. Family lenders usually don't have to, and most don't know what to send instead. That's where good deals get messy.
The buyer can still deduct the interest, but has to report it themselves, with the lender's name, address, and Social Security number.
To count as mortgage interest, the loan must be secured by the home with a recorded mortgage, deed of trust, or land contract. An IOU doesn't qualify.
The interest the buyer deducts should equal the interest the seller reports. Off by a few hundred dollars, and someone may get a letter from the IRS.
Answer for a loan you've made, received, or are planning. Nothing is saved or sent.
General information, not tax or legal advice. Rules for your situation can differ; confirm with your tax preparer.
Enter the terms you agreed on. We check the rate against the IRS minimum, build the payment schedule, and give your attorney or title company a checklist for recording.
Payments go straight from buyer to seller. We send reminders and receipts, and keep a shared ledger both of you can see, so no one has to be the bad guy.
Every January you both get a matching interest statement, ready for your tax preparer. Payoff quotes and an estate-ready summary are a click away.
A parent or grandparent carrying the note on a house, ranch, or land, and wanting it handled the way a bank would, without the bank.
Owner-financed homes and land, including seller-carried seconds on assumable loans. One or two notes, set up right and kept current.
You structure the deal; we keep it on track for years after closing. Clean records and year-end statements arrive ready for you.
Become a referral partner →We're onboarding a small first group of families. Reserve a spot; you won't be charged today.
We rebuild the payment history and send both of you a matching interest statement, plus an IRS-readiness review.
Reserve: $99/yrRate check, payment schedule, recording checklist, reminders, receipts, shared ledger, and year-end statements for the life of the loan.
Reserve: $249 + $19/moSend clients a setup link and get copies of their records and statements. No software to learn.
Become a partnerLeave your email and we'll reach out when your spot opens.
No. Payments go directly from the buyer's bank to the seller's. We track, remind, and document; we never take custody of funds.
No. We organize, calculate, and document. Your attorney drafts and records the note; your tax preparer files the returns. We make their jobs easier.
Not at all. We rebuild the payment history from the start of the loan and produce this year's statement for both of you.
The IRS publishes Applicable Federal Rates each month. Family loans below that rate can be treated as if extra interest was paid, which complicates both tax returns. We check your rate when you set up.