Does the Hyundai Santa Fe qualify for the car loan interest deduction?
The 2025–2028 deduction turns on where a vehicle is finally assembled — not the badge. Here's where the 2025–2026 Hyundai Santa Fe is built and what it means for your loan interest.
Assembly data: NHTSA vPIC + our verified plant lists · Not tax advice · Methodology
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PASS — assembled in the USA
The Hyundai Santa Fe qualifies on the assembly test. Assembly is one of four gates — you also need a new vehicle, personal use, a 2025–2028 loan, and income under the phase-out.
The short answer
Hyundai builds the Santa Fe in Montgomery, Alabama, so this SUV clears the OBBBA final-assembly test. Financed new for personal use with income under the phase-out, a Santa Fe loan's interest can be deductible. Assembly is one gate — the calculator covers the rest.
Where the Hyundai Santa Fe is assembled
| Assembly plant | Location | Assembly test |
|---|---|---|
| Hyundai Motor Manufacturing Alabama | Montgomery, AL | ✓ United States |
Confirm the other three tests
A US-assembly PASS is only the first gate. Each remaining condition has its own guide:
New & personal-use — used cars and leases don't qualify→ Loan dated 2025–2028 — refinancing keeps eligibility→ Income under the phase-out — run the MAGI calculator→
Frequently asked questions
Where is the Hyundai Santa Fe built?
US Santa Fes are assembled at Hyundai's Montgomery, Alabama plant, a US final-assembly point that satisfies the assembly test.
Does the Santa Fe Hybrid qualify the same way?
Yes. The hybrid shares the Montgomery, Alabama line, so it meets the assembly test — your loan, use, and income still have to qualify.
Is the smaller Santa Cruz built in the same place?
Yes, the Santa Cruz pickup is also built in Montgomery, Alabama, so it's US-assembled — verify with the VIN before relying on the deduction.
Advertiser disclosure
Financing a Hyundai Santa Fe? Compare rates before you sign.
A lower rate means less interest — and the qualifying interest is what's deductible. Compare partner lenders; checking won't affect your credit score.