I live full time overseas, and qualify for foreign earned income exclusion, which allows me to consider rent payments as a deductible expense.

If I purchase a home overseas, and live in it full time, will I be able to write off the mortgage principle payments as well as the mortgage interest payments as expenses?

Since I can deduct rent as an expense, it seems logical that mortgage principle payments would also be considered a deductible expense, but I cannot find clear guidance in the Tax publications.

I am trying to compare the cost of renting versus buying real estate overseas.

Should I buy or rent?