The “TaxSmart” Mortgage

Your Key Benefits are

  • Pay off your mortgage years in advance
  • Generate annual tax refunds
  • Mobilize your home equity for investment growth
  • Maximize your family’s net worth
  • Continue to maintain your current standard of living

What is it?

Based on principles popularized by Fraser Smith, the TaxSmart Mortgage strategy propels clients ahead financially by methodically converting mortgage debt-which is not tax deductible in Canada-into tax deductible-interest investment debt.

How Does It Work?

Your mortgage payment is composed of two elements: an interest portion and a principal portion. Interest that you pay on your mortgage is not considered tax deductible and does not help enhance your wealth. By re-borrowing and investing principal mortgage payments may trigger an annual tax refund that can be used to pay down your mortgage more aggressively.

Based on this simple cycle, the TaxSmart Mortgage can have a dramatic impact on your family’s financial situation.

What’s In It For You?

The TaxSmart Mortgage strategy, when fully employed, generally results in clients eliminating their mortgage debt in fewer than ten years, while enhancing their net worth by hundreds of thousands of dollars.