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Manoeuvre What is it?
The concept is to borrow equity from your property
for the purpose of investment and reducing personal income taxes.
What are the risks?
There’s no guarantee your investments will
appreciate, though an investment advisor or financial planner can help
you manage that risk.
Want to know more?
As a Mortgage agent, I can advise you on the
equity portion of the manoeuvre. I can also introduce you to a Financial
Planner and an Accountant who can help you realize a tax benefit.
Why borrow?
Essentially you’re borrowing against your
own property. Interest on the borrowed amount (owed to the bank) can be
tax deductible when invested in non-registered investments, or investment
properties.
Who does it involve?
There are three Professionals who can
assist you in implementing the manoeuvre
- Mortgage agent: To borrow equity
from your property
- Financial Planner: To advise on
placement of the investment
- Accountant: To realise the tax benefit
of the manoeuvre
Recommended reading Ellen Rossman’s Toronto Star
article
www.thestar.com/article/174167
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