By following the simple steps set out in our very own TaxSmart Mortgage strategy, you will benefit in three different ways:

The basic strategy that Fraser Smith has so successfully marketed as “The Smith Manoeuvre” is to ensure that the interest you pay on your mortgage becomes tax deductible.

Although a tax deductible mortgage is the norm in the United States, Canadians are only recently becoming accustomed to the idea that there are methodical and conservative strategies available to convert your mortgage interest into tax deductible interest.

Each mortgage payment is made up of two components: principal and interest. By re-borrowing the money you pay down on the principal of your mortgage and investing that portion into a portfolio of mutual funds, you will create an annual tax deduction that will result in an annual tax refund. When you then reapply that refund towards your mortgage each year, you will shorten your mortgage amortization and build an investment portfolio for your retirement at the same time.

Although some financial advisors have been using various elements of this strategy for many years, our expert team of financial professionals has devised a strategy known as the TaxSmart Mortgage. The TaxSmart Mortgage combines all the elements of these strategies into one enhanced program that will help accelerate your net worth. What’s more, our strategy will not require any additional out of pocket funds on your behalf. You simply make your monthly mortgage payment as per usual, and leave the rest up to the process.