For US homeowners, mortgage interest is automatically tax deductible. But for Canadians, the write-off is not so straightforward. In order to make your mortgage interest tax deductible, homeowners must be able to prove that the money is being reinvested and is not being used for personal expenses.

A properly structured mortgage-centric tax strategy has several key elements – the most important of which is a multi-component, readvanceable mortgage or line of credit.  Read More…


  1. Actually living in an apartment is more wasteful than owning a condo or home, in the long-term that is.

  2. and this is why i live in an apartment. Don’t have to deal with such things.

  3. There is short-term risk involved and although this article brings up several of them it does not emphasize the real dangers. Most people end up spending the funds instead of reinvesting which is a no-no.

  4. In short The Smith Manoeuvre IS tax deductible. It’s a technique that converts regular debt into tax-deductible debt. In the process, it affords the opportunity to pay off one’s mortgage significantly faster.

  5. I am guessing the Smith Maneouvre is not tax deductible?

  6. This is true. And is one of the reasons i am baffled by how the system works compared to the US. The simple solution is to make it tax deductible and be done with it.

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