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Mortgages.

Make your mortgage tax deductible with smart borrowing strategies.

Are you paying attention to the right things when hunting for a mortgage? There are three important factors to consider when it comes to your mortgage:

  1. Your mortgage rate
  2. Your mortgage terms
  3. Your tax implications

Despite popular opinion, your mortgage rate is the least important factor to consider.

Did you know that, at some point, most homeowners will break their mortgage? Often people will break their current mortgage to secure a lower interest rate elsewhere or because their situation has changed.

However, breaking a mortgage with a Canadian Bank can incur penalties of $30,000 or more. That’s why it’s so important to prioritize the terms of your mortgage. Favourable terms for breaking a mortgage will provide greater potential for savings down the road — and let you find ways to make your mortgage tax deductible.

Kevin Bell and his team understand how to navigate the mortgage process to get our clients the best terms, the best rates, and tax savings opportunities. No matter your situation, our team can help you find smart strategies to help you save with your mortgage.

Book a consultation with Kevin today.

How We Help

Find out how we can help with your mortgage.

Buying Your First Home

When purchasing your first home, there are a number of incentives and programs you can take advantage of to fund your down payment, receive rebates, and qualify for tax benefits.

One of the strategies that we use to help our clients save is the Home Buyer’s Program (HBP). This program allows prospective homeowners to withdraw up to $35,000 per individual from an existing RRSP to put towards the purchase of a new home.

RRSP contributions (RRSP loans) can be used to get or increase your down payment at a lower interest rate than a line of credit or another type of loan. For more information, click here to read our case study.

When you apply for a mortgage with us, Kevin Bell and his team will use these types of borrowing strategies to ensure you get the most favourable terms for your mortgage.

Refinancing A Property

Do you have existing equity in your home or a secondary property? If you’ve seen the value of your home increase over the past few years, it may be a great time to refinance and diversify your existing investments.

Refinancing your home can allow you to leverage your equity to catch up on RRSP and RESP contributions, while simultaneously reducing your taxable income. That’s how our team was able to help our clients, Jeremy and Tina.

By refinancing their home, Jeremy and Tina were able to bring their after-tax interest tax from 3% to 0.68%. At the same time, they were able to catch up on RRSP and RESP contributions and put $30,000 yearly towards savings for retirement and their childrens’ education. Read their story here.

After a detailed look at your financial situation, Kevin Bell and his team can develop a similar plan to help you leverage your equity, reduce your tax burden, and diversify your investments.

Investing in Property

Rental properties are one of the best investment vehicles available today. However, the challenges of financing the purchase of an investment property can make it difficult to take advantage of this opportunity.

Most lenders will discount rental income when considering your net income on mortgage applications, which makes it harder to qualify. We have solutions to this problem.

Our team has exclusive access to the only lenders in Canada to grant mortgage approval based on net worth (not net income). We can show you how to restructure the financing on a primary property, in order to make more of your mortgage tax deductible when it becomes an investment/rental property. Read our case study to learn more.

Our Partner | The Mortgage Group

TMG The Mortgage Group is an award-winning national Canadian mortgage company with hundreds of qualified and accredited mortgage industry professionals providing residential and commercial services. Since 1990, TMG has helped over a quarter million Canadians get the best financing solutions and mortgage rates through its network of lending partners from coast-to-coast.

 

Learn how smart borrowing strategies can make your mortgage tax deductible.

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