Debt Recycling Strategy

Turn your mortgage into a wealth-building machine.

For high-income and established professionals, one of the most underused strategies in wealth creation is debt recycling. Done right, it allows you to reduce non-deductible (bad) debt while building a portfolio of income-generating assets — without compromising lifestyle or liquidity.

As your mortgage specialist, I can help you implement a clear, compliant debt recycling strategy that aligns with your financial goals, tax profile, and long-term investment plan.

Why it matters for high-income earners:

Improve after-tax returns:

Shift your repayment strategy to improve tax efficiency

Accelerate wealth creation:

Build a growing investment portfolio while still paying off your home loan

Leverage without overstretching:

Use structured borrowing to grow wealth without compromising your financial position

Stay in control:

Maintain cash flow flexibility while applying a disciplined strategy

Let's work closely to ensure your structure is sound, tax-compliant, and tailored to your broader strategy.

What is Debt Recycling?

Debt recycling involves progressively converting non-deductible home loan debt into tax-deductible investment debt. This is typically done by:

Using available equity or loan repayments to invest in income-generating assets (e.g., shares, managed funds)
Reborrowing the repaid amount via a loan split or line of credit
Dedicating investment returns and tax benefits to accelerate mortgage repayment and further investment