Turning Bad Debt to Good Debt
Demonstrating how bad debt can turn into good debt, debt recycling transforms mortgage debt into investment debt. With the use of equity, this is a tool that you can make work harder for you. This is what we call the Debt Recycling Strategy. By refinancing your current loan, you get a higher loan limit from which you can get a significant amount of available equity for investments. You can now choose to utilise this for various types of managed investments. The goal here is to increase your income potential until such time that all your mortgages are extinguished. Debt recycling has a steady and higher rate of success requiring investment not only through funds but also patience and time. We already mentioned this on a post we did way back, but here’s a nifty new video to give an example of how debt recycling can lessen the burdens on your investment.
Talk to a JDL Strategies client manager to learn more.