If you’re a property owner, investor or looking to get into the market The Rentvesting Podcast will help cut through the hype, look at the facts and draw on decades of experience to help you make smarter property decisions.
Jan 1, 2017
In today's episode, we're talking about a strategy called debt recycling. You can recycle your plastic and paper, AND also your debt. http://www.therentvestingpodcast.com.au/debt-recycling/ It's a long term wealth building strategy, it's not an overnight 'make $1M investment strategy', but the whole concept is that in most people's homes they have equity. For example, in your own property that you live in, all that debt is considered bad debt = non-deductable debt. Good debt is deductible debt. So the whole process is turning bad debt into good debt, over the long term. The other premise is investing now rather than waiting. Most people's whole strategy is trying to pay your home off as soon as possible but it does forego future wealth building. In this episode we cover: What is debt recycling? What is good and bad debt - the difference between them? How debt recycling works Some of the risks and common traps people get themselves into