Do you mean self-directed rrsp and tfsa accounts to buy or use in your real estate business?

@@torontoHomeRepairs Mortgages and Real estate Trusts from real estate investment companies. Mortgages are secured against property so If they fon't pay, you typically don't lose. Real estate trusts are usually comprised of multifaceted real estate investments to mitigate the risk of just being invested in one asset class. Anything you are high risk, keep outside the RRSP and TFSA so you can claim lossed if need be. You can also put money in your RRSP and have it registered and working for you, but not apply the amount you invested towards a refund. You would do this if you knew there was going to be a payout on an investment, lets say in three years. Then you would use the three years worth of RRSP input to go against the extra income. I usually have investment loan costs, which I will defer until I have a gain that I don't want to get roasted for. You could put money in an RRSP, get a tax rebate, have an investment loan cost and withdraw the amount out of your RRSP to offset the loan costs. Or you could just claim the loss and put money in the RRSP and get a bigger refund. You cannot borrow money and put it in a tax sheltered fund AND write off losses. If you always have a LOC being used for investments, that leaves you with more money for your resgistered accounts and investments in them.

That's 50% on the net profit which if you have a good accountant should be minimal.

Awesome, thank you!

I don't think so but I'm not a cross boarder accounting expert. Talk to one and see if it's possible.

The big 6 banks self-directed options do not let you invest in Real Estate such as development projects and private lending. You have to do them through a trust company such as Olympia Trust, etc.

@@DarrenVoros great point, mainly the administration is a head ache.

Noted

@@DarrenVoros Yes Please!

It doesn't really work that way. Your corporation would still need to qualify for the purchase and in most cases they'll ask for a personal guarantee.

Refinance is not income. It's tax free. Cash flow after expenses is taxable. You can absolutely use depreciation.

@@DarrenVoros ty 🙏

Great question Craig. I wouldn't pull the cash unless it still had positive cash flow.

All of it! mortgage interest is always a deduction

Haha I see what you did there.

@@DarrenVoros :) I really enjoyed this video and already started TFSA maximization strategy in my welthsimple account thanks to your videos. I do have a couple of questions and would hihgly appretiate your response: 1. You mentioned 3 companies that allow self-directed TFSA - which one do you preffer? 2. Related to corporation, at what point do you think is good to incorporate? I own 2 rentals, 38k in revenu and it hits hard me with my full time job revenu. Thanks

@@christopherpapin6574 you use that money as a down payment to buy a new property

I've personally never heard this, I've held properties for about 8 years personally and there are benefits of not using a corporation, however there are corporations all over the world that buy and hold vacant real estate and don't rent out the units/houses and don't renovate them either. A house doesn't need to be gutted to be considered a flip. U can literally buy a house for 150k and sell it the next day for 200k without putting a dime into it and it's still a flip. I'd love to know their reasoning

Thanks Jacob. It was money well spent.

Yes

Glad you think so!

Good question. I'd speak to your accountant about it. I'd hate to give you the wrong advice.

Thanks Jason