Debt Recycling explained, when it can save you big $$$ - With Jeremy Iannuzzelli

[@alexli6576]

Jeremy shows people what articulation really means in work. So good and clear. Thanks Todd.

[@nictoriousdetailing]

This is a amazing video. Keep it up man appreciate your work alot of information you find is normally very shallow and all copy and paste basics reworded. You're going to have alot more subs soon and will skyrocket. Actually surprised you haven't yet! been watching you for ages now and releasing bangers after bangers

[@pizzaandproperty1246]

Thanks mate! Really appreciate that 😊

[@touseefk]

Great podcast, this guest needs to come more often due to his clarity and ability to explain in an engaging way. ❤

[@pizzaandproperty1246]

Thanks mate glad you enjoyed it! Linked an episode bellow I think you’ll like 👇🏼 Endless Borrowing! Accountant Reveals How Investors keep Growing - With Jeremy Iannuzzelli kzbin.info/www/bejne/mne0nZ6ld5uIbas

[@dk19-79]

This is one of the best video I have ever watched. I generally follow youtube channel. I rank this one as one of the most important one for a seasoned investor. Jeremy explained the most complex subject in most simplest way with tons of value.

[@weil9454]

Best explained video on KZbin so far regarding debt recycling 😊

[@pizzaandproperty1246]

Thanks mate 🙌🏼

[@yangliu4290]

A redraw is still a practical option. First, split the new loan by taking $200k from the initial $700k. Then, pay down the $200k portion of the loan. Once that's done, you can redraw those funds for investment purposes. This approach is less hassle than refinancing, which often requires more documentation and a valuation. Additionally, it reduces the risk of being unable to borrow with a $500k + $200k loan structure, especially if your serviceability has decreased compared to before.

[@pizzaandproperty1246]

Great point, DR isn’t the answer for everyone but it can be a great fit for some situations, so important to actually unpack your options and choose what’s best at the time

[@upeksha04]

great round up summary and details. thanks guys

[@pizzaandproperty1246]

Our pleasure mate 👍🏼

[@kyliek6245]

Very interesting! Thank you so much for making this episode. Great tips for planning a structure of the investments.

[@pizzaandproperty1246]

Glad you enjoyed it Kylie 😊

[@U.s.e.r.3493]

Great knowledge share

[@pizzaandproperty1246]

Thanks mate!

[@chrisspencer1879]

Great video guys, explained well. I think you should do a part 2 to this video which explains the transition of all of your PPOR untaxable interest to 100% taxable interest through debt recycling by either using positive cashflow property investment or income generating assets. The listeners will really benefit especially if debt recycling is new to them

[@ah3895]

Thanks for this video very helpful learned a lot time to go back to the broker and the accountant. Jeremy is king ! And that split loan idea is very interesting description!

[@pizzaandproperty1246]

Glad you enjoyed it! Yeah it makes things so much cleaner which makes a big difference especially as you grow your portfolio

[@nurindas]

going with the extreme example of the scenario in this episode- say you've got that $700k loan on PPOR and actually have $700k sitting in the offset account, is it better to pay off the loan for PPOR completely and then take out the equity to purchase an investment? does it have the same effect as the debt recycling when the cash = loan amount?

[@andrewgauci366]

How does Debt Recycling compare to “Rentvesting” (I’m referring to selling PPR, renting a home and using capital from PPR to invest). If you had a choice would you consider one over the other?

[@samd8652]

Is a Line of credit the same or similar ?

[@Em-sw2fu]

Thanks for the video! Question here! My PPOR loan amount is $700k , the $200k cash sitting in the offset account, that means I am paying $$500K interest. Do we really need a separate account to invest? I put cash $200k into $700k loan and make the loan amount $500k now And I only use redraw facility & Back out of that $500k grand loan to create a $700K loan again, still use that $200k for investment. Will that $200k still tax deductible ( without separate loan account)?

[@touseefk]

Simple answer, no, IMHO.

[@oldschoolundertaker]

Hey Todd thanks for another great episode. I'm from New Zealand, if you were in my situation with 600k budget buying a IP non regional and specific to a suburb what would your pick be? Rentvesting in 2025

[@haydenwaititi-parata5984]

@oldschoolundertaker Are you currently living in Australia? I’m originally from Wellington, NZ, and now work as a buyer’s agent in Australia. I’d be happy to help you with suburb selection based on your brief-completely free of charge. Always happy to help a fellow kiwi.

[@James-sm1wn]

Does this work if you dont have a PPOR but have money in an offset tied to an IP? Thanks

[@nithinreddy2788]

content was on point. Thanks for the informative video

[@pizzaandproperty1246]

Thanks mate 😊

[@primalfitness5918]

Great video. Does the system also work if you don’t start with $x in offset, but instead you have $x in equity of the PPOR? Eg I might have $500k equity in a $1m PPOR, so I refinance to release $200k of equity and use that as the split loan?

[@pizzaandproperty1246]

Great question mate! it does but it’s not quiet the same thing as debt recycling, the equity coming from your PPR “$200k equity” can be created as a split and used for investment proposes but it still began as debt. If you had $200k cash you could use as a deposit on a $600k IP you’d have aprox a $400k mortgage (forgetting buying costs) meaning $400k is now tax deductible. By moving the cash into a PPR then pulling out in equity and using to buy $600k IP your total $600k is now tax deductible. This isn’t for everyone but when it is a good fit it can work really well 👍🏼

[@Yakitoriotaku]

Step 1. Have 200k cash sitting in an account 😅

[@pizzaandproperty1246]

lol yeah 100% makes it a lot easier but this works the same on the smaller scale done more frequently could totally start with $5k