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Smith Maneuver Calculator

See how much of your home equity could be put to work, and what it could mean for your mortgage. Own rental properties too? We'll factor in cash damming and show how much further that could take things. Answer a few quick questions for an instant estimate. No obligation, and it takes under a minute.

Smith Manoeuvre + Cash Damming Calculator

Answer a few quick questions about your primary residence — and your rental properties, if you have any.

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Residence
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Rentals
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Contact
Primary Residence & Income
$
Please enter your home's estimated value.
This is the non-deductible debt cash damming pays down faster.
$
Enter 0 if your home is mortgage-free.
Used to calculate your payoff timeline.
%
Please enter your mortgage's interest rate.
How many years left on your current mortgage.
yrs
Please enter your remaining amortization in years.
  Please select your province.
Used to estimate your marginal tax rate. Please select your household income range.
Rental Properties
Where Should We Send Your Results?
Please enter your first name.
Please enter your last name.
Please enter a valid 10-digit phone number.
Please enter a valid email address.

Your Personalized Estimate

Based on the numbers you entered, here's what your home equity — and rental properties, if you have any — could do for you.

Combined Home + Rental Equity (Today)
$0
Combined estimated value of your home and any rental properties, minus what's still owed on them.
Equity You Could Access Now (Refinance to 80% LTV)
$0
A common ceiling lenders use for HELOCs and readvanceable mortgages against your home and rental properties.
Extra Non-Deductible Debt Paid Down Per Year
$0
Your combined rental cash flow, redirected to accelerate paydown of your primary residence mortgage — the core of cash damming.
New Tax-Deductible Investment Loan Created (Year 1)
$0
Equity accessible now, plus the first year of cash damming paydown (if you have rentals), re-advanced under the Smith Manoeuvre into an investment loan.
Estimated Annual Tax Savings
$0
Illustrative estimate if that investment loan were deployed at your marginal tax rate and an assumed 5.65% borrowing rate.
Years to Pay Off Your Non-Deductible Mortgage
0 years
Based on your current rate and amortization, plus your rental cash flow redirected on top.
Projected Net Worth Increase (10 Years)
$0
Combines the extra home equity from faster paydown, projected growth on your re-advanced investment loan at an assumed 6% annual return, and 10 years of banked tax savings. Markets fluctuate — this is illustrative, not a guarantee.

Want to see exactly how this would work for you?

Book a free, no-pressure clarity call with a Wise Equity advisor. We'll walk through your numbers and answer your questions.

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These figures are illustrative estimates only, generated for educational purposes based on the information you provided. They do not constitute a mortgage approval, financial advice, tax advice, or investment advice. Actual amounts depend on lender criteria, appraised value, underwriting, documented use of borrowed funds, and your individual financial and tax situation. Speak with a licensed Wise Equity advisor before making any financial decisions. Wise Equity Inc. — Lic #M19002342, FSRAO Brokerage #13463.

What this calculator estimates

The Smith Maneuver converts the non-deductible interest on your home mortgage into tax-deductible investment debt, gradually, as you pay your principal down. How much you can convert depends on one thing above all: how much equity you have available to borrow against.

That is what this tool estimates. It looks at your property value, what you still owe, and your goals, then returns an indication of the equity you could access and what it could support. Treat the result as a starting point for a conversation rather than an approval or a quote.

If you want the strategy explained in full before running your numbers, start with our guide to how the Smith Manoeuvre works in Canada.

Own rental properties as well? The calculator now factors in cash damming too — redirecting your rental cash flow to pay down your mortgage faster, which accelerates the whole strategy. It's entirely optional; the core Smith Manoeuvre estimate works the same as always if you skip that part.

The annual tax refund

The part most homeowners have not considered is what happens at tax time. Once the interest on your re-borrowed investment funds is deductible, it reduces your taxable income, and that produces a refund.

What makes the strategy compound is what you do with that refund. Applied straight back against your non-deductible mortgage principal, it shortens the mortgage, which frees up more credit to re-borrow and invest, which increases the following year's deductible interest. Each cycle moves a little more debt from the non-deductible side to the deductible side.

As an illustration only: $100,000 of investment loan at 5% accrues $5,000 of deductible interest in a year. At a 40% marginal tax rate that is roughly $2,000 back. Your actual figure depends on how much deductible interest you have accrued, your marginal rate and your wider tax position. Refunds are not guaranteed and this is not tax advice.

Before you rely on the numbers

The Smith Maneuver depends on having the right mortgage structure, usually a readvanceable mortgage, and on documenting how borrowed funds are actually used. Interest is only deductible where the money is invested to earn income, and the rules are specific.

It also involves borrowing to invest, which increases your risk. Markets can fall, and the debt remains regardless. This calculator does not assess suitability. That requires a look at your income, your existing mortgage, your tax position and your timeline.

Frequently Asked Questions

Both refer to the same strategy. “Manoeuvre” is the Canadian and British spelling, “Maneuver” is the American one. The strategy was developed by Canadian financial planner Fraser Smith, so you will see the Canadian spelling most often here, but the two are used interchangeably.
It depends on two things: how much deductible investment interest you accrued during the year, and your marginal tax rate. Deductible interest of $5,000 at a 40% marginal rate returns roughly $2,000. The refund grows as more of your mortgage converts to the deductible side, but it is never a fixed or guaranteed amount, and your full tax position determines the result.
This calculator runs in your browser, so there is nothing to download and your figures are not saved to a file. If you would like your numbers laid out in a spreadsheet you can keep, ask for one when you book a consultation and we will prepare it against your actual mortgage.
In almost all cases, yes. The strategy relies on a credit limit that grows as you pay down your principal, which is what a readvanceable mortgage provides. Without that structure there is no straightforward way to re-borrow the principal you have repaid.
Only where the borrowed money is invested to earn income, and only where that use is properly documented. Deductibility follows the use of the funds, not the type of loan, so the paperwork matters as much as the structure.
It is an illustration based on the figures you enter, not an assessment or an offer of credit. Your actual borrowing capacity depends on lender qualification, your income, your credit profile and a current property valuation.
No. This works whether you own zero, one, or several rental properties. Without any, you'll get a standard Smith Manoeuvre estimate based on your home equity alone. Add your rentals if you have them, and cash damming layers on top to accelerate things further.
If you own rental property, you have two sources of leverage: the equity in the properties themselves, and the cash flow they generate. Cash damming puts that cash flow to work paying down non-deductible debt faster; the Smith Manoeuvre puts the resulting equity to work as a tax-deductible investment loan. Used together, each one accelerates the other.
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