Debt recycling involves paying down your Home Loan, while leaving your investment lending Interest Only. As you increase the available equity in your Home you can draw down on your equity for investment purpose. Thereby making that portion of the loan tax deductible.
Importantly, you can use assumed further income to service this draw down, for example you can use assumed rental income of a future investment property.
You can also use these funds to purchase investments such as shares.
Once the drawn funds are invested the loan should be tax deductible.
Of course, Lendtribe does not give tax advice nor is Lendtribe a tax agent, so please seek tax advice from you tax professional regarding debt recycling.
Keep in mind