Using Leverage to Purchase Properties

ID Number: RE-011

1. Inputs

  • Desire to purchase real estate

2. Steps

  1. Put enough in down payment so we can weather a one- or two-year downturn and still make the payments, even if you had no renters or renters who stay and don’t pay.[1]

    Note
    If we are able to wait out downturns like this, property will always rebound.
  2. Use mortgage acceleration to pay off the loan as soon as we can.

3. Outputs

Transfer of ownership to our business.

4. Revision History

Date Revision Description

2019-12-24

1

Initial


1. Gage, Randy. Risky is the New Safe (p. 43)
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