Leverage In Real Estate |

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Some simple slides to illustrate the power of leverage in real estate investment. One of many small tools I'm developing for investors to use at www.chrisdavies.ca. Feel free to use this deck, but please credit me and link back where appropriate.

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www.chrisdavies.ca

Leverage in Real Estate

www.chrisdavies.ca

Lev-er-age:

The use of a small initial investment, credit, or borrowed funds to gain a very high return in relation to one's investment, to control a much larger investment, or to reduce one's own liability for any loss.

Dictionary.com

www.chrisdavies.ca

Purchase Price $100,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $100,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $100,000

Hold for 5 Years at 5% growth

www.chrisdavies.ca

Purchase Price $100,000

Cash $100,000

Value$125,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $100,000

Value$125,000

Profit $ 25,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $100,000

Value$125,000

Profit $ 25,000

Return on Investment

25%

www.chrisdavies.ca

Purchase Price $100,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $ 25,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $ 25,000

Hold for 5 Years at 5% growth

www.chrisdavies.ca

Purchase Price $100,000

Cash $ 25,000

Value$125,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $ 25,000

Value$125,000

Profit $ 25,000

www.chrisdavies.ca

Purchase Price $100,000

Cash $ 25,000

Value$125,000

Profit $ 25,000

Return on Investment

100%

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