|
|
|
|
|
by daft_pink
342 days ago
|
|
I think the downside of your analysis is you don’t consider the impact of leverage on rate of return. The amount of equity you actually put in is very small so even though the overall return is low, the actual return on investment is much higher than your analysis shows. Or put simply no one would buy stocks with a very small down payment and an enormous amount of leverage the way that they buy real estate and that’s what you’re missing |
|