_*Compounding ON Investments or FOR Loan payment...your Money Movement*_

This illustration I did, depicts the movement of one's money over a time period....

_*How many times will one either EARN or PAY UP?*_

_Compounding_ works both ways....

For the investor _CASH GROWS_

For the borrower _CASH GOES_

Pls look at the # of times one will end up paying on a borrowred amount over a 25 & 30 year period

This 25 & 30 year periods are primarily home loans /// or I would say, anyone who keeps on borrowing and repaying perpetually also faces the same situation.

_*Either work for oneself or for the lender / banker*_

The choice is pretty simple 🙂

Some people have this phenomenal idea that *all real estate* grows...

_*NO*_

Not all real estate goes the same way

Btw...one breaks even in such a deal in 30 yrs, if and only the value of the property goes up over 13.26 times

That's just the breakeven point

So, how much should the price go up to make 9% return on it, post taxes and other expenses over the 30 yr period

Anybody's guess 😀