18 Reasons to Invest in Real Estate

10. Pay down Loans to Increase Leverage

One does not have to be an experienced investor to understand that a mortgage can be paid down either quickly or over time in order to increase one’s overall leverage. By paying down the existing loan, there will be additional investment resources available in the form of increased equity in the property. This equity can in turn be used to free additional funds to help purchase another home or property to further increase profits. Although there is nothing new about this method, when used in an analytical fashion with the right property types, investors can rapidly increase their investment income in many cases.