32: Paying Cash vs. Using Debt to Purchase Real Estate
Should you use cash or debt (leverage) to purchase real estate? There's actually good and bad times to use either. Jason discusses the scenarios when you should use cash vs. when to use debt in your real estate investments. Investment-grade debt is great. Rental property is the most debt-friendly asset class in America. First, Jason defines good debt. Then discusses the advantages of using loans to buy rental property and how amortization plays a role. Finally, Jason talks about when you SHOULD buy properties with cash. Lastly he covers some additional reasons why debt gives you leverage in most situations. Website: www.JasonHartman.com/Properties