Richard CanfieldPodcast Host and IBC Advisor, Ascendant Financial · Authorized Infinite Banking Practitioner | Author of 4 Books

Leverage Real Estate for Bigger Profits

15 Mar 2025 · 1 min

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0:35

Richard Canfield shows how mortgage financing multiplies real estate returns. A $1 million property gaining $100,000 yearly yields 10% on cash but 50% on your $200,000 down payment if you finance 80% of the purchase.

Questions this video answers

$1,000,000

10% per year

$100,000 per year

20% down

$200,000

Chapters

There's a million dollar piece of real estate that's sitting out there somewhere. Million dollar piece of real estate that's growing by 10% a year. It's growing by 100 grand a year. The million dollar piece of real estate. Let's say you buy that piece of real estate, all cash, take a million dollars, buy the piece of real estate, it grows by 100,000. You made your 10%. Great. Same piece of real estate, same rate of return, it makes same hundred thousand. But we financed it. So we put 20% down. We took $200,000 for the piece of real estate. It grew by 100,000. What do we make on our money in that situation? 50% of our money. Financing boost returns we try to give the people is, hey, listen, all here is taking a return that's already contractually guaranteed and boosting it.