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Posted about 7 years ago

Investing with the Rule of 72

Investing in real estate is beneficial because you're investing in an asset. When you flip a house, you not only gain the profit from the flip but also interest on your return. 

To find out how long it will take to double your money, follow the rule of 72. Divide the number 72 by the interest rate and the quotient will be how long it will take to double your money.

A 14% interest rate will double your money in 5 years, which is a good timeline to strive for. Don't forget that the rate of return can double or triple if you use other people's money or bank funding. 



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