Danill,Even newbies should understand mathematics, so you can´t take an HML with only 13% CAP and 14% interest except you will lose money.

My point is that it is ABSOLUTELY INEVITABLE that the entitlements will end - it's a mathematical certainty.

It might help to keep in mind a simple fact: Mathematically, paying down a loan which bears interest at X% is identical, in terms of net economic value, to investing that same amount at X%.Putting it another way, if you have Y dollars available to employ somewhere, just think of 'loan paydowns' as one more investment possibility, among your other options.Suppose, for example, you could either use your discretionary Y dollars to pay down a 6% loan, or could instead deploy the Y dollars into an 8% investment.

I don't know if it factored into his decision on this hand, but I wouldn't be surprised if that contributed.Personally, I agree that it was a horrible laydown, purely from a mathematical perspective.

It is all mathematics after all..Given the cash coming in, constant capital improvements, meaning changing but constant depreciation flow and therefore return with minimal taxes being paid,unwinding earlier must be the result of that emergency need or the said bubble in values resulting in a chance to eat the cap gains, depreciation recapture and still be able to beat that return with a risk free investment of the proceeds left by Uncle Sam and local state taxes.As far as believing a bubble is ever expanding like our universe, well,Hogs get fat, pigs get slaughtered.. as always.

In fact, it would appear that there is a mathematical/scientific test for religion, and that test has indicated that Obama is 80% muslim.

The mathematics part of investing is very easy.

3) Mathematics?

Just a simple touch on mathematics that may end up changing the way you structure your capital in order to allow for more deals to get done.

Do the math a few ways to see what makes mathematical sense.