property purchases speculating not investing, page-53

hey Dameo

If we assume 3% inflation rate every year, and 9% interest rate on a 25 year loan of $300K

Over 25 years you would have paid the bank $755,000 for $300,000

inflation of 3% on $300K every year for 25 years brings it to $609,000

So the bank gets $755K for your $609K meaning the bank wins by $145K!

so inflation does not beat interest :)