The reason I'm asking is Buffie suggested that half of the investment loan was going to be paid off by renters in 20 yrs time. I wanted to understand how he came with that conclusion, since rental income was likely to only service the interest only component of the loans. He/she talks about 80/20 depending on where and price of property, is rental income sufficient to contribute to amortization? let alone servicing the interest payment on top of all other landlord costs - since he also talks about negative gearing.
"so in 20 years you have turned 200k into 3.4 million dollars (1000%+ increase). And during this time people renting out those properties will have paid half of them off for you so theres another 1 million dollars"
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property investing advice for a beginner, page-47
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