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Updated almost 6 years ago,
Super easy quick question - What am I missing?
2 Questions on this calculation I just ran. Please see image below.
1) Why does Annualized total return go up in the first 1-10 years, then start to fade down after then landing around 7.76% at 30 years?
2) Why in year 30 does it show an expense of $17,666.91 but also show loan balance is 0? (I assume it is because you still must pay the last of the mortgage on year 30 and technically the loan balance will be 0 in year 31?
3) Why does the calculator stop at year 30? How do you calculate your returns past year 30? Is there a formula I should know about which may calculate expense, property income and property value to determine the return on your investment as a whole after 30 years?
Thanks so much, really appreciate the help.