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Updated about 4 years ago on . Most recent reply
Long Term Play? Low Cash ROI & Large Deposit
I'm currently considering an investment purchase that has a very low (3-4%) cash ROI, but is in an outstanding area with lots of potential for appreciation. Total ROI (including equity) would be 15-16%. This is new construction, but it requires a sizable deposit.
In what situations does a play like this make sense? I have reservations about locking up the cash, but it's also an area that I believe in.