Algebra and Geometry

Geometry and Algebra...and I'm dead serious.

I went through 6 grades prior to leaving, and by then I'd gone through American equivalent of Algebra 2 / Geometry - I had not used a calculator...we weren't allowed!

Geometry, then Algebra 1 and 2...no, seriously!

The rest is just math--algebra level math.As others noted, lowball to start and let them counter.

Spend 10 seconds, well maybe 20 for you, and type algebraic formulas and click on ALL the definitions until you understand.

I read a lot of post on here about new investors looking at deals and crunching numbers to the point of feeling like I am in freshman algebra again.

I'm wondering if anyone here can explain the reasoning and comment on the formula's validity.He says, "The precise formula is that your loan-to-value ratio multiplied by your annual constant must be lower than your cap rate to get positive cash flow"so that's,LTV * C < CapRate --> positive cash flow(C = Annual constant)He goes on to define the terms like so,LTV = Loan/ValueC = (annual payments) / (loan balance)Cap rate = NOI / Price NOI (Net operating income) = income - expensesIf you do some algebra you can restate the formula as,(loan/value) * (price / loan balance) * annual payments < NOI --> positive cash flowBeing somewhat simple minded I would have thought that the formula for positive cash flow would be simply,annual payments < NOI --> positive cash flowBut I don't understand the multipliers on the left side,(loan/value) * (price/balance)Can anyone explain to me why they should be considered?

Algebra, Calculus, Probability, Geometry?

Forget Algebra homework, hang out with Rj and people you meet at his networking events.