Do the interest rates they get from mortgage payments work differently than interest rates from the stock market (i.e. are they compounded more often or something?)

Comes in tubes and is an elastic type compound to fill cracks .

I bow to your superior knowledge lol. 

It seems like all the vacant lots have turned into small compounds with multi units.

I can be a success in old age like kfc’s founder however if done in my 20’s it all compounds.

I plan to reinvest my profits to compound my earnings and expand my portfolio to multiple properties within three years, or earlier if the opportunity presents itself. 

i would keep building up my 1-4 unit buildings as much as i could , sooner or later you will be maxed and unable have those great terms . i often have people say  they wish they could do what i do . of course they could  , but starting to invest in real estate is so much better the younger and earlier you start . think of it in the same way as compounding interest ,plus you  hopefully get appreciation as well :)   don't forget who is actually " buying " these buildings and providing you with the passive income . there will always be time to be tied down to a large mortgage and your dream home :) once you are comfortable your tenants will be buying you your dream home . 

Well @Ron Alexander, now you are compounding your rabbit hole.

It is JUST MATH.The CoCR does NOT take into account any of these future events, NO MATTER HOW CERTAIN THE OUTCOME will be.In this case, the ending of the Mortgage is CERTAIN and is the only variable worth taking into account in this model.There is NO Appreciation, NO Cash Flow, JUST the Mortgage.This Property STILL returns 10% IRR which is a 10% Annualized Compounded Return on your Investment.Those who do only a CoCR miss these things and cannot take into account ALL future Cash Flows.BUT HEY....

The compound effect it will have on my net worth should be pretty phenomenal over the next 30-40 years.