Finance
A Virginia investor uses 'leverage' in real estate. This means they:
AUse only their own cash to purchase property
BUse borrowed funds (mortgage) to control a larger asset than their cash alone would allow✓ Correct
COnly invest in REITs
DAvoid all debt
Explanation
Leverage means using borrowed money to amplify potential returns. By putting down 20% on a $500,000 property, the investor controls $500,000 in assets with $100,000 of equity.
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