What is a common goal that real estate investors aim to achieve through their investments?

Real estate investors often aim to achieve positive leverage, which occurs when the return on an investment property exceeds the cost of borrowing funds to finance that investment. This concept is critical in real estate investment because it allows investors to amplify their returns by using borrowed money. Positive leverage enables investors to control a larger asset base than they could with their own funds alone, enhancing their potential for profit.

When investors utilize positive leverage effectively, they can increase their cash flow and overall returns, even if property values fluctuate or rental income varies. This strategy is a key component of building wealth in the real estate sector, making positive leverage a common goal among investors.

While high equity, low debt, and minimum expenses are also important considerations in real estate investing, they do not encapsulate the strategic advantage that comes from leveraging other people's money to enhance investment returns.