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Discuss the given statement

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Question: Discuss the following statement: One reason to borrow money to finance a real estate investment is to reduce your risk exposure. If you borrow $80,000 and put up only $20,000 of your own money to buy a $100,000 property, you have less of your own money at risk, particularly if you take the extra money that you would otherwise have put in the property and put it in a safe investment such as CDs or Treasury Bonds instead.

Reference no: EM131734511

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