I know that may not make sense at first, but consider this. If you buy three houses below market value for 100,000 (they are worth 125,000 when you bought them) and the market goes down 20 percent. Your houses would be worth 100,000 so you are not cash advance loans houston any money if the market goes down and you bought below market value. If you bought one house with cash below market value you would be in the same boat.
If you are able to get even better deals and bought the houses for 90,000 that were worth 125,000 then you would actually cash tomorrow loans be in good shape if the market goes down 20 percent.
You would have three houses worth 100,000 that you bought for 90,000. You would have 30,000 in equity from buying below market value. If you only bought one house for 90,000 with cash and the market went down 20 percent, you would only have 10,000 in equity from buying below market value.
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