Find this investment opportunity attractive to you

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Reference no: EM132973417

Question - As a private investor, you can buy a house in Vancouver today for $2 million and sell it in 5 years for $4 million. Suppose there is no rental income or any other expenses during this period, answer the following:

a. If the interest rate is 9 percent, do you find this investment opportunity attractive to you? Explain your answer.

b. Assume you can earn $200,000 rental income per year. Explain how your answer would change in this case?

Reference no: EM132973417

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