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Principle of Substitution for Real Estate

Principle of Substitution

Principle of Substitution

This may sound like something involving high school but it involves economics. We use the Principle of Substitution every day in our lives. Many times we don’t realize it’s what we are doing. The principle of substitution applies in every deal in Real Estate. As a wholesaler that is your focus when you put a property under contract. It’s important to understand how to value Real Estate so you can explain why a property is only worth so much.

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