Twenty percent is all it takes in the world of real estate, and sometimes it takes much less. The bank will provide all the rest. So, you can buy and use to your advantage an asset that costs hundreds of thousands of dollars for a mere twenty percent of their worth. Imagine what you could do with such a big tool. You could never borrow this much in business or stock! Twenty thousand dollars put into stock will fare worse than the same amount put into real estate in the form of a down payment on a piece of rental property.