Answer:
Positive leverage
Explanation:
In financial terms, leverage refers to using borrowed money to increase the return of an investment. In other words, a business gets a loan and invests that money in a project that hopefully generates a higher return than the borrowing costs.
In this case, the mortgage rate is 5.2% while the cap rate is higher (6%), therefore if is profitable to borrow money and invest it (= 6% - 5.2% = 0.8% positive leverage).
