Suppose you buy a house in London for £ 400,000. Due to the massive rising of real estate prices in the United Kingdom, one year later the market price of the house has risen to £ 475,000. What is the return on your investment in the house if you made a down payment of 25 percent and took out a mortgage loan for the other 75 percent? What if you made a down payment of 10 percent and borrowed the other 90 percent? Which risks arise with higher leverage? Be sure to show your calculations in your answer.