For decades, real estate has been one of the most powerful tools for building generational wealth—but not everyone has had equal access to it.
If you come from a family that never owned property, it can feel like you’re playing catch-up. But the truth is, it’s never too late to start.
In this conversation, we break down why homeownership is still one of the best ways to create financial stability, how to start building wealth through real estate (even if you don’t think you can afford it), and the long-term benefits of owning vs. renting.
Why Real Estate Creates Generational Wealth
Owning property isn’t just about having a place to live—it’s about creating long-term financial security.
- Home values increase over time. Even with market fluctuations, real estate has historically appreciated. A home purchased for $150,000 in 2000 could be worth $450,000+ today.
- You build equity instead of paying rent. Every mortgage payment increases your ownership stake. Meanwhile, rent money? It’s gone forever.
- Real estate is an asset that can be passed down. If your parents or grandparents owned property, you’d have something to inherit. If they didn’t, you can be the one to start that cycle.
“If you look at families with generational wealth, the common denominator is usually real estate.”
How to Get Started – Even If You Think You Can’t
A lot of people assume homeownership isn’t possible for them, but that’s often because they:
- Think they need a huge down payment (they don’t).
- Assume they won’t qualify for a mortgage (they might).
- Believe real estate is only for rich investors (it’s not).
Here’s how to break into the market step by step:
1. Start With a Multi-Family or “Starter Home”
Most people want their dream home first—but the smarter move is to start with something that builds equity.
- A duplex or triplex lets you rent out the other units while living in one.
- A small starter home can be sold later to help you afford something bigger.
2. Use Low-Down-Payment Loan Options
There are programs that help first-time buyers get into a home with just 3-5% down (instead of 20%).
3. Think Long-Term, Not Just Monthly Costs
Yes, owning a home comes with expenses—but over time, it builds wealth in a way renting never will.
Let’s say your mortgage is $2,000/month. If you rent for 10 years, you’ve spent $240,000 with nothing to show for it.
But if you own for 10 years? That $240,000 went toward building your net worth.
Why Waiting Can Cost You More
Many people put off buying because they want to save more money first. But here’s what often happens:
- Home prices go up faster than you can save.
- Rents increase, making it harder to save at all.
- Interest rates fluctuate, changing what you qualify for.
Even if you don’t feel “ready” yet, learning the process now puts you in a position to act when the right opportunity comes.
Watch the Full Conversation
Want to hear more about how real estate can help you build wealth? Watch this part of our discussion here:
Video Timestamp: 00:15:20 - 00:22:50
In Part 4, we’ll dive into common mistakes first-time homebuyers make—and how to avoid them.