Spoiler Alert: You Don't Need a Pile of Cash to Buy a Home? Let Me Let You In On a Secret...

I’ve lost count of how many times I’ve heard someone say, “I want to buy a house, but I just don’t have enough money saved yet.”

And hey — I get it. When I bought my first property, I felt the same way. It’s easy to assume that unless you’ve got $50K or $100K sitting around in your savings account, you’re not even in the game.

But here’s the truth:
You don’t need a "ton" of cash to get started in real estate.
You just need to know how to use what you might already have — and get a little creative.

Stop Waiting for the Perfect Time

I talk to buyers and investors all the time who are waiting for the “perfect time” — when interest rates drop or home prices magically dip back to 2020 levels.

That window is probably gone. In fact, cryptocurrency entering the real estate market will most likely make things even more competitive and expensive in the future. Waiting for the housing market to come back down could cost you more in missed opportunities than you’ll ever save on a purchase price or interest rate, as days in the market always wins over trying to time the market.

While you wait, home prices and rents continue to rise. Equity is building — just not in your pocket.

Instead of waiting for the market to cooperate, it might be time to ask: What tools do I already have access to?

Let’s Talk About 401K Loans

(This one’s not for everyone — but it’s legit.)

If you’ve got a 401K, you may be able to borrow up to $50,000 from it without paying early withdrawal penalties.
Not a withdrawal. A loan.
That means you’re paying yourself back — with interest. You’re literally investing in your future, using money that’s already yours.

Now, every plan is different, so you’ll want to read the fine print. And you should absolutely talk with a tax and/or financial advisor before making a move.
But this strategy has helped real people buy homes — including investors who used it to fund down payments or rehab costs.The Truth About Tax Extensions

If you filed for a tax extension or are considering one, here’s what you need to know.

• Filing an extension comes with a small monthly penalty; the IRS charges 0.5% per month on unpaid balances after the filing deadline.

  • For example, if you owe $18,000, that’s about $90 per month in penalties.

At first, this might sound like a scary, unnecessary cost. But, it actually can make all the difference. By filing for an extension, I gained extra time to review my expenses and uncover additional deductions. Meanwhile, I kept my tax money in a high-yield savings account earning interest, which helped offset the penalty costs.

This year, the additional months allowed me to uncover $84,000 in additional deductions, reducing my final tax bill from $18,000 to just under $4,900.

Already Own a Home? You Might Be Sitting on Your Next Down Payment

If you own a property and it’s gained value over the last few years (which, let’s be real — most have), you might have a powerful tool at your fingertips:
A HELOC — Home Equity Line of Credit.

A HELOC allows you to tap into the equity you’ve built, without selling your home. You can use it to:

• Buy an investment property

• Cover rehab or renovation costs

• Bridge the gap between selling one home and buying another

It’s flexible, fast, and gives you access to capital without draining your savings.

Just like with any loan, there are terms and risks involved — but this is one of the most underutilized tools among everyday homeowners, that I personally LOVE to use.

Don't Forget Gift Funds — Yes, It’s Allowed

Another option many first-time buyers overlook?
Gift funds from a family member or close friend.

Most loan programs — including FHA, conventional, and VA — allow you to use gift money for your down payment and/or closing costs, as long as it’s documented properly.
And no, it doesn’t have to be a wealthy parent writing you a six-figure check.
Even $5,000 or $10,000 can go a long way toward making homeownership possible sooner than you think.

It might feel awkward to bring up, but if someone in your life is open to helping you take your first step, it's worth having the conversation.

You Don’t Need More Cash — You Need More Strategy

One thing I’ve learned as both a realtor and an investor is this:
People buying real estate aren’t always the ones with the deepest pockets. They’re the ones who know how to use what they’ve got as a vehicle to get them to where they want to go.

You either bring cash… or you bring creativity. Both can work.

So if you’ve been on the sidelines thinking you need to save for five more years — this is your nudge. Start exploring your options now. Get curious. Talk to a lender who specializes in creative financing. Ask questions.

The Bottom Line

The perfect time to buy may never come. But opportunity? That’s already here.

You just need to stop waiting for the stars to align and start learning how to play the game — with the tools you already have.

And if you ever want someone to help you think through options, I’m always happy to chat.

Let’s stop believing the myth that you need to be rich to build wealth through real estate.

You just need to start.

XO,

Jen

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