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While President Trump demanded that interest rates be dropped immediately, at the end August 2025 the Consumer Price Index for All Urban Consumers was 2.9% higher than it was the previous year.
These elevated interest rates, coupled with persistently high home prices, results in American homebuyers having their budgets squeezed.
In an interview with YouTuber VladTV, real estate mogul Grant Cardone said high mortgage rates were creating a unique environment for the American housing market, predicting that rental rates and home prices will skyrocket over the next decade.
And Cardone is still issuing warnings about housing prices.
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In a podcast interview posted on TikTok, Cardone said, “Rent where you live right now until you’ve got super bank… Rent’s about half what ownership is today. Take all your liquidity, go build a fund, and start to buy commercial [real estate].”
Last year, Cardone predicted a significant shift in lifestyle and consumption patterns. He sees a future where renting becomes the norm across various aspects of life.
“America will become a renter nation,” he predicted. “You will rent your cars, you will rent where you live, you might even rent your clothes in the future.”
But what if you’re still keen on investing in real estate, considering its reputation as a hedge against inflation, a source of passive income and a way to diversify your portfolio?
Despite the current economic challenges, there are indeed strategies to invest in real estate that don’t involve taking on substantial debt. Here’s a look at three of them.
Invest using crowdfunding platforms
Many prospective buyers are feeling priced out of the market. Mortgages haven’t been this expensive since 2002, with average 30-year fixed rate mortgages floating at just around 6.5% in 2025.
Back in 2023, Cardone predicted the necessity for substantially longer mortgage terms on the horizon.
“The savior of America will not be lower prices; it will be longer mortgages,” he said in a TikTok video at the time. “In your lifetime, you will see mortgages go from 30 to 40, 50 and maybe even 60 years. You could, if you live long enough, see a 100-year mortgage in America.”
Thankfully, you can still invest in residential real estate without having to buy or manage a property yourself.
Crowdfunding has become a buzzword in recent years. It refers to the practice of funding a project by raising small amounts of money from many people.
Many crowdfunding investing platforms allow you to own a percentage of physical real estate — from rental properties and commercial buildings to parcels of land. These platforms make real estate investing more accessible to the general public by simplifying the process and lowering the barriers to entry.
Backed by world-class investors like Jeff Bezos, Arrived is a platform that allows you to invest in shares of rental homes and vacation rentals without taking on property management responsibilities.
With a low minimum investment, you can browse their curated, professionally vetted selection of homes, and when you find a property you like, just choose the number of shares you want to buy. Once you’ve signed off on it, you can receive quarterly deposits from your property’s rental income.
Read more: US car insurance costs have surged 50% from 2020 to 2024 — this simple 2-minute check could put hundreds back in your pocket
Commercial real estate
If you’re an accredited investor looking to add a substantial real estate investment to your portfolio, you aren’t limited to residential real estate.
Necessity-based real estate — which addresses basic consumer needs like grocery stores and healthcare facilities — is known to provide consistent cash flow, even during times of economic uncertainty.
With First National Realty Partners investing platform, accredited investors have access to institutional-quality, grocery-anchored commercial real estate properties leased by national brands.
Their team of experts manages every component of the investment life cycle. All you have to do to get started is fill in some information about yourself, your income and investment goals, and you can potentially start earning quarterly deposits from the deals you invest in.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.