From First Home to First Investment: Leveraging Low Down Payments to Grow Wealth
How to Start Building a Real Estate Portfolio with Just 5% Down
When most people think about building wealth through real estate, they imagine big down payments, rental properties, and years of saving to get there.
But what if the path to your first investment property isn’t after your first home… what if it is your first home?
With as little as 5% down, your first home can also be the foundation of a real estate portfolio—when you know how to structure it strategically.
The Wealth-Building Power of Owner-Occupied Homes
Here’s what most people don’t realize: when you buy a home as your primary residence, you can qualify with just 5% down (on homes up to $500,000). Even if your purchase price is higher, you still only need 5% on the first $500K, and 10% on the amount above that (up to $1,500,000)—still far more accessible than the 20% typically required for rentals or secondary homes.
This opens the door to ownership for many people who assume they aren’t “ready” to invest.
But the key? Thinking of this home not just as a place to live—but as part of a long-term investment plan.
It Starts with Strategy
This isn’t about rushing into a purchase or turning your home into a full-time rental overnight. It’s about playing the long game.
A few smart examples:
Buying a home with a rental suite or separate entry basement to generate income
Purchasing in an appreciating area where equity builds faster
Planning to restructure or refinance later to access that equity and buy again
Moving into a new home in a few years and keeping the first as a rental
The 5% down owner-occupied mortgage is your entry point—and from there, Jewels helps you build a custom roadmap that grows with you.
Real estate wealth doesn’t start with your second property. It starts with a mindset—and the right first move.
Real-Life Example: Turning a First Home into a Future Portfolio
Let’s say you purchase a $750,000 home with a legal suite. You live in the main level and rent the suite for $1,750/month. You qualify with just 5% down, and that rental income helps support your application.
In a few years, as the home increases in value and you build equity, you have the option to refinance and use that equity as a down payment on a second property—without ever needing to save 20% from scratch.
Better yet? If you plan to live in the next property as your primary residence, you may qualify to buy that home with just 5% down as well, using the equity you pulled from your first. That means you could move into your next place even faster than you thought possible.
It’s not a fantasy—it’s a smart, structured strategy that many investors start with. And it begins with a conversation.
Jewels Ferris: Building Wealth with Heart (and Brains)
Jewels isn’t just here to help you buy your first home—she’s here to help you see the bigger picture. Her approach is thoughtful, empowering, and deeply strategic. She looks at your long-term goals and helps you design a mortgage path that builds real wealth over time.
You don’t have to figure it all out on your own. And you don’t need millions in the bank to get started.
If you’re ready to think bigger, even your very first home can be the beginning of something powerful.
Ready to Talk Strategy?
Whether you’re just dreaming of buying or you’re already house-hunting, now is the time to build a plan that works today—and sets you up for tomorrow.
Book a strategy call with Jewels Ferris and explore how 5% down can turn into so much more.
