Creative Ways to Afford a Home in 2025: House Hacking, Co-Ownership, and More
Make your home make money for you!
Last month, I sat down in a cafe near Greenwood with a client who said she and a friend wanted to buy a home together. She had been responsible with her cash, but knew her money would go further if she invested with a good friend. And it dawned on me, this is the way of the future! We don’t live the way we lived fifty years ago, so why should we invest in homes catered to a one-size-fits-all family?
Homeownership in 2025 often feels like an uphill battle, but guess what? Not only is it totally possible, with a little creativity and an open mind, you can create a home environment more in line with you and your values!
Yes prices are high, rates are shifting, and especially in Seattle, competition is fierce—but that doesn’t mean you’re out of the game. Competition invites creativity, and I love solving puzzles. If you’ve been feeling like homeownership is just for people with trust funds or six-figure salaries, let’s flip that narrative. There are real, do-able strategies to make buying a home work for you. Here’s how you can get smart, get strategic, and get the keys to your own place—without breaking the bank.
1. House Hacking: Let Your Home Pay for Itself
This is one of my favorite ways to make homeownership more affordable. House hacking is all about getting a property and using it to generate rental income—so your home helps cover your mortgage. It’s like putting your house to work for you.
Buy a duplex, triplex, or fourplex – You live in one unit, rent out the others, and suddenly that big scary mortgage feels a lot more manageable.
Rent out extra bedrooms – Got a single-family home? Get roommates. Not only does it cut costs, but it can make the transition to homeownership feel less overwhelming. You can do this either as a long term rental, or sublet style, for traveling nurses or workers on assignment. Your call.
Convert unused space into a rental – Think basement apartments, garage conversions, or even Airbnb-ing a guest suite.
House hacking is a power move—it helps you afford a home now while setting you up for long-term financial growth. Plus, you get to build equity while someone else helps pay your mortgage. That’s a win-win.
2. Co-Ownership: Team Up to Buy a Home
If buying solo feels impossible, why not do it together? Consider teaming up with your bestie, a sibling, or parent to purchase a property together. Co-ownership allows multiple buyers to pool their income, qualify for a larger loan, and share the costs of homeownership. Key factors to consider include:
Creating a Legal Agreement – Clearly outline responsibilities, exit strategies, and financial commitments in a co-ownership contract. We’re lucky enough to live in a time where people have already done this successfuly, and built multiple legal setups that include foresight to protect all buyers.
Deciding on Property Usage – Will you live in the home together, or will one party rent their portion out?
Planning for Future Buyouts – Establish terms for how one party can buy out the other in the future.
Of course, this hack comes with nuance and responsibilities—so put everything in writing! A solid legal agreement outlining financial contributions, exit strategies, and responsibilities is essential. But if you do it right, co-ownership can be a game-changer.
3. ADUs: Tiny Homes, Big Potential
Accessory Dwelling Units (ADUs) are small, self-contained homes built on the same property as a main house. And they’re kind of a secret weapon when it comes to affordability.
Live in the ADU, rent out the main house – Flip the script and let the bigger space cover your costs.
Rent out the ADU for extra income – Long-term rental? Airbnb? Home office you can lease out? Lots of options.
Multi-generational living – ADUs are perfect for families who want to live together while maintaining some privacy (think aging parents, boomerang kids, or even a separate space for yourself while renting out the main home).
Cities are loosening zoning laws to encourage ADUs, making this a strategy worth exploring.
4. Down Payment Assistance & Special Loan Programs
Could your she-shed be a rental?
Saving for a down payment can feel brutal, but here’s the thing—there are So Many programs out there designed to help. And a lot of people don’t even know they exist!
FHA Loans – As low as 3.5% down, with flexible credit requirements.
USDA Loans – No down payment required if you’re buying in certain rural areas - it doesn’t have to be a farm!
VA Loans – Zero down for eligible veterans and active service members.
Washington State Housing Assistance Programs – The Housing Commission offers ongoing free classes, where home buyers can learn about grants, forgivable loans, or closing cost assistance.
Teacher, Officer, and Nurse Next Door Programs - These programs allow for service workers to downpayment assistance as well as unique grants to help close the transaction.
Good Neighbor Next Door Program - This little known program allows qualified participants to buy a home at 50% the list price!
Washington State Covenant Homeownership Program - This new 2023 program helps fund people with deep roots in Washington state who have been impacted by discrimination.
The key is knowing what’s available and taking advantage of it. Free money? Yes, please.
5. Rent-to-Own & Seller Financing: Non-Traditional Paths to Homeownership
Not ready to qualify for a mortgage yet? There are still ways to get your foot in the door.
Rent-to-Own – This allows you to rent a home with the option to buy later, often with a portion of your rent going toward the future purchase.
Seller Financing – Some sellers offer flexible financing options, acting as the “bank” and working out terms that could be more buyer-friendly than a traditional loan.
These options aren’t for everyone, but they can be a stepping stone toward full homeownership when traditional financing isn’t an option yet.
Final Thoughts: Let’s Get You Home
Homeownership isn’t just for the ultra-wealthy or those with perfect credit. It’s not a three bedroom two bath house for a double-income-two-kids family. There are so many ways to make it work—it just takes a little creativity, the right strategy, and a solid plan. Whether you’re house hacking, teaming up with a co-buyer, or taking advantage of an ADU or special loan program, there’s a path forward for you. Let’s figure out the best strategy and get you into a home this year. Sound good?
