'I'm Afraid In A Good Way' – Dave Ramsey Bullish On 2025 Real Estate, Says It's Going To Be A Booming Market Created By 'Pent-Up Demand'

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Dave Ramsey, the financial guru known for his straightforward advice on debt and building wealth, has a bold outlook for the real estate market in 2025. In a recent podcast, Ramsey described the coming year as a “booming market” created by what he calls “pent-up demand.”

“It’s going to take off. It’s going to be a booming market. I’m afraid in a good way," he says, hoping we'll see a return to the steady, sustainable growth of pre-pandemic markets like those in 2017-2019.

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Why 2025 Could Be a Big Year for Real Estate

Ramsey explained that the past 18 to 24 months have been sluggish for the economy and real estate. “Everybody's been sitting around, waiting for something to happen,” he said. According to him, this waiting game has created pent-up demand – a backlog of people ready to jump into the market once conditions improve. Ramsey believes the economy will receive a much-needed push with the incoming administration, making the business and investment climate more predictable.

Yet, confusingly, he says. "They’re going to be up there throwing stuff around in D.C. Obviously, they’re going to make a mess. Looks like it’s going to be fun."

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The Risks of Debt in a Hot Market

Ramsey's optimism doesn't mean he's abandoned his foundational principles. Known for his anti-debt stance, Ramsey shared his cautionary tale of going bankrupt in his 20s after leveraging debt to invest in real estate. He now owns $700 million in real estate without a single dollar of debt.

“More debt equals more risk,” he said, pointing out that while debt can amplify returns in a strong market, it leaves investors vulnerable when conditions shift. For Ramsey, sustainability is key. He believes the upcoming boom presents a great opportunity but warns against being over-leveraged.

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Advice for Real Estate Investors

He emphasized the importance of staying nimble, not relying solely on borrowing to fund investments, focusing on building cash reserves and avoiding excessive risk. He cautioned that you don't want to build a house of cards that a single outside variable can knock over.

"The real winners are the ones who build wealth sustainably," he said. “Sustainability is the key to wealth building, not being brilliant for 10 minutes. Being brilliant for 10 minutes will get you freaking killed."

Yet, he also warned that 2025 might not necessarily be a great time to buy real estate. “I love real estate too, but I don't think it's going to be a great time to buy,” he said, as you don't want to be caught overpaying in a booming market.

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