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In an episode of The Ramsey Show, Dave Ramsey shared that “the number one and two reason people become millionaires is they’re investing in their retirement and their paid off home.”

According to him, “these are the two elements of the first one to five million of net worth.”

That being said, saving for retirement and paying off a home are two of the hardest things for Americans to do in the current economy.

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Along with the average 30-year fixed rate mortgage hovering around 6.25%, the median sale price in August for a new home was $413,500, according to the U.S. Census Bureau. On top of these high prices , a study by AARP found that 61% of adults aged 50+ are worried they won’t have enough money to support them in their retirement, and 20% have no savings at all.

These realities may be enough to deter you from thinking you can get to that millionaire milestone, but in a recent blog post titled ‘How to Become a Millionaire’ Ramsey said it himself: “No matter how old or young you are, it is never too late or too early to get started.”

In the second quarter of 2025, the total American household debt was $18.39 trillion, rising by $185 billion from the previous quarter according to the Federal Reserve Bank of New York.

The more debt you’re burdened with, the more difficult it will be to pay off your home. Hence, paying off your other debts leads to paying off your home and getting one step closer to reaching a seven-figure net worth.

If you don’t yet have a home, you can still invest in the housing market and take advantage of its passive income opportunities through platforms like Arrived.

Through Arrived, you can invest in rental homes and vacation rentals without having to play landlord. Arrived offers a low minimum investment, making it an accessible investing option with a strong potential for collecting quarterly deposits.

REITs are another great way to invest in real estate by leveraging the housing market. They offer the chance to diversify your portfolio and earn passive income without having to pay for a property in full or manage tenants.