There are several ways to start investing in real estate in Washington State, and buying a property with cash is only one of them. Depending on your budget, goals, and tolerance for hands-on involvement, you might pursue direct ownership, a partnership, a co-ownership structure such as a TIC or DST, or a crowdfunding-style investment.
This article explains those main entry paths and highlights where mortgage financing is most relevant. If you are comparing options, it helps to understand not only potential upside, but also the tradeoffs around risk, illiquidity, cash flow, and how much control you want over the property.
Some borrowers look at real estate as one part of a broader investment approach rather than as a stand-alone strategy. In that context, diversification means spreading risk across different asset types instead of relying too heavily on one holding or one market.
Real estate can play a role in that mix, but it is not risk-free. Property values can rise, fall, or stay flat for extended periods, and outcomes vary by location, property type, financing structure, and timing. The FHFA House Price Index tracks house price fluctuations across national, state, and metro markets, which is a useful reminder that housing performance is not uniform. Likewise, even large-market forecasts can be modest; for example, J.P. Morgan Global Research expects U.S. home prices to remain flat in 2026 and increase by 3% in 2027.
Real estate also tends to be less liquid than many other investments. Selling a property, exiting a shared ownership structure, or unwinding a partnership usually takes more time and coordination than selling a publicly traded security. Investors also need to account for expenses such as financing costs, maintenance, vacancies, property management, and taxes.
That said, some people still consider real estate because it can offer different forms of exposure: direct ownership, shared ownership, or platform-based access. The key is to match the path you choose to your capital, your risk tolerance, and the amount of control you want.
In this post, we will discuss a few ways that people can get started with investing in real estate in Washington State, along with the financing considerations that may matter as you evaluate each option.
One of the most straightforward ways to get started with investing in real estate is to buy the property outright in an area that is set to appreciate in value. Then, people can rent the property out to tenants as a way to generate a steady stream of income. To do this successfully, you’ll need to conduct research on the markets in WA State which are likely to produce high returns.
This is why many people think that they need a large amount of money. Buying property is expensive and purchasing buildings in cash can be prohibitively expensive. Fortunately, there are other ways to become a purchaser.
Aside from buying a property outright as a single buyer, another option is to join a real estate partnership. In a partnership structure, the various members pool their money together to buy large buildings.
These buildings might even include individual apartments that can be rented out. Joining a real estate partnership is a more feasible option to get started in the real estate investing market. People might even be able to join for as little as a few thousand dollars.
Another way you can become involved in real estate investing is to become a co-owner in a property that is jointly owned in either a tenancy-in-common (TIC) or Delaware statutory trust (DST) ownership structure. TICs and DSTs are structures that allow many different investors to co-own highly expensive pieces of real estate, such as apartment complexes, stadiums, large commercial centers, and so forth.
Each of these structures has its own specific rules and requirements, but both follow the same basic purpose. Both provide investors an opportunity to co-own a given piece of real estate. These structures may also provide people with an excellent avenue to get involved with investing in real estate at a reasonable price. For instance, in a typical DST, an investor may be able to co-own a particular property for as little as $100,000.
Finally, there are real estate crowdfunding partnerships popping up as well. Joining a real estate crowdfunding group is similar to buying shares of a company in the stock market. This offers an opportunity for people to get involved in the real estate market for an even lower cost. This is becoming a more popular option across the United States.
If you are deciding among these options, focus on a few practical questions:
Do you want direct control? Buying property yourself usually offers the most control over the asset, tenants, repairs, and exit timing. Partnerships, TICs, DSTs, and crowdfunding structures generally involve shared or delegated decision-making.
How much capital can you commit? Direct ownership often requires the most capital, especially if you plan to make a down payment, cover closing costs, and maintain reserves. Partnerships and crowdfunding-style investments may lower the upfront amount needed, while TICs and DSTs can vary widely by offering.
How hands-on do you want to be? A rental property can be more operationally demanding, even with a property manager. By contrast, DSTs and many platform-based investments are typically more passive.
How important is liquidity? Direct real estate and shared ownership structures are often illiquid. If you may need access to your funds on short notice, that matters.
Will mortgage financing be central to the decision? Mortgage planning is usually most relevant when you are buying property directly, and it may also matter in some partnership situations. In many TIC, DST, or crowdfunding arrangements, financing may be handled at the sponsor or entity level rather than through an individual borrower’s mortgage application.
For investors who plan to buy property directly, mortgage rates matter because financing costs can shape the entire deal. As of August 27, 2026, mortgage interest rates averaged 6.66% for 30-year fixed-rate mortgages. Even when rates move only modestly, the effect on a monthly payment, total borrowing cost, and projected cash flow can be meaningful.
That is why rates should be viewed as part of investment planning rather than as a stand-alone market update. If you expect to finance a purchase, it helps to compare payment scenarios, estimate reserves, and determine whether the property could still work under less favorable borrowing terms. In other investment structures, such as certain pooled or sponsor-managed options, your personal mortgage may be less central, so the financing questions can look very different.
In the end, people do not necessarily require a large amount of money to start investing in real estate, but they do need to choose an ownership path that fits their goals and resources. Some investors want direct control over a property, while others prefer a shared or more passive structure.
Before moving forward, it can help to evaluate how much capital you can commit, how involved you want to be, and whether mortgage financing will be a major part of the decision. Be sure to consult with your trusted mortgage professional to discuss current financing options.
Sammamish Mortgage can help. We serve clients across Washington, Idaho, Colorado, Oregon, and California. Since 1992, we’ve been providing several mortgage programs and products with flexible qualification criteria to borrowers across the Pacific Northwest. Visit our website to get an instant rate quote or to use our online mortgage calculator. Or, reach out to us if you are ready to get pre-approved for a mortgage.
Yes. Real estate investing in Washington State can include direct ownership, partnerships, co-ownership structures such as TICs or DSTs, and crowdfunding-style investments. Buying a property yourself is only one option.
It may be enough for some partnership or crowdfunding-style opportunities, since those structures can require less upfront capital than buying a property directly. Direct ownership usually requires much more cash because you may need a down payment, closing costs, and reserve funds.
That depends on your goals, risk tolerance, target market, and investment structure. Real estate outcomes in Washington are not uniform, and property performance can vary by location, property type, financing structure, and timing.
Price movement can vary across Washington markets, and values can rise, fall, or remain flat for extended periods. The FHFA House Price Index tracks housing changes across national, state, and metro markets, which shows that performance is not the same everywhere.
No. Mortgage financing is usually most relevant when you buy property directly, and it may also matter in some partnership situations. In many TIC, DST, or crowdfunding arrangements, financing may be handled at the sponsor or entity level instead of through an individual borrower’s mortgage.
Buying a rental property directly typically gives you more control over the asset, tenants, repairs, and timing of a sale. A TIC or DST is a shared ownership structure that can provide access to larger properties with less direct control and a more passive role.
It is generally better viewed as a way to gain real estate investment exposure rather than the same kind of direct ownership you get when you buy a property yourself. The exact rights and structure depend on the offering, but decision-making is usually shared or delegated.
Key factors include how much capital you can commit, how much control you want, how hands-on you want to be, how important liquidity is, and whether mortgage financing will be central to the decision. It also helps to consider ongoing expenses such as maintenance, vacancies, property management, taxes, and borrowing costs.
Mortgage rates can be very important when you plan to buy property directly because financing costs affect monthly payments, total borrowing cost, and projected cash flow. In pooled or sponsor-managed structures, your personal mortgage may be less central to the investment decision.
Some investors use real estate as one part of a broader portfolio so they are not relying too heavily on one asset type or one market. Even so, real estate is not risk-free and tends to be less liquid than publicly traded securities, so diversification does not eliminate risk.
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