Beating the Market with Zach Foust: What to Know
To succeed in the current market, first-time homebuyers must reject outdated strategies. With insights from guest Zach Foust, this guide explains why the economic game is rigged and how to win by investing in yourself, adopting radical savings strategies, and understanding the facts.
Zach Foust (@zachary.loft) is a U.S. Army veteran, founder of Loft Realty, and host of The Zach Foust Show, leveraging his real estate expertise to help over 3 million followers outsmart corporate giants and navigate today’s rigged housing market.
Where to find Zach:
- YouTube: @ZacharyLoft
- Instagram: @zachary.loft
- TikTok: @zacharyloft
- Podcast: The Zach Foust Show
Key Facts & Concepts
- The Rigged Game: The modern economy is structured to benefit corporations and investors, making it difficult for average individuals to build wealth through traditional methods. As Zach Foust states, “The game is rigged, and we have to do something because nobody’s coming to save us.”
- No Housing Crash Coming: A market crash is highly unlikely because the conditions that drove 2008 and the Great Depression are not present in today’s market.
- Crash Variable #1: Double-Digit Unemployment. This is not present today.
- Crash Variable #2: Widespread unaffordable mortgages. This is not present today, either. Most homeowners have low, fixed-rate mortgages, and 40% of all single-family homes have no mortgage at all.
- Crash Variable #3: High Supply of Homes. This is also not present. Current inventory is approximately one-fourth of what it was at the peak of the 2008 crisis.
- The Market “Freeze”: The current market is characterized by chronically low supply and low demand, leading to stable or slowly rising prices, not a crash.
- Unreliable Inflation Data: The “Shelter” component makes up one-third of the Consumer Price Index (CPI), but 70% of its data comes from a survey asking homeowners to guess their property’s rental value, not from actual rent or sales data.
- Investor Home Purchases: A significant portion of the market is controlled by investors. In 2025, one out of every three homes was purchased by an investor.
- Glass-Steagall Act Repeal: This 1933 law separated commercial and investment banking. Its repeal in 1999 contributed to the high-risk lending practices that caused the 2008 financial crisis.
Action Steps for First Time Homebuyers (According to Zach Foust)
1. Adopt an Investor Mindset
- This is a foundational philosophy: “Be an investor, not a consumer… and it has everything and nothing to do with money.” – Zach Foust
- Prioritize actions and spending that build future value over immediate gratification. This includes investing in your skills, health, and financial assets.
- Disconnect from digital devices and mass media to reset your focus. Embrace boredom and do difficult things to build personal discipline and a “lust for life.”
2. Conduct a “Print Money Method” Audit
- Print out your last two months of bank statements.
- Use a green highlighter for all income.
- Use a yellow highlighter for all necessities (housing, utilities, essential groceries).
- Use a red highlighter for all non-essential, “consumer” spending.
- Calculate your potential surplus (Green minus Yellow) to identify exactly how much money you could be saving or investing.
3. Eliminate High-Interest Debt
- Before investing, you must pay off any debt with an interest rate above 10%.
- High-interest debt on credit cards or personal loans will erase any potential gains from market investments.
4. Choose Your Path to Affordability
You must aggressively pursue one of these three strategies to overcome the high-cost market.
- Increase Your Income: Pursue a career path with a clear trajectory to over $100,000 annually, such as sales or skilled trades. Zach Foust advises, “If you’re not in a position where you think you can make 100 K a year within the next three years, you need to start looking at something else.”
- Change Your Location: If your local market is permanently out of reach, you must seriously consider moving to a more affordable city or state.
- Live with Family: Avoid the rent trap by living with family if possible. Paying rent consumes thousands of dollars that could be used for a down payment or other investments.
5. Explore Advanced Strategies
- House Hacking: Purchase a multi-unit property (like a duplex), live in one unit, and rent out the other(s). The rental income can significantly offset or even cover your mortgage payment.
- Live Far Below Your Means: If you must rent, minimize the cost by living with multiple roommates in an affordable apartment or condo.
6. Prepare Financially Regardless of Market Predictions
- Do not wait for a crash that is not coming. Use this time to prepare so you are ready when an opportunity arises.
- Work on building your credit, saving money, and increasing your income.
- As Zach Foust says, “If you position yourself well, you can take advantage of it. If you just get mad at it… and you don’t prepare yourself… you ain’t gonna be ready.”
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