From Landlord to Legacy: Helping Clients Transition to Passive Income
Direct real estate ownership has long served as a strategy for wealth accumulation among high-net-worth individuals. However, as clients age, or as their priorities shift from growth to legacy, the active responsibilities of property management can become burdensome. For financial advisors, this shift presents an opportunity to help clients consider a transition from direct management to more passive real estate strategies that support retirement income and estate planning objectives.
Dividable Real Estate Assets for Balanced Estate Plans
Advisors helping clients with estate planning often encounter a familiar challenge: dividing real estate equitably among multiple heirs. Unlike liquid investments, real estate assets are traditionally indivisible, illiquid, and emotionally charged. These characteristics can complicate an otherwise well-structured estate plan, leading to potential family conflict, valuation disputes, or forced property sales.
How Passive Real Estate Strategies May Support Estate Planning Goals
Estate planning has long focused on preserving wealth, minimizing tax burdens, and facilitating the transfer of assets to beneficiaries.. While trusts, wills, and insurance remain foundational tools, advisors increasingly recognize the potential role of passive real estate in supporting these objectives.
How Fractional Real Estate May Support Multi-Generational Wealth Strategies
As families prepare for wealth transfer, advisors are increasingly called upon to help families create strategies that support preservation and grow capital across generations. Real estate continues to play a meaningful role in legacy portfolios —but traditional ownership models can present challenges. Management responsibilities, illiquidity, and concentrated risk often hinder long-term planning.
Interest Rate Swaps Explained: Definition, Types, and Examples
Many interest rates in the market are variable and tied to financial benchmarks, making them subject to frequent fluctuations. These changes can significantly affect a company’s or investor’s cash flow or borrowing costs. As such, many institutions use interest rate swaps—financial contracts between two parties to exchange interest payments over a specified period. These tools are commonly used to match financing streams with an entity’s risk preferences or expectations about interest rate movements.
