Wealth Management Ideas for Home Buyers in Charlottesville
No matter what their current financial profile, home buyers in Charlottesville share knowledge that the value of the property they are acquiring will become a significant entry whenever their family’s net worth is reckoned.
For those whose total in that category weighs in at $5 million or more: great! You're considered "ultra-wealthy" according to the Spectrum Group, a wealth management research organization that defines "ultra high net worth" as households with at least that figure.
On the other hand, for home buyers in Charlottesville who are laser-focused on a more immediate financial task at hand (finding, qualifying for and buying the perfect Charlottesville home), some relevant research suggests that their ultra-wealthy fellow home buyers might be able to share some attitudes that aren’t often explored— namely, that when it comes to a family’s wealth, a goodly share of attention needs to be spent on more than just accumulating it.
According to this month’s article in CNBC.com, building enduring wealth “…can be a challenge even for super wealthy families, many of whom have had their financial success created by one generation and do not want to see it lost by their successors." Put another way, the wealthiest tend to share a belief that just reaching the ranks of the top 1% percent isn't enough. They say it’s vital to know how to think about wealth; how to spend it, keep it, and pass it on.
Regular, non-ultra-wealthy Charlottesville families may not have to worry about some of these ideas (for instance, most of us aren’t tempted to define our identities solely by the heft of our bank accounts)—but a couple of notions can be useful when we are in the process of buying a house:
-- Put the children to work: involve your children in the process and help them understand the considerations behind a big purchase like buying your Charlottesville home.
--Agree on a family strategy: even if this will be the first Charlottesville home to be owned by the family, discuss its place in the long-term strategy. Is it intended to serve as a starter home, a transitional home, or a permanent home base?
--Give Back: Once the move into a new neighborhood is accomplished, establishing a comfortable place in the community can be cemented by identifying Charlottesville charitable programs that strike a responsive chord. The ultra-wealthy call this creating an “abundance mentality”—it’s the same truism that tells us that donors benefit as least as much as recipients.
Buying a home is one of the transformative passages in life. Whatever your current financial profile, if you're looking to buy or sell here in Charlottesville this summer, I'm here to help with your real estate needs. Let's talk!