Things to consider before buying a second home

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Welcome to Something More with Chris Boyd.

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Chris Boyd is a certified financial planner, practitioner,

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and senior vice president and financial advisor at

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Wealth Enhancement Group, one of the nation's largest

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registered investment advisors.

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We call it Something More because we'd like

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to talk not only about those important dollar

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and cents issues, but also the quality of

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life issues that make the money matters matter.

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Here he is, your fulfillment facilitator, your partner

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in prosperity, advising clients on Cape Cod and

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across the country.

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Here's your host, Jay Christopher Boyd.

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Welcome to the program.

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I'm Chris Boyd, a certified financial planner, practitioner.

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I'm here with Jeff Perry, my co-host.

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We are both of the AMR team at

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Wealth Enhancement Group, and we're joined today by

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a special guest, Britta Ferguson, CFP, and she

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is from Carnado, California, also a senior vice

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president and financial advisor with Wealth Enhancement Group.

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Thanks for being with us.

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Yeah, thanks for having me today.

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I look forward to it.

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It's good to have you here.

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We've seen some of your articles on LinkedIn

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and various things and said, oh, that's a

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good one.

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We should talk about it.

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So that's what prompted us to reach out

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to you, a couple of good LinkedIn posts.

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And we thought, oh, let's talk about that

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with our audience.

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We've got a topic that I think is

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a great financial planning topic, the notion of

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trying to consider buying a second home, like

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a vacation home.

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And I'm sure there's a lot to give

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weight to in thinking about this on the

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one hand, should I rent?

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Should I buy?

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When you go through the process, how do

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I decide if I can afford it?

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Maybe even where should I begin?

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So there's a whole range of things.

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Where should we begin, do you think, in

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this process?

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That's a great question.

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And I think it's only fitting somebody that

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lives in San Diego and Coronado, California will

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be the person to answer these questions.

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Well, as a financial planner, there's a lot

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of different things to be thinking about because

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when you are buying a second home, it's

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really what is the goal for this second

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home?

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Is it going to be more for your

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personal use?

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Is it more for an investment?

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And so something that we always like to

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start with is just understanding kind of what

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is the end game?

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And what is the vision with it?

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Are you taking more of kind of like

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an emotional approach with it?

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Are you being a bit more rational with

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the thinking?

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And so that's kind of the starting point

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is what is the vision?

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What is the end game?

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And then we work our way backwards regarding

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a few things.

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So is there a minimum amount of use

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that would make it before you'd say, hey,

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that's really probably not worth entertaining as a

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second home?

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You know, where you'd say, well, maybe you

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want to rent instead?

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Or how do you approach that question of

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how much and that sort of thing?

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Well, I think it's we always encourage our

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clients first to go rent in the area

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that they're even considering.

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So before making a really large purchase or

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a big decision, you should make sure that

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is this the area you want to be

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spending your time?

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You know, when it comes to accessibility to

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get there, when it comes to the day

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to day of being there, like how do

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you envision spending your time at this new

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home?

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Because sometimes we found that the second home

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actually turns into the primary home.

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And so if you're, you know, for instance,

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you've got the New Yorkers that like to

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go down to Florida, the snowbirds.

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And so it's really understanding from like a

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financial standpoint, or is this going to be

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vacant?

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And you're just going to be owning it

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just for you and the family and whoever

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else?

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Or are you wanting to actually make some

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money off of this during the interim when

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you're not able to spend the time there?

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Because that's going to have different implications when

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it comes to write offs, taxes, things like

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that.

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Do you want to elaborate on that?

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And is that something you encourage people to,

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you know, like start sooner than they might

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need it so that they have the investment

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property features?

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Or is it something that, you know, maybe

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that creates its own complexities for tax considerations

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and liabilities and all the rest?

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Great question.

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So, you know, it depends on affordability first.

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So when you're looking at getting a second

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home, is it with the intention of looking

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to, number one, it's financially feasible for me

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to do, but only under the, if I'm

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able to do it because I then get

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an income stream for it, it's affordable.

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Because remember, a second home mortgage, you're not

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going to get the same type of tax

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benefits.

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It's going to have a much larger down

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payment than what a traditional home will have.

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Insurance can be very costly.

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And if you think about, for instance, in

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Florida, hurricane insurance isn't something you necessarily have

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to worry about in New York.

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So what type of insurance and costs to

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furnish the home are you going to be

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taking on?

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So one, is it affordable?

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Two, it's only affordable if I'm able to

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then rent it out or no, actually I've

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done a great job saving.

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And I really just like spending my time

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in the same place on a regular basis.

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Because another thing to think about is what

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if you like to travel a lot of

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places, what if you don't want to rent

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this home out?

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So what then is the affordability factor?

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And is that going to then be limiting

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some of your other financial goals that are

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important to you to be achieving?

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And then remember when you're not there, property

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taxes still have to be paid.

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There's ongoing maintenance.

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Typically there's HOA fees because most times people

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buy a second home, then some form of

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a gated area, they're not there all the

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time.

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They want that additional security.

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A side note on the contemplation of, can

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I make this an Airbnb or rent it

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out?

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Oftentimes the neighborhood you want to live in

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or the condos that you want to purchase

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have restrictions.

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I've seen, I saw one gentleman who bought

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a condo on the beach to do what

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you're talking about, he's going to rent and

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own and live in it for the good

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months, try to rent it out.

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And he just wasn't under the rules.

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So there's some homework.

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He wasn't able to under the rules.

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There's some homework you need to do and

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not make assumptions because you may not be

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allowed to rent out what you're thinking when

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you initially purchase it.

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Exactly.

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So that would be more kind of like

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in the legal and regulatory issues that you're

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having.

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And so when you think about it, understanding

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Airbnb short-term rental laws, those are going

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to be very, very important.

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Also too, if you want to make any

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additions or make major changes to the property

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that require having to go through the city,

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those are also things to be considering.

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So, and what are the quiet hours?

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So if you were, for instance, in Big

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Bear, California, you have to have your lights

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off by 10 p.m. Well, how many

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renters or Airbnb-ers are really following that

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guideline?

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And who would ever think that I have

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to have my lights off, outdoor lights off

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by 10 p.m.? So these are all

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the things that having conversations too with people

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that live locally to really get a better

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understanding of what is the impact on that?

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What are the requirements?

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And in San Diego, for instance, they only

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have so many Airbnb permits available.

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So would you even be eligible to get

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the permit?

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And if you bought somebody's home that did

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have a permit, is that then transferable to

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you?

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So there's a lot of things to be

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considering in that regard.

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What about the other possibility of thinking, how

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does this affect whether I'll be able to

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go anywhere else?

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If you're still in that mode of trying

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to do second home as a vacation destination,

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it seems like you have to be pretty

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committed to that's your destination that you really

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want to keep going back to.

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I couldn't agree more.

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And I feel kind of similar in that

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regard, because I'm a big fan of the

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mountains.

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I love Utah.

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My fiance and I, we love to go

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snowboarding.

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But we always toy, should we get a

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place?

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Should we not?

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But then we realize we actually like to

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stay in different parts of the city.

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We like to go to different mountains.

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And so if that's not something that you

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truly envision, I want to consistently go and

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spend my time at the same place.

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Really make sure like, are you romanticizing this

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concept of a vacation home?

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Or maybe just rent, go to the hotels,

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try out the different spots, and then decide

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if you really like that.

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Because if you're in your earlier, I'm just,

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you know, I just retired, I'm in my

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go-go years, you're probably in the mode

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to want to explore a lot.

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And if you have this big asset over

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here, that's going to be pretty costly to

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you, doesn't make sense to then take on

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this additional responsibility from a financial and also

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a day-to-day perspective.

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And then maybe have to dampen your additional

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opportunity to travel because this requires a lot

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more outflow than maybe what you were anticipating.

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You kind of hit on some of the

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specifically financial considerations when thinking about a different

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kind of mortgage, and there's some different expenses.

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Do I have to fill the home with

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furnishings and so forth?

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But what are some of the other variables

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like this?

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You mentioned insurance, taxation, property taxes.

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Are there a lot of other variables that

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you think are we need to be thinking

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of in terms of maybe it's an HOA

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fee or something like that?

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What would be some of these other considerations

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that people need to be mindful of?

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Sure.

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HOA fees are absolutely one because, you know,

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there's oftentimes not too much restriction when it

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comes to how quickly they can increase those

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on you.

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Also too, what if it's in a 55

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and up community, for instance?

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Are they going to allow your children or

274
00:11:13,040 --> 00:11:15,540
your family when you're not there to comfortably

275
00:11:15,540 --> 00:11:17,060
be able to use it?

276
00:11:18,220 --> 00:11:21,420
What is the proximity to your home?

277
00:11:21,540 --> 00:11:23,600
How easy is it for you to get

278
00:11:23,600 --> 00:11:24,000
there?

279
00:11:24,280 --> 00:11:27,140
And have you then budgeted in the cost

280
00:11:27,140 --> 00:11:29,760
to travel to and from the place?

281
00:11:30,360 --> 00:11:33,100
Oftentimes people in Hawaii, when they land, they

282
00:11:33,100 --> 00:11:35,020
all go to Costco and they fill up

283
00:11:35,020 --> 00:11:36,440
and that's kind of the thing you do.

284
00:11:36,960 --> 00:11:39,820
But what if you're out in the middle

285
00:11:39,820 --> 00:11:42,840
of Montana and it's the middle of winter

286
00:11:42,840 --> 00:11:44,620
and now you're kind of stuck out there?

287
00:11:45,100 --> 00:11:48,040
So there's even just beyond the cost of

288
00:11:48,040 --> 00:11:51,680
furnishing the home, the cost of proximity, you

289
00:11:51,680 --> 00:11:53,540
know, you have to think about it from

290
00:11:53,540 --> 00:11:55,660
what is the end game as well.

291
00:11:56,220 --> 00:11:58,440
So what if you buy this home and

292
00:11:58,440 --> 00:12:01,720
now I change my mind and I don't

293
00:12:01,720 --> 00:12:02,900
want to have a second home anymore?

294
00:12:03,720 --> 00:12:06,840
Well, what is then the cost to get

295
00:12:06,840 --> 00:12:07,340
out?

296
00:12:07,900 --> 00:12:09,660
What type of a market would you be

297
00:12:09,660 --> 00:12:12,400
having to then sell this property in?

298
00:12:12,560 --> 00:12:16,040
So there are so many things to consider,

299
00:12:16,400 --> 00:12:18,900
but the good news is that's where having

300
00:12:18,900 --> 00:12:21,440
a financial plan in place to run these

301
00:12:21,440 --> 00:12:24,760
different scenarios, to add these different expenses that

302
00:12:24,760 --> 00:12:28,600
can really help you understand, is it worth

303
00:12:28,600 --> 00:12:29,940
my money?

304
00:12:30,240 --> 00:12:32,540
And can I justify it with what I'm

305
00:12:32,540 --> 00:12:33,540
trying to accomplish?

306
00:12:34,260 --> 00:12:37,000
You know, even cash buyers who aren't worried

307
00:12:37,000 --> 00:12:39,240
about the mortgage for a second home, for

308
00:12:39,240 --> 00:12:44,040
example, they're pretty good at calculating their taxes,

309
00:12:44,260 --> 00:12:47,360
their HOA, their expenses, and they always seem

310
00:12:47,360 --> 00:12:49,680
to forget those things that happen, that we

311
00:12:49,680 --> 00:12:50,540
all know that happen.

312
00:12:51,160 --> 00:12:53,540
Those what ifs, like, oh, I'm buying a

313
00:12:53,540 --> 00:12:53,720
house.

314
00:12:53,800 --> 00:12:54,340
How old is it?

315
00:12:54,400 --> 00:12:55,640
Oh, it's 20 years old.

316
00:12:56,240 --> 00:12:58,100
Original roof, original AC.

317
00:12:58,640 --> 00:12:58,940
Right.

318
00:12:59,160 --> 00:12:59,260
Yeah.

319
00:12:59,500 --> 00:13:01,500
And so they don't- You got two

320
00:13:01,500 --> 00:13:05,420
houses to deal with those big home improvement

321
00:13:05,420 --> 00:13:06,300
costs, right?

322
00:13:06,760 --> 00:13:07,100
Yeah.

323
00:13:07,300 --> 00:13:08,940
It's going to happen if you plan to

324
00:13:08,940 --> 00:13:11,300
own this second property for a period of

325
00:13:11,300 --> 00:13:11,640
time.

326
00:13:12,260 --> 00:13:12,360
Always.

327
00:13:12,360 --> 00:13:13,640
And don't think you're getting out of it

328
00:13:13,640 --> 00:13:15,960
if you buy a condo or a villa

329
00:13:15,960 --> 00:13:19,200
or a co-op, even though you're not

330
00:13:19,200 --> 00:13:22,200
handling the replacement of the roof, you're going

331
00:13:22,200 --> 00:13:23,980
to receive an assessment for the cost.

332
00:13:24,040 --> 00:13:25,180
Yeah, for an HOA cost.

333
00:13:25,340 --> 00:13:25,440
Yeah.

334
00:13:25,440 --> 00:13:28,700
And then there's the trouble of what happens

335
00:13:28,700 --> 00:13:30,580
to my house when it's sitting there vacant?

336
00:13:30,580 --> 00:13:33,700
Meaning, if I have this repair, if I

337
00:13:33,700 --> 00:13:36,100
have this, if my AC goes out, who

338
00:13:36,100 --> 00:13:37,460
am I going to turn to, to help

339
00:13:37,460 --> 00:13:37,720
me?

340
00:13:38,680 --> 00:13:40,200
And am I going to get a reasonable

341
00:13:40,200 --> 00:13:41,160
cost of repair?

342
00:13:41,400 --> 00:13:44,020
So there's a lot to think about, not

343
00:13:44,020 --> 00:13:46,960
just the predictable things, but the what if

344
00:13:46,960 --> 00:13:49,200
this happens, how am I going to handle

345
00:13:49,200 --> 00:13:50,440
it situations?

346
00:13:50,780 --> 00:13:51,000
Yeah.

347
00:13:51,220 --> 00:13:53,760
Including, even if you are thinking you're going

348
00:13:53,760 --> 00:13:55,780
to, and you're able to rent it, Airbnb,

349
00:13:55,780 --> 00:13:59,500
or with one of the local realtors, what

350
00:13:59,500 --> 00:14:01,300
happens when you get that bad tenant?

351
00:14:01,660 --> 00:14:03,660
Because if you rent long enough, you're going

352
00:14:03,660 --> 00:14:06,660
to have that frat house party there.

353
00:14:07,020 --> 00:14:07,500
Yeah.

354
00:14:07,820 --> 00:14:09,380
And the house isn't going to be ready

355
00:14:09,380 --> 00:14:11,420
that next Saturday for the next person coming

356
00:14:11,420 --> 00:14:15,300
in without someone intervening and fixing it, so

357
00:14:15,300 --> 00:14:15,660
to speak.

358
00:14:16,600 --> 00:14:18,620
Also, you hope you have a good management

359
00:14:18,620 --> 00:14:19,800
company helping you.

360
00:14:19,800 --> 00:14:21,500
So if you do decide to take the

361
00:14:21,500 --> 00:14:25,980
route of the Airbnb, and you did have

362
00:14:25,980 --> 00:14:29,880
that awful renter, which hopefully eight out of

363
00:14:29,880 --> 00:14:31,800
10 times, you're not getting that renter.

364
00:14:32,040 --> 00:14:34,260
People tend to have better luck than not,

365
00:14:34,400 --> 00:14:37,100
but it also depends on the location and

366
00:14:37,100 --> 00:14:39,120
the type of people that you're renting to,

367
00:14:39,540 --> 00:14:41,840
and also the price you're renting for.

368
00:14:42,160 --> 00:14:44,180
So if you tend to go and you

369
00:14:44,180 --> 00:14:46,080
say, I want to buy this vacation home,

370
00:14:46,080 --> 00:14:48,720
I want to rent it, and I'm going

371
00:14:48,720 --> 00:14:50,600
to only be able to rent it for

372
00:14:50,600 --> 00:14:54,000
a lower rent, then you have more opportunity

373
00:14:54,000 --> 00:14:56,680
to be able to open the door to

374
00:14:56,680 --> 00:14:58,240
a wider range of people.

375
00:14:58,660 --> 00:15:02,280
Whereas if you're putting a lot more money

376
00:15:02,280 --> 00:15:05,220
into it, and it's expensive, and the cost

377
00:15:05,220 --> 00:15:07,160
to rent something is a lot more expensive,

378
00:15:07,720 --> 00:15:10,360
then there's going to be a smaller amount

379
00:15:10,360 --> 00:15:12,020
of people that you're renting to.

380
00:15:12,020 --> 00:15:15,160
But that could also mean that your repairs

381
00:15:15,160 --> 00:15:16,580
are going to be a lot more because

382
00:15:16,580 --> 00:15:17,880
your house is more expensive.

383
00:15:18,860 --> 00:15:21,620
And then management companies, they're going to be

384
00:15:21,620 --> 00:15:24,320
anywhere from about 10 to 30% on

385
00:15:24,320 --> 00:15:26,360
average for a rental home.

386
00:15:26,800 --> 00:15:29,060
So think about when you live in your

387
00:15:29,060 --> 00:15:31,480
own home, you start to understand the quirks

388
00:15:31,480 --> 00:15:33,720
of the home and, okay, maybe I need

389
00:15:33,720 --> 00:15:36,360
to be mindful of this drain or that

390
00:15:36,360 --> 00:15:37,240
shower.

391
00:15:37,900 --> 00:15:40,860
In a vacation home, you're not spending enough

392
00:15:40,860 --> 00:15:43,240
time to know that that's a consistent quirk.

393
00:15:43,440 --> 00:15:46,420
That's a consistent thing I should be mindful

394
00:15:46,420 --> 00:15:46,900
of.

395
00:15:48,200 --> 00:15:50,760
And so, I think about a property is,

396
00:15:50,960 --> 00:15:54,100
of course, it's an appreciating asset, but it

397
00:15:54,100 --> 00:15:56,140
comes with an expense.

398
00:15:56,800 --> 00:15:59,340
So whether that's a cash purchase, whether that's

399
00:15:59,340 --> 00:16:01,420
the unforeseen, I need a new roof, I

400
00:16:01,420 --> 00:16:02,580
need a new water heater.

401
00:16:03,160 --> 00:16:04,520
Am I going to be able to get

402
00:16:04,520 --> 00:16:07,580
the reliable guy or girl at the time

403
00:16:07,580 --> 00:16:09,260
to be able to fix this properly?

404
00:16:09,840 --> 00:16:12,420
So typically, your investments aren't going to call

405
00:16:12,420 --> 00:16:13,620
you in the middle of the night and

406
00:16:13,620 --> 00:16:16,400
say, hey, I need you to pay X

407
00:16:16,400 --> 00:16:17,660
amount of dollars for me.

408
00:16:18,140 --> 00:16:19,620
And so that's kind of where the trade

409
00:16:19,620 --> 00:16:24,160
-off can lie is, is your money best

410
00:16:24,160 --> 00:16:26,400
spent elsewhere where you still get to go

411
00:16:26,400 --> 00:16:28,540
enjoy and travel, you still get to do

412
00:16:28,540 --> 00:16:31,720
all of these things, or it's really important

413
00:16:31,720 --> 00:16:34,120
for me and my family to have, in

414
00:16:34,120 --> 00:16:36,760
consistency, the exact same place for us to

415
00:16:36,760 --> 00:16:39,160
go to a year over year.

416
00:16:39,360 --> 00:16:41,220
And that's how we want to spend our

417
00:16:41,220 --> 00:16:41,700
time.

418
00:16:41,880 --> 00:16:44,100
So personal choice at that point.

419
00:16:44,620 --> 00:16:46,420
It's a great point because you do end

420
00:16:46,420 --> 00:16:50,000
up with these kind of considerations about the

421
00:16:50,000 --> 00:16:51,680
math of the whole story, right?

422
00:16:54,540 --> 00:16:59,020
I think we'll talk about maybe the non

423
00:16:59,020 --> 00:17:00,300
-math considerations.

424
00:17:01,160 --> 00:17:03,079
There's virtues as well.

425
00:17:03,240 --> 00:17:05,319
But when you're thinking about this purely as

426
00:17:05,319 --> 00:17:06,920
an investment, and in this case, let's say

427
00:17:06,920 --> 00:17:12,319
a rental scenario, I can probably get a

428
00:17:12,319 --> 00:17:18,060
rough estimate of how does real estate appreciate

429
00:17:18,060 --> 00:17:18,839
over time?

430
00:17:19,220 --> 00:17:21,339
I can put a rate of return to

431
00:17:21,339 --> 00:17:23,220
that for an estimate.

432
00:17:24,020 --> 00:17:26,579
I can probably think in terms of, well,

433
00:17:27,119 --> 00:17:29,880
I'm going to maybe generate this many weeks

434
00:17:29,880 --> 00:17:32,140
of income or whatever, months or whatever, however

435
00:17:32,140 --> 00:17:34,320
you're going to plan for this, whether it's

436
00:17:34,320 --> 00:17:36,660
a short-term or a long-term rental.

437
00:17:38,060 --> 00:17:40,440
And then you can quantify, okay, I've got

438
00:17:40,440 --> 00:17:42,720
these costs, these fixed costs that are going

439
00:17:42,720 --> 00:17:43,700
to be associated with it.

440
00:17:44,180 --> 00:17:46,200
So maybe there's a yield, a net yield.

441
00:17:46,320 --> 00:17:47,600
Hopefully, it's on the plus side.

442
00:17:47,680 --> 00:17:50,120
How many times have we all seen these

443
00:17:50,120 --> 00:17:50,640
scenarios?

444
00:17:51,200 --> 00:17:53,000
It really isn't, right?

445
00:17:53,220 --> 00:17:55,380
There's not a positive net yield.

446
00:17:56,820 --> 00:18:00,000
But when you consider, okay, I put this

447
00:18:00,000 --> 00:18:03,480
much capital to use, and is that the

448
00:18:03,480 --> 00:18:05,880
best rate of return I'm going to get

449
00:18:05,880 --> 00:18:07,860
for- Yeah, lost opportunities, right?

450
00:18:08,020 --> 00:18:09,300
Sometimes not.

451
00:18:09,680 --> 00:18:14,160
Now, I suspect we all have seen people

452
00:18:14,160 --> 00:18:17,580
who've done quite well in making real estate

453
00:18:17,580 --> 00:18:20,640
a means of creating wealth, right?

454
00:18:20,760 --> 00:18:21,380
Yes.

455
00:18:21,600 --> 00:18:23,220
They've had a rental property.

456
00:18:23,640 --> 00:18:26,840
Maybe they've leveraged it for a new property

457
00:18:26,840 --> 00:18:28,160
at some point in time.

458
00:18:28,160 --> 00:18:31,180
We saw that go horribly badly, perhaps, in

459
00:18:31,180 --> 00:18:33,380
the financial crisis for a lot of people.

460
00:18:33,700 --> 00:18:35,920
But there's also been these stories where, okay,

461
00:18:36,040 --> 00:18:37,480
I have this for a number of years.

462
00:18:37,660 --> 00:18:38,940
The mortgage gets smaller.

463
00:18:39,300 --> 00:18:40,900
I turn around and use that equity to

464
00:18:40,900 --> 00:18:43,280
help me fund another property, right?

465
00:18:43,360 --> 00:18:44,880
And there's a validity to that.

466
00:18:45,000 --> 00:18:46,640
You can do that and make money.

467
00:18:47,380 --> 00:18:49,260
But it's very difficult to do if you're

468
00:18:49,260 --> 00:18:51,360
not the person who's managing the property, right?

469
00:18:51,420 --> 00:18:52,900
Because the costs go up.

470
00:18:53,440 --> 00:18:53,620
Yep.

471
00:18:54,280 --> 00:18:55,180
Tremendously, yep.

472
00:18:55,900 --> 00:18:58,040
Will you add on that kind of thinking,

473
00:18:58,160 --> 00:18:58,260
Britta?

474
00:18:58,840 --> 00:18:59,680
Yeah, absolutely.

475
00:19:00,040 --> 00:19:02,680
And you have to think about additionally, even

476
00:19:02,680 --> 00:19:04,820
above and beyond just a rate of return,

477
00:19:05,400 --> 00:19:07,140
is a liquidity standpoint.

478
00:19:07,860 --> 00:19:11,680
So what if you didn't do proper planning

479
00:19:11,680 --> 00:19:14,280
and now maybe you put more of a

480
00:19:14,280 --> 00:19:17,200
down payment down than you can actually afford

481
00:19:17,200 --> 00:19:20,780
because you wanted the smaller mortgage and now

482
00:19:20,780 --> 00:19:23,560
you have a big liquidity issue and you

483
00:19:23,560 --> 00:19:25,020
need this additional money.

484
00:19:25,460 --> 00:19:27,260
It's a lot harder to get money out

485
00:19:27,260 --> 00:19:28,940
of a home than it would be to

486
00:19:28,940 --> 00:19:30,820
sell something in the market, for instance.

487
00:19:31,120 --> 00:19:33,560
And then think about it from an additional

488
00:19:33,560 --> 00:19:35,400
next step too.

489
00:19:36,180 --> 00:19:39,240
So when you think about it from a

490
00:19:39,240 --> 00:19:42,320
legacy standpoint, so you're passing this money onto

491
00:19:42,320 --> 00:19:43,060
your heirs.

492
00:19:43,600 --> 00:19:45,360
Does this type of a home, does it

493
00:19:45,360 --> 00:19:47,600
get put into a special type of trust

494
00:19:47,600 --> 00:19:49,380
where it may or may not get a

495
00:19:49,380 --> 00:19:51,300
step up in basis upon your passing?

496
00:19:52,640 --> 00:19:56,060
If you haven't decided what will be the

497
00:19:56,060 --> 00:19:58,000
next step for the home for your heirs

498
00:19:58,000 --> 00:20:01,880
and children perhaps, then now they have to

499
00:20:01,880 --> 00:20:03,640
decide and there's two of them and they're

500
00:20:03,640 --> 00:20:05,860
torn between one wants to keep it and

501
00:20:05,860 --> 00:20:06,980
one wants to sell it.

502
00:20:07,220 --> 00:20:09,280
But once again, we have a liquidity issue

503
00:20:09,280 --> 00:20:10,920
and we can't afford to buy the other

504
00:20:10,920 --> 00:20:11,400
one out.

505
00:20:11,860 --> 00:20:14,120
So there's a lot of things that need

506
00:20:14,120 --> 00:20:16,620
to be considered above and beyond just the

507
00:20:16,620 --> 00:20:20,280
immediate gratification of I have a second home,

508
00:20:20,380 --> 00:20:21,080
this is great.

509
00:20:21,080 --> 00:20:23,900
It's okay, what is the ultimate spider web?

510
00:20:24,340 --> 00:20:27,880
What is the game plan for if something

511
00:20:27,880 --> 00:20:28,860
were to go wrong?

512
00:20:29,720 --> 00:20:33,060
What happens if one of my children doesn't

513
00:20:33,060 --> 00:20:36,300
want to own the home once I pass

514
00:20:36,300 --> 00:20:37,540
away and things like that.

515
00:20:37,620 --> 00:20:40,300
So just make sure that certainly not saying

516
00:20:40,300 --> 00:20:41,960
don't buy the second home.

517
00:20:41,980 --> 00:20:44,400
Cause it's a very common thing, but truly

518
00:20:44,400 --> 00:20:47,520
define like what are your goals around this

519
00:20:47,520 --> 00:20:49,900
home and what are the what ifs that

520
00:20:49,900 --> 00:20:52,200
need to be factored in before making that

521
00:20:52,200 --> 00:20:52,940
big decision?

522
00:20:53,520 --> 00:20:54,980
Jeff and I are both- I know,

523
00:20:55,180 --> 00:20:55,280
go ahead.

524
00:20:55,280 --> 00:20:57,140
Jump on this, go ahead, Jeff.

525
00:20:58,620 --> 00:21:01,940
Well, certainly we see too many spider webs

526
00:21:01,940 --> 00:21:05,800
and opportunities for family strife and estate plans

527
00:21:05,800 --> 00:21:08,220
when a home, typically a vacation home is

528
00:21:08,220 --> 00:21:10,780
given to a group of people because the

529
00:21:10,780 --> 00:21:13,260
parent or grandparent or whoever passes has this

530
00:21:13,260 --> 00:21:16,380
wonderful vision of the family gathering there and

531
00:21:16,380 --> 00:21:19,200
sharing it equally and just making so many

532
00:21:19,200 --> 00:21:21,360
memories there and it continuing on and on

533
00:21:21,360 --> 00:21:21,780
forever.

534
00:21:22,640 --> 00:21:26,000
But even worse than that, which that scenario

535
00:21:26,000 --> 00:21:27,600
is good, but even worse than what usually

536
00:21:27,600 --> 00:21:31,000
happens is when a buyer, whether it be

537
00:21:31,000 --> 00:21:33,660
Chris and I say, hey, let's get this.

538
00:21:33,820 --> 00:21:35,720
We can't afford a vacation house in Aruba

539
00:21:35,720 --> 00:21:39,500
individually, but let's buy half.

540
00:21:40,140 --> 00:21:45,400
Or siblings doing it or whatever combination of

541
00:21:45,400 --> 00:21:47,740
people and everything's great for that first month,

542
00:21:47,840 --> 00:21:48,160
of course.

543
00:21:48,340 --> 00:21:50,760
And we all see what happens when people

544
00:21:50,760 --> 00:21:53,240
wanna sell or there's a big repair.

545
00:21:54,480 --> 00:21:56,860
Just please don't do fractional ownership.

546
00:21:57,620 --> 00:22:00,220
Don't do fractional ownership because that's one of

547
00:22:00,220 --> 00:22:01,100
the hardest things.

548
00:22:01,240 --> 00:22:04,200
No matter how much legal documentation you have

549
00:22:04,200 --> 00:22:07,500
on paper, there's still always gonna be that

550
00:22:07,500 --> 00:22:09,000
emotional side of it.

551
00:22:09,300 --> 00:22:12,100
You have to have the conversation around what

552
00:22:12,100 --> 00:22:13,020
happens when.

553
00:22:13,140 --> 00:22:15,460
There's only so much contingency planning that you

554
00:22:15,460 --> 00:22:19,420
can account for when it comes to adding

555
00:22:19,420 --> 00:22:22,760
additional people to the decision.

556
00:22:24,460 --> 00:22:27,740
So, once again, not deterring you to buy

557
00:22:27,740 --> 00:22:28,780
the vacation home.

558
00:22:28,940 --> 00:22:29,800
It's just- And it sounds like we

559
00:22:29,800 --> 00:22:30,060
are.

560
00:22:31,100 --> 00:22:34,060
I wanna jump in too, cause I wanna

561
00:22:34,060 --> 00:22:35,020
join on this too.

562
00:22:35,080 --> 00:22:37,640
We see this so often with parents who

563
00:22:37,640 --> 00:22:42,700
have this vision and the vision is that

564
00:22:42,700 --> 00:22:47,400
our family will have some great times together.

565
00:22:47,800 --> 00:22:51,320
And when we're gone, we'll continue to have

566
00:22:51,320 --> 00:22:53,500
those great times in the house.

567
00:22:53,740 --> 00:22:55,960
And they might even think, oh, we'll set

568
00:22:55,960 --> 00:22:58,740
aside some funds to help pay the expenses.

569
00:22:58,960 --> 00:23:02,000
But the reality of it becomes, it can

570
00:23:02,000 --> 00:23:05,680
become a source of dispute and disagreement.

571
00:23:07,320 --> 00:23:11,420
Oh, my kid's one lives down the street

572
00:23:11,420 --> 00:23:13,880
or like a half hour's drive away, they

573
00:23:13,880 --> 00:23:15,080
can get there all the time.

574
00:23:16,180 --> 00:23:17,720
But then there's that one on the other

575
00:23:17,720 --> 00:23:19,640
side of the country, never gets to use

576
00:23:19,640 --> 00:23:20,920
it, but has to pay equally.

577
00:23:21,860 --> 00:23:24,060
And there's the one who's really well off,

578
00:23:24,120 --> 00:23:24,940
they're doing fine.

579
00:23:25,480 --> 00:23:27,040
And then there's the one who's like really

580
00:23:27,040 --> 00:23:29,100
scraping by and needs the money for paying

581
00:23:29,100 --> 00:23:30,180
for their kid's tuition.

582
00:23:30,560 --> 00:23:31,760
Or they move into the house.

583
00:23:32,160 --> 00:23:33,660
Or they move into the house for the

584
00:23:33,660 --> 00:23:34,180
dinner, yeah.

585
00:23:34,650 --> 00:23:39,580
So, you run into these snares where the

586
00:23:39,580 --> 00:23:43,620
mind's eye of the parent leaving this asset

587
00:23:44,260 --> 00:23:47,820
is how wonderful we'll continue these great family

588
00:23:47,820 --> 00:23:48,960
times.

589
00:23:49,280 --> 00:23:51,900
Our family's different, we get along so well.

590
00:23:52,280 --> 00:23:55,760
But it can be a source of dispute.

591
00:23:56,500 --> 00:24:01,400
And God forbid it doesn't end with that

592
00:24:01,400 --> 00:24:05,580
generation, goes on to the cousins later on,

593
00:24:06,460 --> 00:24:07,140
forget it.

594
00:24:07,380 --> 00:24:07,820
You know what I mean?

595
00:24:07,980 --> 00:24:10,400
So, deal with this in your estate plan.

596
00:24:11,060 --> 00:24:14,820
Give thought, have some family conversations about what

597
00:24:14,820 --> 00:24:17,220
would happen, who, does anybody want it?

598
00:24:17,560 --> 00:24:18,600
You know, that kind of thing.

599
00:24:18,760 --> 00:24:20,980
And the practical reality is it can't be

600
00:24:20,980 --> 00:24:21,580
everybody.

601
00:24:22,080 --> 00:24:22,420
No.

602
00:24:22,420 --> 00:24:23,260
That's a reality.

603
00:24:23,600 --> 00:24:25,460
Yeah, I worked for a trust company for

604
00:24:25,460 --> 00:24:28,000
six years prior to coming to Wealth Enhancement

605
00:24:28,000 --> 00:24:28,220
Group.

606
00:24:28,280 --> 00:24:30,780
So, I saw this firsthand day in and

607
00:24:30,780 --> 00:24:33,560
day out when it comes to, you know,

608
00:24:33,560 --> 00:24:34,900
when the glue of the group is no

609
00:24:34,900 --> 00:24:36,980
longer there and they have the exact same

610
00:24:36,980 --> 00:24:38,720
thoughts, my kids will never fight.

611
00:24:39,020 --> 00:24:41,680
Well, what if everybody wants it for 4th

612
00:24:41,680 --> 00:24:42,240
of July?

613
00:24:42,500 --> 00:24:45,080
And there's only, you know, three bedrooms and

614
00:24:45,080 --> 00:24:46,440
there's four families.

615
00:24:47,300 --> 00:24:50,120
And then also to think about now this,

616
00:24:50,580 --> 00:24:52,900
typically you'll have to have a trust set

617
00:24:52,900 --> 00:24:55,200
up to then help pay for the expenses.

618
00:24:55,560 --> 00:24:57,200
Trust is gonna get taxed at a much

619
00:24:57,200 --> 00:25:00,680
higher rate than what it would be if

620
00:25:00,680 --> 00:25:02,160
they outright owned that money.

621
00:25:02,820 --> 00:25:04,620
So, there's a lot of things to really

622
00:25:04,620 --> 00:25:04,720
consider.

623
00:25:04,720 --> 00:25:06,200
And you mentioned some of the capital gains,

624
00:25:06,300 --> 00:25:08,400
implications, all these other variables.

625
00:25:08,980 --> 00:25:10,860
You know, I wanna go back to though,

626
00:25:11,020 --> 00:25:14,700
you know, all these complicating considerations, but that

627
00:25:14,700 --> 00:25:17,660
doesn't mean there isn't virtue in having a

628
00:25:17,660 --> 00:25:20,600
second home that you can enjoy for yourself,

629
00:25:21,180 --> 00:25:24,200
you can enjoy for your family as like

630
00:25:24,200 --> 00:25:27,940
facilitating opportunities for family times.

631
00:25:28,460 --> 00:25:30,420
You know, I don't wanna have it be

632
00:25:30,420 --> 00:25:32,720
that there's never a reason you'd wanna have

633
00:25:32,720 --> 00:25:34,340
a second home either.

634
00:25:34,940 --> 00:25:37,380
We're just saying, don't think that this is

635
00:25:37,380 --> 00:25:41,460
something that should last for generations in the

636
00:25:41,460 --> 00:25:43,460
way you think about the planning around this.

637
00:25:43,880 --> 00:25:46,240
I can testify that owning a second home

638
00:25:46,240 --> 00:25:48,120
was a wonderful experience.

639
00:25:49,240 --> 00:25:51,160
Lisa and I bought one in the early

640
00:25:51,160 --> 00:25:55,400
2010s after the depression of Beachfront Condo in

641
00:25:55,400 --> 00:25:55,740
Florida.

642
00:25:56,320 --> 00:25:58,440
We would come down, still working full time

643
00:25:58,440 --> 00:25:59,660
in Massachusetts, obviously.

644
00:26:00,380 --> 00:26:02,600
We came down whenever we could.

645
00:26:02,700 --> 00:26:03,960
We had family use it.

646
00:26:04,560 --> 00:26:05,480
It was wonderful.

647
00:26:05,600 --> 00:26:07,360
It introduced us to an area that we

648
00:26:07,360 --> 00:26:08,200
got to know and like.

649
00:26:09,200 --> 00:26:12,880
And we ultimately decided to sell the condo

650
00:26:12,880 --> 00:26:15,160
and, you know, build a house eventually here.

651
00:26:15,460 --> 00:26:16,380
And- Relocate.

652
00:26:16,620 --> 00:26:20,020
It was a easy, to your earlier point,

653
00:26:20,120 --> 00:26:21,040
Britta, we knew the area.

654
00:26:21,040 --> 00:26:22,780
We knew what we would do.

655
00:26:23,200 --> 00:26:25,100
So we were introduced to the area on

656
00:26:25,100 --> 00:26:27,060
vacation, after vacation, after vacation.

657
00:26:27,480 --> 00:26:29,580
And we sold it at a nice profit

658
00:26:29,580 --> 00:26:30,900
and all is well.

659
00:26:31,060 --> 00:26:31,980
It can happen.

660
00:26:32,700 --> 00:26:34,140
Yes, absolutely.

661
00:26:34,540 --> 00:26:35,960
It absolutely is.

662
00:26:36,140 --> 00:26:38,820
And, you know, that's why it's a common

663
00:26:38,820 --> 00:26:39,160
thing.

664
00:26:39,200 --> 00:26:41,420
And that's why we're talking about it today.

665
00:26:41,680 --> 00:26:45,640
But oftentimes, you know, depending on your financial

666
00:26:45,640 --> 00:26:48,800
situation, of course, you know, most of the

667
00:26:48,800 --> 00:26:51,220
time people end up needing to use this

668
00:26:51,220 --> 00:26:52,120
to rent.

669
00:26:52,680 --> 00:26:54,940
And once you start bringing in other people,

670
00:26:55,200 --> 00:26:57,280
whether that's we're going in on the property

671
00:26:57,280 --> 00:27:00,220
together, I require renters to pay for it.

672
00:27:00,560 --> 00:27:02,260
That's when things can get a little bit

673
00:27:02,260 --> 00:27:02,840
trickier.

674
00:27:03,380 --> 00:27:05,740
And if you don't have those family conversations

675
00:27:05,740 --> 00:27:08,660
about what is going to be then the

676
00:27:08,660 --> 00:27:10,560
best use of this when we're no longer,

677
00:27:11,160 --> 00:27:13,380
then that's where things will really start to

678
00:27:13,380 --> 00:27:14,120
get a bit hairy.

679
00:27:14,620 --> 00:27:17,540
So, but yeah, no, you going down and

680
00:27:17,540 --> 00:27:19,660
learning that you love this spot.

681
00:27:20,060 --> 00:27:21,780
I have some clients right now that that's

682
00:27:21,780 --> 00:27:23,360
what they're in process of doing.

683
00:27:23,540 --> 00:27:25,780
And it's really fun to help them plan

684
00:27:25,780 --> 00:27:28,820
for because it does make sense for them

685
00:27:28,820 --> 00:27:30,040
based on what their goals are.

686
00:27:30,540 --> 00:27:31,820
And I think a lot of times these

687
00:27:31,820 --> 00:27:35,320
kinds of goals can really motivate people in

688
00:27:35,320 --> 00:27:39,600
their development of their financial wellbeing, right?

689
00:27:39,640 --> 00:27:42,540
There's the element of it's a motivator for

690
00:27:42,540 --> 00:27:44,020
investment and savings.

691
00:27:44,240 --> 00:27:46,420
It's something that they get excited about.

692
00:27:46,420 --> 00:27:48,660
But do your financial plan.

693
00:27:48,760 --> 00:27:49,780
I think we'd all agree.

694
00:27:50,200 --> 00:27:52,480
It's important to go in with your eyes

695
00:27:52,480 --> 00:27:54,680
wide open of what the costs will be.

696
00:27:54,900 --> 00:27:59,580
Do some thoughtful deliberation around this before you

697
00:27:59,580 --> 00:28:03,560
just go off on a tear, that kind

698
00:28:03,560 --> 00:28:03,880
of thing.

699
00:28:04,740 --> 00:28:08,860
And ultimately, real estate can be a source

700
00:28:08,860 --> 00:28:11,440
of wealth, which is good.

701
00:28:11,820 --> 00:28:13,900
But to your point, Britta, it is not

702
00:28:13,900 --> 00:28:14,300
liquid.

703
00:28:14,740 --> 00:28:18,000
And it is important that you have other

704
00:28:18,000 --> 00:28:22,300
resources to meet your needs should you run

705
00:28:22,300 --> 00:28:26,000
into the issues that inevitably come up for

706
00:28:26,000 --> 00:28:28,220
need for cashflow and so forth.

707
00:28:28,380 --> 00:28:31,620
Yeah, I always too, I'll say, think about

708
00:28:31,620 --> 00:28:35,620
a really nice hotel or an Airbnb that

709
00:28:35,620 --> 00:28:37,380
you would like to rent out and just

710
00:28:37,380 --> 00:28:40,760
research that online and calculate what the cost

711
00:28:40,760 --> 00:28:41,420
of that is.

712
00:28:41,500 --> 00:28:43,760
So let's say it's 2000 for the time

713
00:28:43,760 --> 00:28:44,660
you're going to be there.

714
00:28:45,220 --> 00:28:48,020
And then compare that to the 12 month

715
00:28:48,020 --> 00:28:50,540
or every single month when you have the

716
00:28:50,540 --> 00:28:54,140
mortgage, is that actually going to outweigh that?

717
00:28:54,320 --> 00:28:56,320
And do I really need to keep my

718
00:28:56,320 --> 00:28:58,420
skis locked up in a closet for that

719
00:28:58,420 --> 00:29:00,100
additional 11 month cost?

720
00:29:00,640 --> 00:29:02,680
So just all of those kinds of things

721
00:29:02,680 --> 00:29:04,300
always give you that flexibility.

722
00:29:05,200 --> 00:29:07,420
That's a great point because we often hear,

723
00:29:07,560 --> 00:29:09,640
oh, you're better to own than rent.

724
00:29:10,420 --> 00:29:11,680
But not always.

725
00:29:13,020 --> 00:29:15,060
It doesn't mean that your money is just

726
00:29:15,060 --> 00:29:16,080
sitting in cash.

727
00:29:16,540 --> 00:29:19,520
You can still get a conservative growth rate

728
00:29:19,520 --> 00:29:21,540
on your money and it's still going to

729
00:29:21,540 --> 00:29:22,440
be there for you.

730
00:29:22,540 --> 00:29:23,940
And if you say, I need that additional

731
00:29:23,940 --> 00:29:27,520
2000 every so often to go buy and

732
00:29:27,520 --> 00:29:31,100
to stay in these places, then let's plan

733
00:29:31,100 --> 00:29:31,460
for that.

734
00:29:31,580 --> 00:29:33,520
Let's create that income, which is going to

735
00:29:33,520 --> 00:29:35,020
be way less expensive.

736
00:29:35,760 --> 00:29:38,460
And once again, your investments don't have an

737
00:29:38,460 --> 00:29:39,300
HOA either.

738
00:29:39,540 --> 00:29:40,820
Yeah, that's a great point.

739
00:29:40,840 --> 00:29:41,620
Or a new roof.

740
00:29:44,380 --> 00:29:46,560
We're going to wrap up, but before we

741
00:29:46,560 --> 00:29:48,980
do, normally I start off with a little

742
00:29:48,980 --> 00:29:49,860
get to know you.

743
00:29:50,380 --> 00:29:52,140
And we were so excited to get into

744
00:29:52,140 --> 00:29:53,660
the topic, we jumped right in.

745
00:29:54,520 --> 00:29:55,840
But tell us a little bit about your

746
00:29:55,840 --> 00:29:57,240
practice before we're done.

747
00:29:58,240 --> 00:29:58,400
Sure.

748
00:29:58,620 --> 00:30:02,000
Okay, so we're based in Coronado and we're

749
00:30:02,000 --> 00:30:04,940
about, actually, we're about 800 million under management.

750
00:30:05,560 --> 00:30:09,240
So it's, and I will say, being in

751
00:30:09,240 --> 00:30:13,960
Southern California, rental properties are a very common

752
00:30:13,960 --> 00:30:15,260
thing for clients.

753
00:30:15,760 --> 00:30:18,000
They are becoming less common just because of

754
00:30:18,000 --> 00:30:18,920
some of the restrictions.

755
00:30:19,920 --> 00:30:22,580
We're actually bringing on a brand new advisor

756
00:30:22,580 --> 00:30:24,180
that's going to start in about a month

757
00:30:24,180 --> 00:30:24,660
or so.

758
00:30:24,900 --> 00:30:27,020
So there's three of us out there right

759
00:30:27,020 --> 00:30:27,420
now.

760
00:30:27,740 --> 00:30:31,580
And my current business partner, we've actually known

761
00:30:31,580 --> 00:30:33,960
each other for quite a few years before

762
00:30:33,960 --> 00:30:35,080
working together.

763
00:30:35,380 --> 00:30:37,500
So we have a lot more of kind

764
00:30:37,500 --> 00:30:39,700
of that family feel in the office.

765
00:30:39,880 --> 00:30:41,640
And if you ever decide to come to

766
00:30:41,640 --> 00:30:43,440
Coronado and you want to work with us,

767
00:30:43,540 --> 00:30:46,720
we have our annual summer yacht at the

768
00:30:46,720 --> 00:30:49,500
Coronado Yacht Club, client appreciation event.

769
00:30:49,860 --> 00:30:51,700
So that's always a good time.

770
00:30:51,780 --> 00:30:53,600
Just a great way for everyone to just

771
00:30:53,600 --> 00:30:54,140
get out.

772
00:30:54,580 --> 00:30:56,540
Just a great thank you and get to

773
00:30:56,540 --> 00:30:57,480
see one another.

774
00:30:57,920 --> 00:30:59,700
Who's your ideal client?

775
00:31:00,860 --> 00:31:03,040
Oh man, somebody that's nice.

776
00:31:03,760 --> 00:31:07,060
Somebody that wants to work together.

777
00:31:07,060 --> 00:31:07,520
Yeah.

778
00:31:08,940 --> 00:31:12,440
But so no, I would say our ideal

779
00:31:12,440 --> 00:31:15,760
client is really somebody that's looking to step

780
00:31:15,760 --> 00:31:16,680
into retirement.

781
00:31:17,040 --> 00:31:18,180
I am retired.

782
00:31:18,340 --> 00:31:21,740
Somebody that tends to have some estate planning

783
00:31:21,740 --> 00:31:24,980
needs and also to a lot of help

784
00:31:24,980 --> 00:31:26,300
with like tax mitigation.

785
00:31:26,520 --> 00:31:29,520
So being in California, once again, we focus

786
00:31:29,520 --> 00:31:31,760
a lot on that legacy planning.

787
00:31:32,000 --> 00:31:35,240
And then once again, if you're, you know,

788
00:31:35,240 --> 00:31:37,980
just the nobody that's high maintenance.

789
00:31:38,440 --> 00:31:39,020
No, I'm just kidding.

790
00:31:40,140 --> 00:31:42,140
But you know, I think it's a lot.

791
00:31:42,600 --> 00:31:45,100
We really like clients that are open-minded

792
00:31:45,100 --> 00:31:49,180
to being creative, that like the idea share.

793
00:31:49,720 --> 00:31:51,360
And those tend to be the type of

794
00:31:51,360 --> 00:31:53,740
clients that we really work the best with.

795
00:31:54,060 --> 00:31:54,620
Okay, terrific.

796
00:31:55,020 --> 00:31:56,820
Hey, thanks for being with us today.

797
00:31:57,160 --> 00:31:57,860
Great job.

798
00:31:59,540 --> 00:32:00,560
Appreciate the help.

799
00:32:00,600 --> 00:32:03,180
If you need help with your financial planning

800
00:32:03,180 --> 00:32:06,400
or portfolio management, reach out to Wealth Enhancement.

801
00:32:06,480 --> 00:32:07,620
Thanks for being with us today.

802
00:32:07,900 --> 00:32:08,360
Take care.

803
00:32:35,340 --> 00:32:38,200
AMR-info at wealthenhancement.com.

804
00:32:38,640 --> 00:32:40,340
You're listening to Something More with Chris Boyd

805
00:32:40,340 --> 00:32:41,180
Financial Talk Show.

806
00:32:41,280 --> 00:32:43,780
Wealth Enhancement Advisory Services and Jay Christopher Boyd

807
00:32:43,780 --> 00:32:46,100
provide investment advice on an individual basis to

808
00:32:46,100 --> 00:32:46,660
clients only.

809
00:32:46,800 --> 00:32:48,800
Proper advice depends on a complete analysis of

810
00:32:48,800 --> 00:32:49,980
all facts and circumstances.

811
00:32:50,220 --> 00:32:52,080
The information given on this program is general

812
00:32:52,080 --> 00:32:54,120
financial comments and cannot be relied upon as

813
00:32:54,120 --> 00:32:55,700
pertaining to your specific situation.

814
00:32:55,900 --> 00:32:57,860
Wealth Enhancement Group cannot guarantee that using the

815
00:32:57,860 --> 00:32:59,880
information from this show will generate profits or

816
00:32:59,880 --> 00:33:01,000
ensure freedom from loss.

817
00:33:01,160 --> 00:33:03,320
Listeners should consult their own financial advisors or

818
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conduct their own due diligence before making any

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financial decisions.