Working with a financial advisor is one of the best ways to ensure your finances are in a good place—especially when you’re considering purchasing real estate. As fiduciaries, our team is obligated to make decisions in our clients’ best interests when offering financial advice. To do this, we must dedicate time to learn everything we can about clients’ financial backgrounds. This includes property investments, stocks, cars, businesses, taxes—you name it, we want to know about it.
Staying “In-the-Know” About Real Estate Best Practices
While it’s our job to know about all of our client’s assets, we’re not exactly experts in all of them. That’s why we collaborate with real estate professionals like Amanda Zaddock, co-owner and broker at Elite West Realty. Amanda has an extensive background in real estate and property management and always has answers to our questions.
Sara Schauermann and Luke McNeely, co-founders of Copperline and financial advisors in Cody, Wyoming—near the beautiful Absaroka range—recently sat down with Amanda to discuss all things property investments and financial planning. Read their interview below.
Interview with Amanda Zaddock, Real Estate Professional
Sara Schauermann (SS): Real estate plays an integral role in a person’s overall financial portfolio. As a professional in this field of work, what advice do you have for individuals as they plan to invest in real estate?
Amanda Zaddock (AZ): I would advise individuals save for a decent down payment so you have betting lending options (and shop around for the best terms), conduct market research to ensure you’re buying in an area with a positive outlook, and find a professional realtor that is fully immersed in the market you’re looking to buy in. Investing more upfront in order to obtain a superior location and property will likely offer better long-term returns.
I would also advise investors to look for properties with more doors. Think triplex, fourplex or more. The cost per unit decreases and unforeseen vacancy won’t impact your bottom dollar as much as a single-family home would.
Luke McNeely (LM): The real estate market is booming. From your perspective, what encouragement do you have for individuals as they consider buying or selling in this market?
AZ: Regardless of the current market, the long-term trends for real estate show positive appreciation. Considering how low the interest rates are right now, even if home prices are increasing (as they will most likely continue to do), it’s still a great time to take advantage of the rates.
SS: What are some common mistakes or roadblocks individuals encounter when purchasing or selling real estate?
AZ: Some common mistakes we see folks make is not saving for a large down payment, pushing their budget too far resulting in becoming “house poor,” not doing enough due diligence during the inspection period, and buying property that needs more than a little TLC—resulting in a drained bank account.
LM: How can prospective buyers prepare for a future in real estate investing?
AZ: Educate yourself; leave no stone unturned, study real estate investing and your local markets. Save, save, save. Financial professionals will advise you to start investing as young as possible. The same applies for real estate. You’ll always wish you started sooner!
SS: What other information would be important for individuals to know when it comes to financial planning and real estate?
AZ: I think it’s important for individuals to take their time and be smart about the investments they make. Rely on hard, historical data and not solely coffee house talk. Be sure you’re speaking with a reputable agent to ensure you’re receiving accurate data regarding past sales and projected trends.
Working with a Copperline Financial Advisor
Your financial future is essential and something that we want to help prioritize. As a people-oriented business, it’s Copperline’s commitment to providing wholesome financial advising strategies for every season—including property investments.
For more resources about financial planning, check out our other articles on our website and follow us on Facebook. If you’re interested in learning more about financial advising services in Cody, Wyoming, or wherever you’re located, we encourage you to reach out to our team.
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Want to know more about what a fiduciary does? Check out the recent article, “The Importance of Having a Financial Advisor Who is a Fiduciary.”
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.
Amanda Zaddock and Elite West Realty are not affiliated with or endorsed by LPL Financial and Copperline Wealth Management and Planning.
