Navigating Financial Planning and Homeownership for the Next Generation

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Embark on a journey through the financial landscape with a fresh set of eyes as Rob Wolf, alongside budding stars Jonathan Foster and Sara Wolf, tackle the pressing money matters facing our younger generation. Witness Sara, a brilliant new Certified Financial Planner, unravel the intricacies of her journey to earning her CFP designation and the imperative of early, comprehensive financial guidance. Her insights promise to arm you with the knowledge to support clients from their first paycheck to their last.

The conversation takes a turn towards the ever-pertinent topic of housing as Jonathan shares his firsthand experiences with the trials of first-time homeownership in our current economy. From sky-high interest rates to daunting housing prices, we dissect the affordability crisis and its grip on the American dream. Jonathan and Sara's candid dialogue shines a light on how their peers are adapting and how new financial advisors are stepping up to the plate in this dynamic fiscal game. Tune in for an empowering session that connects the dots between financial expertise and real-world application.

Learn more about Wolf Financial Advisory:
https://www.wolffinancialadvisory.com/

Disclosure: Robert Wolf, James Koenig, Sara Wolf, and Michael Rock are investment advisor representatives of, and securities and advisory services are offered through, USA Financial Securities. Member FINRA/SIPC. Additionally, Amanda Opulskas and Adam Wallace are registered non-solicitors of USA Financial Securities, A registered investment advisor. 6020 E. Fulton St., Ada, MI 49301. Wolf Advisory Services and Wolf Financial Advisory are not affiliated with USA Financial Securities.

The strategies and concepts discussed are for educational purposes only and do not represent specific investment, tax, or estate planning advice. Investing carries an inherent element of risk and it is in everyone’s best interests to consult a tax, legal, or investment professional. The opinions expressed herein are not meant to provide specific investment advice or serve as a prediction for future stock market performance. Past performance does not guarantee future results. Securities and advisory services are offered through USA Financial Securities Corp., member FINRA/SIPC. A registered investment adviser. Wolf Financial Advisory and USA Financial Securities are not affiliated entities.

Episode Transcript

Voiceover (00:00):
The strategies and concepts discussed are for
educational purposes only and donot represent specific
investment, tax or estateplanning advice.
Investing carries an inherentelement of risk and it is in
everyone's best interests toconsult a tax, legal or
investment professional.
The opinions expressed hereinare not meant to provide
specific investment advice orserve as a prediction for future

(00:21):
stock market performance.
Past performance does notguarantee future results.
Securities and advisoryservices are offered through USA
Financial Securities Corpmember FINRA SIPC, a registered
investment advisor.
Wolf Advisory Services LLC andWolf Financial Advisory are not
affiliated with USA FinancialSecurities Corp.

(00:41):
Wolf Financial Advisory when it's important to you.
It's important to us.

Voiceover (00:48):
This is the Wolf Financial Podcast.
Here's your host, Rob Wolf.

(00:55):
Good day everyone.
Rob Wolf here with WolfFinancial Podcast Today.
I'm joined by Jonathan Fosterand Sara Wolf, who are starting
their careers as younger people,and we wanted to get some
perspective of younger people,since I'm an old man at 51.
And we have a little bit ofgenerational differences as far

(01:20):
as what younger people arethinking about, what younger
people are thinking about, whatyounger people are concerned
about.
So, to just get your insight asto where you think things are
going, where your generationneeds some help and how they
should go about putting that.
So, sarah, let's start with you.

(01:40):
You just got your CFPdesignation, which is very
impressive.
I believe there's only 5,000people in the country that are
your age that have thisdesignation, so why don't you
tell us a little bit about whatit took to get that designation?
Yeah.
So in order to become a CFP,you need to have 6,000 hours of

(02:04):
work experience.
You need to take core classeson all the different subjects
they want you to learn about,including income tax planning,
estate planning, retirementplanning, general financial
advising and insurance planning,investments and also psychology

(02:25):
.
So, in addition to those coreclasses, the experience hours,
you have to take the six hourlong exam, which I can tell you
is quite draining and painful,but obviously I got through it.
So where someone that is nearretirement may look at somebody
like me that's got a lot ofyears of experience, but in

(02:50):
reality, when they go tosomebody like yourself who,
although younger, you have the6,000 hours you've done, the
credentials, you understand whatit takes to make a successful
financial plan.
You can help people just asmuch as me and perhaps even have

(03:11):
better relatable skills to theyounger generation, such as
yourself.
Oh, absolutely, and I thinkanother advantage that comes
with being so young is I canhelp people from the beginning
of their journey, often to thevery end of their journey, just
because I have a long time spanin my career.
Are you saying I'm going to diehere soon?
Is that what you're saying?

(03:32):
I think you want to becomeretired, is what I'm saying.
But overall, what would you sayis some of the biggest
challenges of somebody in yourgeneration right now?
Yeah, I think one of the biggestchallenges of somebody in your
generation right now yeah, Ithink one of the biggest
challenges that I see in mygeneration right now is, of
course, housing.
I know it's the American dreamto want to buy a house and many

(03:54):
people my age cannot afford ahouse right now in this current
interest rate environment, alongwith the current housing prices
environment.
So that's a good point.
We got Jonathan Foster here,who's also an associate of Wolf
Financial Jonathan, also age 24.
She just brought up housing andthis is something that you've

(04:14):
been looking at actively.
You're renting right now in thecommunity.
What has your experience been?
Looking for your first timehome ownership?
I'd say the experience has beeneye opening at that.
It's mainly a matter of supplyand demand and with the interest
rate environment that we're in,more people are willing to hold

(04:35):
on to the house that they havejust because they have those
mortgages that are at 2% 3%.
They don't want to have torefinance into something that's
8, 9, 10% and maybe yourincome's not quite there.
That means that even though youget approved for a house, you

(04:56):
might have the interest ratethat pushes that budget over the
limit.
And that's where we're at rightnow, where, even if the houses
that maybe five, six years agowere only worth $60,000, $70,000
, $80,000, those are now worth$160,000, $170,000, $180,000.
So our biggest problem withtrying to find the resources for
that whether that be money orjust what's on the market has

(05:20):
mainly been that there's reallyno one wanting to sell.
And if there is a propertythat's available that hasn't
been snatched up day of, there'sprobably something really wrong
with it, which means there'llbe additional expense associated
not only with mortgaging it butalso having to fix it up to get

(05:41):
it livable again.
So lots of challenges.
I don't envy anyone in today'senvironment having to look for a
house unless you've got a lotof money and you could pay for
cash, or you're looking forreally high-end houses $750,000
and above where those aren'tmoving as fast because the

(06:02):
demand isn't as high.
It's tough being a young personright now trying to start out
to live their American dream.
What are some of the otherissues you guys feel, and please
feel free to take turns as faras what other challenges younger
people have in today'senvironment.
Just by my experience, growingup, going through high school,

(06:24):
going through college, there'sreally no education on how
you're supposed to be savingyour money, how you're supposed
to be using your money to betteryourself in your life.
It's more so.
You're going to learn math,you're going to learn science,
you're going to learn history.
All that stuff that you may usemay not use later in life.
Yet as far as finances, unlessyou are dedicated to taking

(06:47):
those finance courses, you'renot going to learn about it.
And I think, in addition to that, I also want to say that, as
people are not learning enoughabout finances, we, as younger
people, are taking on more andmore debt, especially with the
rising costs of college expenseseducation system in general has
let you down in regarding ofjust basic financial acumen.

(07:19):
So what are challenges?
If any?
Have you noticed, as you'vedealt either for yourselves
personally or talking withfriends, what are some of their
challenges they're looking at?
I think, Jonathan, you may beable to talk about this a little
bit more than I can, butanother big industry that has
really raised their prices iscars.
Right now, trying to buy a car?

(07:39):
My history has actually been incars where I have the passion to
build more so the classics thanwhat's coming out in today's
world.
Yet back then, a car that wasworth maybe $500 just because of
the shape it was in, because ofthe interest rates alone, that
car is now worth over $2,500.
So if you have an instancewhere your car broke down, it's

(08:04):
not able to get repaired and youdon't have that emergency fund
to buy another car, well, you'regoing to be out probably that
entire fund, if not more thanwhat you need.
So cars, homes, everythingthat's really essential, right?
The ability to get to and fromwork, the ability to have a safe

(08:24):
place to go home to, right.
And then you couple that with,if you have kids, and the
challenges of having to have atwo working spouse home life.
And what do you do with daycare, right?
I mean, sometimes the onespouse has to work pretty much
to cover 100 percent of thedaycare, and then you wonder,

(08:47):
does it even make sense to dothe daycare?
But then that spouse has thebenefits.
So there's all these challengesthat you guys have that you
know that we just didn't have afew years ago.
So, sarah, what would you sayis the advice that you would
like to leave younger peoplewith as they're dealing with

(09:09):
these issues, and how can WolfFinancial be a potential
solution for them?
Yes.
So for most young people, myrecommendation would absolutely
be to start building thatemergency fund In case things go
wrong.
You always want to have somecash set aside so that you have

(09:29):
that there in case you ever needit.
One of the best ways to do thisis either investing in a money
market, putting that emergencyfund aside for it to grow for
anytime you need it, perhaps aCD, and here at Wolf Advisory we
could also help with many ofthose options and decide which
is best for you, along withwhich interest rate would help
that emergency fund grow thebest.

(09:50):
Yeah.
So I think the big thing is atWolf Financial Advisory,
regardless of your status,regardless of your age, we're
here to help you and we havepeople that are willing to grow
with you as you go through yourlife.
And if you have a youngsterthat is just starting out on

(10:14):
life and you feel they would bebetter fit to have somebody work
with them at their own agebracket, we have that.
You're looking for a youngeradvisor than yourself?
We have that.
We pretty much have all thebases covered here at Wool
Financial so that you can havean advisor that you can form a

(10:36):
relationship with that you'll becomfortable with for the long
term.
So, Sara and Jonathan, thankyou for your time today and
sharing some of the challengesthat younger people have
starting out, and we'll lookforward to listening to
everybody at our next podcasthere at Wolf Financial.

Voiceover (10:58):
Thank you for listening to the Wolf Financial
Podcast.
For additional informationabout our firm, please visit our
websitewolfadvisorieservicescom.

(11:09):
Wolf Financial.

Voiceover (11:10):
Advisory.
The strategies and conceptsdiscussed are for educational
purposes only and do notrepresent specific investment,
tax or estate planning advice.
Investing carries an inherentelement of risk and it is in
everyone's best interests toconsult a tax, legal or
investment professional.
The opinions expressed hereinare not meant to provide

(11:30):
specific investment advice orserve as a prediction for future
stock market performance.
Past performance does notguarantee future results.
Securities and advisoryservices are offered through USA
Financial Securities Corpmember FINRA SIPC, a registered
investment advisor.
Wolf Advisory Services LLC andWolf Financial Advisory are not
affiliated with USA FinancialSecurities Corp.