The Real Estate Gap in Financial Planning

October. The month we dress up, tell ghost stories, and pretend things aren't real.

But here's what's actually haunting most financial advisors: real estate.

The asset that holds over 50% of wealth for most American households but somehow lives outside the plan. The property clients bought without calling you. The rental generating cash flow you've never modeled. The second home they financed like it's 2019.

It's there. You know it's there. But you can't see it, can't measure it, and can't plan around it.

That changes this month.

In this issue:

• Why real estate planning is now table stakes — not a differentiator

• Inventory is up, but buyers are frozen — the planning window advisors are missing

• Leveridge beta opens October 14th — 20 seats, real estate analytics in minutes

Let’s dive in!

Industry Insight: Why RIAs Are Adding Real Estate to Stay Competitive

Holistic planning used to be a nice-to-have. Now it's the price of entry.

Schwab's 2024 RIA Benchmarking Study found that client retention across the industry sits at 97% — but the firms pulling ahead are the ones expanding beyond portfolio management. Research from Envestnet shows clients now expect their advisors to guide them on taxes, estate planning, and real estate decisions — not just asset allocation.

Here's the number that matters: 79% of investors expect their advisor to offer banking and insurance products, according to Accenture's 2021 Wealth Management Consumer Report — and that number jumps to 91% for Millennials. Clients aren't just looking for portfolio management anymore. They want comprehensive financial guidance that covers all aspects of their wealth, including real estate. The firms delivering it are winning more referrals, retaining younger clients, and capturing larger wallet share as complexity grows.

The shift is already happening. Firms that integrate real estate into their planning process are capturing referrals from CPAs, estate attorneys, and mortgage brokers—relationships that used to sit outside the advisor's orbit. Meanwhile, advisors who ignore real estate risk losing clients during major wealth events. When a client sells a $2M property without calling you first, you've lost more than a transaction—you've lost trust.

Real estate planning isn't optional anymore. It's how you differentiate, retain, and grow.

Macro Watch: Sunbelt Inventory Rising — But Buyers Aren't Moving

Inventory is finally rebounding in key Sunbelt markets. Tampa saw inventory jump 62% year-over-year as of mid-2024, and Austin's housing supply has returned to pre-pandemic levels after years of explosive growth.

The surge isn't just about new construction—it's also distressed sellers and investors exiting overleveraged positions. But here's the catch: rising inventory hasn't translated to falling prices yet. Home values in both markets remain elevated, which means clients are facing a paradox: more choices, but no real affordability relief.

Meanwhile, mortgage rates are still near 7%, and buyers are paralyzed. They're asking: Do I buy now and refinance later? Wait for rates to drop? Sell and take advantage of rising inventory?

For advisors, this creates a planning window. Clients who've been sitting on the sidelines waiting for prices to drop may finally have negotiating leverage—but only if they can move quickly and structure financing intelligently. The ones who wait for rates to fall may miss the inventory opportunity entirely.

These aren't rhetorical questions. They're planning decisions — and clients need advisors who can model the numbers, not just speculate. That's where tools beat guesswork.

Leveridge Update: Real-Estate Planning Software Goes Live (October 14)

We built the tool we've been needing.

Leveridge is real-estate planning software that gives advisors performance, liquidity, and tax impact — all in one client-ready view. No spreadsheets. No Zillow lookups. No eMoney workarounds.

What's included from day one:

• Property performance tracking

• Liquidity analysis (what's the cash if sold?)

• Net proceeds calculator

• Mortgage health monitoring

• Depreciation timeline with tax context

Why this matters: Right now, most advisors are either building real estate models in Excel or not modeling real estate at all. As Brandon Morenz, Wealth Advisor at PacificView Wealth Management, recently shared: "A client of mine emailed an hour ago asking if we can look at the cash flow of his investment properties as he wasn't sure if we do that or know somebody that does."

Leveridge closes that gap. Enter property and tax details once, and the software handles the rest. Client-ready in minutes.

Beta launches October 14th. We're capping the beta at 20 advisors to stay hands-on and responsive. Reserve by October 10th to secure your spot.

This isn't a one-time calculator. It's built for recurring reviews and real conversations with clients.

See how Leveridge turns real estate into a repeatable part of your planning process.