Top news articles for financial advisors and personal finance
Week of 9/12
This week's recap focuses on all-time high mortgage rates, discussing real estate investments with clients, retirement concerns and housing downturn risks.
Mortgage Rates Top 6% for the First Time Since the 2008 Financial Crisis (Ben Eisen, The Wall Street Journal)
Interest rates on a 30-year fixed mortgage reached 6.02% this week, the highest since the financial crisis. With such high interest rates, a family looking to buy a $500,000 home will pay more than double in interest over time compared to if they had bought the same home when interest rates were low earlier this year. Families looking to buy have been forced to postpone their plans and continue renting or cut back costs in other areas of their lives to make mortgage payments. Read more about the repercussions of these high interest rates.
Clients Want Plain Language When Discussing Real Estate Investments, Study Says (Karen Demasters, Financial Advisor Magazine)
We all know how important wording is when communicating with clients. A recent study by Invesco Global Consulting shows how wording is especially important to clients when discussing real estate investing. Read more about what type of wording clients responded to positively.
Near-Retirees Say They Are 'Terrified' Of Income Shortfalls (Ben Mattlin, Financial Advisor Magazine)
A recent survey by Schroders found that 33% of Americans are “terrified” about giving up a regular paycheck and 49% of retirees count solely on withdrawals from savings and 401(k) accounts without strategies to generate rental income. Read more about the other findings from the survey and the gaps in knowledge about retirement that the survey reveals.
U.S. falls to 18th place in global retirement ranking (Suzanne Woolley, Financial Planning)
The U.S. fell to 18th place in retirement rankings, behind peers such as Norway, Ireland and Australia. The drop in rankings can mainly be attributed to increases in income inequality. Read more about the other factors that caused the U.S. to decline in position.
These Are the US Areas Most at Risk of Housing Downturn, According to Attom Report (Alexandre Tanzi, Bloomberg)
Real estate data analytics firm Attom recently identified the 50 counties most at risk of an economic downturn. These counties recorded “high levels of unaffordable housing, underwater mortgages, foreclosures and unemployment.” Read more about where these counties are.
