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How to serve HENRYs & the Home Decision

  • Writer: Sinon Bennett
    Sinon Bennett
  • 3 days ago
  • 3 min read

HENRYs are starting to command significant salaries but often lack structure when it comes to aligning their investments and financial decisions with long‑term goals. They’re growing their net worth in an IRA or brokerage account, but many have yet to formalize an estate plan or build an automated approach for saving and investing intentionally.


For younger professionals or first‑time high earners — like athletes, entrepreneurs, or tech talent — it’s worth introducing behavioral nudges. An automated flow from paycheck ➔ bank ➔ investment account can remove the temptation to overspend. By only leaving spendable cash in checking, you help them save and invest more effectively.


Importantly, HENRYs are wary of advisors who lead with sales pitches. Chances are, they’ve already been approached by a friend or family member offering an expensive life insurance policy that may or may not fit their needs. To win their trust, RIAs should lead with advice first, focusing on planning and outcomes — regardless of the specific product. This approach positions advisors to build long‑term relationships and capture the significant wealth transfers that will occur over the coming decades.


HENRYs also expect a seamless digital experience. They’re accustomed to platforms like Robinhood, Betterment, and Wealthfront, where opening an account, funding it, and making changes takes minutes — not weeks. An advisor can certainly add value, but if the experience feels cumbersome or outdated, HENRYs will struggle to justify the premium.


The best approach is to combine the high‑touch advice of an advisor with the user‑friendly technology of a sleek, co‑branded portal or app like Wavvest. This allows RIAs to meet HENRYs where they are — providing both expert guidance and a digital experience that feels as seamless and modern as the platforms they already use.

With mortgage rates hovering around 7%, many prospective buyers are wondering if now is the right time — especially if a move could be in the cards within a year or two. The reality is, there’s no one‑size‑fits‑all answer. The right choice depends on how long you expect to stay, your down payment, the mortgage rate, taxes, HOA dues, the opportunity cost of your cash, and dynamics in your local market.

If you’re planning to stay roughly 7–8 years or longer and have the liquidity for a down payment, buying often makes more sense long‑term. But every situation is unique.


💻 Model It Out

With tools like Wavvest’s Canvas, you can compare scenarios side‑by‑side — plugging in mortgage rate, taxes, projected home value, and annual rent increases — to quickly understand:


  • When buying starts to outperform renting

  • The true net financial position after transaction and opportunity costs


Example: Compare buying a $500,000 home with $100,000 down versus renting and investing that down payment in the equity market.


Buying: Key Considerations

  • Builds equity every month (though price appreciation isn’t guaranteed)

  • Provides stability, fixed payments, and potential tax benefits

  • Enables long‑term control and benefits from rising home values

  • Requires significant upfront costs and ties up capital in an illiquid asset

Renting: Key Considerations

  • Enables more flexibility for career or lifestyle changes

  • Requires lower upfront costs — ideal for shorter stays

  • Doesn’t build equity, and rents can rise quickly

  • Avoids maintenance and transaction costs associated with owning


⚡️ Final Thought

Buying can be a powerful long‑term wealth‑building tool when you’re settled and well‑capitalized. Renting shines when you value short‑term flexibility or prefer to direct your cash toward other opportunities with potentially higher returns.

 
 
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Wavvest Holdings, Inc. (“Wavvest”) is a tech company headquartered  in Chicago, IL and the parent company of Wavvest Wealth LLC and Wavvest Technologies LLC. Wavvest Wealth LLC is an SEC-registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability. Wavvest Wealth LLC may only transact business in states where it is registered or qualifies for an exemption or exclusion from registration requirements. The Wavvest website (referred to herein as the “Website”) is limited to the dissemination of general information about its advisory services, along with access to additional investment-related information, publications, and links. The publication of the Website on the Internet should not be construed by any client or prospective client as Wavvest's solicitation to effect, or attempt to effect, transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet. Any subsequent direct communication by Wavvest with a prospective client will be conducted by a representative who is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

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