Mortgage advice: allowing the 'everyday family' to build wealth

“The most satisfying part is when clients have that “Aha!” moment”

Mortgage advice: allowing the 'everyday family' to build wealth

Advisers and clients both know that property ownership is not just a regular purchase – it is a highly complex transaction, a stepping stone towards wealth creation, and a significant milestone in the lives of those who take the step.

According to Eugene Bartsaikin, managing director at Twine Financial Advisers and NZ Adviser Young Gun 2019, helping clients navigate the maze of securing a mortgage is an incredibly rewarding job – especially since property is something that the ‘everyday’ family can invest in.

“I used to work as a share broker at ASB Securities, but in New Zealand, shares aren’t quite as appealing or as easily understood,” Bartsaikin told NZ Adviser.

“Conversely, property made more sense to everyday families and is how many New Zealanders build wealth. So switching my career to mortgage advice enabled me to become much more involved in the industry, and also help those families to be able to create wealth through property.

“I've always been interested in property as my parents are investors, and it has had a large role to play in terms of my family setting their roots in New Zealand.”

“The most satisfying part is when clients understand how the work we’ve done for them has helped their finances, especially when they have that “Aha!” moment when they know they can be debt free faster and build their wealth,” he explained. “I really appreciate grateful clients, and I’m very grateful to have them.”

Bartsaikin says one of the biggest challenges is trying to change clients’ perceptions of their own understanding of finance, especially when someone has received advice elsewhere and been exposed to conflicting ideas. He says trying to change their perception of what is possible for their financial circumstance can be ‘tricky,’ but that ultimately, the end result always pays off.

“I’ve had so many memorable client experiences,” Bartsaikin said. “One client in particular had already gone unconditional on a property before coming to talk to me – they had a fairly late settlement, so we only had a short timeframe to get everything done and settled. The challenge was the property was in a small town in New Zealand, a very unique dwelling which unfortunately meant that no primary or secondary lender would accept it as a security. We were able to work directly with the main bank and come up with a solution to help our client settle on the property, and the fact that it was able to settle was a miracle in itself. We are now working on the next project with this client.”

“To those starting out in the industry, I would say surround yourself with good mentors, as they can teach you good practice and habits,” he continued.

“I definitely learned a lot from my own mentors, and I am very grateful for the mentorship I received from Blandon Leung when I worked at iRefi. Also, being a mortgage adviser is more than just understanding credit policy. It’s the ability to build strategic relationships with business partners, and you need to understand marketing and how to create a memorable client experience.”

“In future, I would hope to help establish a financial education arm of the business and create an online platform with a library of financial education.”