THE WEEK IN REVIEW

Welcome to my weekly newsletter featuring a personal note on the ever-evolving world of real estate along with a few newsworthy updates. Enjoy!

A LETTER TO THE GREAT GRANDKIDS

I just became a grandparent... so bear with me.

I have thought for decades about wealth - how it's created, who pursues it and why, and how it gets passed on. You won't be surprised to know that purchasing a home early in life was an important component of my own wealth strategy. My husband and I went on to build a successful business in the legal staffing space. With three children of our own, we thought early and often about how to ensure their financial literacy and how to support their desire to achieve their own successes.

As a country, we are at the beginning of what has been called the greatest wealth transfer in history. Nearly $124 trillion in assets is set to change hands through 2048. Generational wealth can be a controversial topic: some believe kids should inherit all, while others think this is a curse. I have always believed in the mantra, "give your kids enough to do something, but not enough to do nothing."

But more important than anything is the importance of telling the stories of how wealth was created. If you spend any time on social media, it's easy to think that access to fancy things, and travel to fabulous places should be guaranteed to everyone. It's important to tell the stories of the struggles, extremely hard work, long hours, personal sacrifices and day-in and day-out commitment.

I remember attending my husband's business school class about family businesses many years ago. The professor referenced the concept of "three generations: shirtsleeves to shirtsleeves." As the class was made up of students from all over the world, it was fascinating to learn that this concept exists in many, many cultures. In England: "From clogs to clogs in three generations." In China: "Wealth does not last beyond three generations." In Japan: "Rice paddies to rice paddies in three generations." In Scotland: "The father buys, the son builds, the grandchild sells, and his son begs."

According to studies by The Williams Group, approximately 90% of third-generation wealth is lost or destroyed. So all of this is to underscore the importance of telling stories to our children and grandchildren.

1.  Be a part of their fiscal literacy. It is essential and should be compulsory learning for all, not just heirs.

2.  Give them a clear understanding of how the wealth was created and earned and what it will take not to squander these efforts.

3.  Speak to them about your values and consider making any inheritance aligned with those values - be it education, health, charitable endeavors... and/or real estate.

Whether $100k or $100 million, delivering an inheritance to future generations may be less important than teaching the fiscal responsibility and know-how. So tell the stories. And write the letter to the third generation, your great-grandchildren. In so doing, you bestow an incredible gift. 

real estate & the news

• The net worth held by the top 0.1% of households in the U.S. reached $23.3 trillion in the second quarter of 2025, up a bit over double from $10.7 trillion a decade earlier. The amount held by the bottom 50% increased over 4.6X to $4.2 trillion from $900 billion over that period. (Fed Reserve of St. Louis)

  
  

• A recent survey indicates homeowners prioritizing features that make their properties more efficient, resilient and self-sustaining, increasingly viewing eco-friendly upgrades as both a lifestyle choice and a smart financial investment—especially as energy costs and climate concerns become part of everyday decision-making. WaterSense fixtures—which reduce water use by at least 20%—ranked as the hottest home feature of 2025, with an almost 290% year-over-year increase in mentions within listing descriptions. "Biophilic" was the next YOY increased mentioned feature followed by "Coastal Modern" and "Net-Zero Ready". EV chargers and home gym mentions rose too. (MANSION)

  
  

• Natural gas prices have soared to their highest levels since 2022.... natural gas from the US sold overseas at higher prices contributes to higher prices for US consumers. When global demand is high, it creates competition that drives up domestic wholesale prices....known as "price arbitrage," where the high international prices make it more profitable for US companies to export the gas, which in turn lifts prices for domestic buyers. Gas producers choked back output and slashed their drilling plans in 2024 in response to low prices, but they have become so efficient that overall production levels barely budged from record-setting 2024. Natural gas bills at homes that burn the fuel for heat should total about $640 for the season, similar to last year, depending on the weather. (WSJ)

around dc

FREDERICK J. FISHER LECTURE

HILLWOOD MUSEUM & ESTATE

Join Meryl Gordon, the author of four biographies, who will be discussing the rollicking life and political legacy of Perle Mesta, the diplomat, feminist, and hostess who was close to four presidents and much in demand for four decades. See details and ticket info here.

Lee Arrowood

Principal, Arrowood Advisory at Compass

M: 202.251.3175

O: 202.448.9002

lee.arrowood@compass.com

+$173M Sold In 2023

#3 Team Lead 2022