The primary advantage for most is the psychological security that comes with believing it will better protect your assets.

Plus, stuff happens...move, marriage, divorce, kids, can't management, don't want to manage...and you want the property to support your life decisions.We psychologically inflate the value of things that we already own over items we don't own...it's called the endowment effect. 

Psychologically they will likely not want to sign it unless they REALLY want to keep staying. 

I personally am huge with Freedom to Choose-https://freedomtochooseproject.org/We go into California prisons and work directly with the inmates, teaching them spiritual psychology principles that help them see their own worth, help with forgiveness, anger management, making them generally happier, etc.

can't quote him verbatim, but he was saying that that the capitalisation rate in a given market is essentially what that market is "psychologically prepared" to accept as a rate of return on investment.  

"Psychologically affected" property disclosure exceptions.

I read at least 50 books from topics ranging from real estate to psychology and autobiographies of successful entrepreneurs.

The tough thing about investment is getting past the psychology of past investment.

@William Brown I think my post sums it up best, the Guru's and others are using the term as a marketing tool, simple psychology and nothing more.

@John Clark The State of Arkansas Code 17-10-101 states that, “psychologically impacted is not a material fact that must be disclosed”.