During my years as a financial planner, once I learned to really listen, I learned things that aren’t taught in financial planning courses, but made great sense.  for instance:

I advised a couple with kids approaching college age, who had  developed a remarkable college funding  program.  When their first child was born they bought a rental home with a 15 year mortgage.  Their plan was to be landlords until the first child started college.  At that time the mortgage would be paid and the house, which had appreciated for 15 years , would be sold and the proceeds used to pay for their children’s college.  A great plan, and the kind of planning clients you dream about; clients that actually plan and follow planning advice.

Another smart couple did not necessarily plan for their retirement in the conventional way, but their strategy also involved real estate.  The husband was in a career field that caused him to move every three to six years; sometimes later.  They would have a new house built where new housing was springing up; often a long commute from work.  They built conventional, relatively large, homes, usually on an acre of land.  At the next move, the equity from their home would be rolled over into another new home, built where new homes were springing up.  This went on for about 30 years and five or six homes.  At retirement from a well developed neighborhood, about an hour commute from Baltimore, Maryland they sold their home with sufficient equity to build a beautiful home in Florida.  Of course, the home was on an acre of land where new homes were springing up.  Not only did they build a beautiful home, but added a swimming pool, and still had a tidy nest egg left over.

In both instances, the people were looking far ahead.  I can’t take credit for their success.  But I did incorporate their strategies into the advice I gave when it appeared appropriate and helpful.