Photo by Heike Mintel on Unsplash
We must acknowledge that the only constant is change. While I am delivering as much of my experience as I can to my children, I also realize that life is ever changing and that applies to personal finance as well.
So while I am very grateful to my Dad for sharing his investing experiences with me, I didn’t follow him exactly. I have to admit that I did follow his roadmap but I had to tweak it to adjust with the times.
As I mentioned in an earlier post our parents and grandparents lived in the same house for 20, 30 or 40 years. Initially, I did the same thing only to find out 4 single family homes later that I lost money on each of the homes with the exception of the ones where companies I joined were helping out with the move, And even with that help, I just barely broke even. From then on, I didn’t buy single family homes the same way. I had to find a better method. The result is what is referred to as house hacking. I would move into homes, fix them up, rent out 1 or two rooms and then sell for a profit before moving to the next town.
My father invested heavily in dividend bearing stock, bonds and local utilities. I focused more on the S&P500 index type of funds and very little bonds as I never made much money with them.
Dad invested in renting out single family homes and I focused on multi family homes. Some are stating that multi family homes are no longer an alternative investment. That they are now mainstream.
The point here is that I don’t expect that you will invest exactly like me. Things change and investing will change just like any other types of business. I do feel it is my responsibility to share what I have done and learned so that it may help you. The point is not to tray to force you into my way of thinking but to open up your mind to the endless possibilities of investment out there. I already know that you are conservative with finances just as my Dad and I were. This will help to set you up with success.
What I would urge you to do is your due diligence. Find mentors, read and learn as much as you can. I hope that you earn as much as you can. Not for the sake of having money but for the sake of buying back your time giving you the capability to spend more time with friends and family.