Monopoly…Lessons for later life

It’s a rite of passage, a childhood tradition and a fun board game for rainy days. Monopoly is indeed a game of great financial wisdom, offering an excellent insight into property investment to prepare us for the real world.

The aim of the game in Monopoly is to become the wealthiest player through investing in property. In short, winning Monopoly means being the last player left, with money.  In this, lies the first Monopoly life lesson..

Lesson 1. Focus on cashflow

Cashflow is key!  Winning Monopoly is all about cashflow. The goal is property investment, collecting rent to become the wealthiest player.

Think about opportunities for growth, financial advice is key.  Work towards holding all the title deeds for one property colour group, which will allow the collection of double rent.

Adding houses and hotels on properties gains even higher rents than unimproved properties.  “Renovations” and investing in our investments can help us towards increased cashflow.

Lesson 2. Invest

Invest, invest, invest. Monopoly (and life) requires us to invest to get ahead, but we need to invest wisely to get the most out of our investments.

Lesson 3. Learn patience and discipline

Patience, discipline and having a game plan can help us become savvy investors. Earning money in Monopoly is not a sure thing – in fact, it’s all about the roll of the dice – so it’s important to diversify. Purchase properties all around the board to increase your chances of players landing on your assets and capturing rents.

Lesson 4. Start small

Defy the so-called “housing un-affordability crisis” by starting small. Buying Mayfair on our first time around the board is an unlikely goal.  However, investing in Vine Street puts us in the real estate market, giving us a potential to collect rent and boost our cashflow. Investing in an affordable property keeps us within our means.  So we can still afford our bills and navigate any unexpected twists and turns during the game.

Does “Go directly to jail. Do not pass go. Do not collect $200” ring any bells?

Lesson 5. Be prepared with cash on hand

While we may be tempted to buy anything and everything we land on. To be asset rich, without any cash on hand, is going to leave us vulnerable if we receive an unexpected building repair levy.

Investment is necessary and important in both the game of Monopoly and the “game” of life.  Be prepared with cash on hand to meet both financial obligations and those inevitable surprise bills.

Lesson 6. Keep an eye on the banker

Finally, keep an eye on the banker. As the one in charge of all the money, is it little wonder they are quite often in a better financial position to the rest of the players? In real life, shop around for the best deals.  Speak to a Financial Adviser who has access to a range of investment products and options to best suit you.

If you’re looking to invest and take your Monopoly mindset to the real world, speak to one of our experienced Financial Advisers.   At Campbell Green we can ensure you are one move ahead of the other players.