Investment income is defined as income from interest, dividends, annuities, royalties and rents, and net gain from disposition of property, other than such income derived in the ordinary course of a trade or business (however, income from passive activities and from a trade or business of trading in financial instruments or commodities is included in the definition of net investment income).This provision applies to tax years beginning after Dec. 31, 2012."

So, if the kid doesn't know what s/he wants to do, college is probably a lot less instrumental (at that point, at least) than if they do know what they want to do, and college would specifically help that pursuit...

Can anyone share some knowledge on the proper instruments/methods to use a free and clear property as collateral?

The details matter, who is on title, who signed the security instrument, etc, etc.

A bank check can be rejected by the issuing bank 6 months after being presented (if you run it through your account), and can be counterfeited, so that isn't a reliable instrument anymore...

You have been so instrumental in my education!

It would probably kill prices on fixed interest instruments.

Some places will not let you rent the units with the option to buy, so you may need to use another instrument.

.#8 Show me proof of your fundings.When a Lender funds a loan that is secured by a Deed of Trust or a Mortgage security instrument they leave a public information trail that is easily accessed.

26 year PP ASEL and now a helicopter student, instrument rated, fly a Cirrus and Robinson R22.