I think it's taken too much for granted that one should change passwords on a regular basis. If we assume that changing passwords more frequently means that we are more likely to use more rememberable - and, thus, more guessable - passwords, then perhaps this is not a fluke. Perhaps "pick a truly random, long sequence and keep it for a long time" is not actually bad policy.
In short, I find it odd that the author unquestionably says his neighbor should have had different password behavior, yet it was the only password he couldn't crack. That's an opportunity to revisit assumptions.