This article was contributed to Leisure Freak by Amanda Hill.
Owning a home is seldom cheap. Even if you take care of property taxes, utilities, and mortgage payments, you will still need some leftover funds for repairs and renovations. Fortunately, your home doesn’t have to eat up your money but can also help you generate it. This article will go over different ways to turn your home into a money-making property and what to consider before you do so.
How to turn your home into a money-making property
The main trick to turning your home into a money-making property is understanding its potential. Every house, be it small or big, has some way to monetize it. In fact, most passive income ideas for retires rely on using extra space. The sooner you can recognize the potential of your home, the sooner you can start generating some serious revenue.
Rent out a suite
The easiest way to start making money from your property is to add a rental suite to it. Mind you – depending on where you live, you might have to adhere to some legal regulations and standards. But, if you can, adding a suite and renting it out is an excellent way to earn some extra bucks. Some homes already have the capability for a rental suite and only require minimal renovation to make them operational. On the other hand, there are those where adding a rental suit means building it from the grounds up. So, try to plan out what your property needs before you start renovating.
Researching before the renovation is also essential for organizing your everyday life. It is usually a good idea to move out of your home during the renovation, as they will be too loud. And while it is possible to organize a move in seven days’ time, you really ought to plan it out as soon as possible. You can even use the renovation as an excuse for an early vacation.
Rent out accommodation
If you cannot rent out a full-fledged suite, you can always opt for providing accommodation. A spare bedroom in your home can easily be turned into a room-for-rent, especially if it has its own bathroom.
If it doesn’t have one, you might still be able to rent it. Areas close to universities are always filled with young professionals looking for a quiet room to rent out. But if you go with the shared bathroom option, know that it will be at a lower price. Furthermore, you might have to organize your life in accordance with your tenant. So, all in all, it might bring you some headache.
Run a bed and breakfast
Running a b&b can be a great idea if you live in a tourist-heavy area. The more bedrooms you can spare, the more tourists you can accommodate. But, keep in mind that running a bed-and-breakfast isn’t simply about collecting money from tenants and cooking them breakfast. To run a decent B&B, you have to consider numerous factors and take care of many problems in advance to run a decent B&B. Do yourself a favor and read up on what running a bed-and-breakfast is truly like before you go at it.
Rent out storage space
Does your property come with a garage? If so, a garage can be an easy way to turn your home into a money-making property. You can easily use it as rentable storage space. A lot of people need extra storage room, either for their everyday items or something larger like their car, boat, or furniture. This can be especially useful if you live in a densely populated area lacking storage space. In that case, renting out your garage can be a great source of revenue, especially if you can guarantee safety. You can insure your garage with minimal investment and make it viable storage space. Just make sure that you take care of the legal aspects of storage and take on tenants that seem trustworthy.
Gardening
Let’s say that you have no extra room for any renting. Is there a way for you to utilize your property to generate revenue? Of course, there is, especially if you have extra time. Namely, one of the options is to use your property as a garden. You can easily turn your home into a functional garden with modern gardening tools. Homegrown, well-maintained, zero pesticide food is always in demand. And you’ll likely be able to get a reasonable price for it, especially if you tackle your marketing correctly. The bigger your property is, the more space you can use for gardening. But, if you have limited experience, we suggest that you start small and calculate your expenses carefully.
Run a home business
Gardening is only one instance of a much broader spectrum of using your property for revenue. Namely, there are tons of business ideas where your home can be all you need. Depending on your skills and preferences, you can easily find work that you can do from the comfort of your home. To give you some examples, you can:
- Work as a translator.
- Film online tutorials.
- Make travel plans for people.
- Take care of pets.
- Take care of kids.
- Create and sell items.
- Design clothes.
- Massage people.
- Train people.
- Plan events.
The more you look into it, the more you will see just how many jobs are available and surprisingly lucrative if you own a property.
Final thoughts
To turn your home into a money-making property, you need to have a firm understanding of the finances behind it. Extra taxes will likely be a part of your business endeavor, as well as additional expenses for utilities and renovation. So, do yourself a favor and have a clear idea of how much money you need to make for your business to be profitable.
Thank you Amanda Hill for contributing this informative post which provides timely money making tips to Leisure Freak.
Author bio:
Amanda Hill worked as a business consultant and project manager for over 20 years. She now focuses on raising her daughters and writing helpful articles for companies like number 1 movers.ca. Her main interest lies in commercial relocation and commercial planning.
A great way to turn your home into a income source is through doing renovations. This can be very lucrative and can turn your home into a money-making property in no time at all! You could use this as a potential source of passive income. For example, your children or grandchildren will be able to get a good job, you can even sell items that your family or guests have acquired over the years as an additional way to make the most out of the sale. Of course, having this property ready for potential buyers. You can take great action by starting with the basics first like adding some new shelves and flooring in your bathroom. This will give you an appealing view that people will definitely want to see. The best time to sell it is when there is no rush since many people prefer moving on. With so many potential buyers coming up on a regular basis, you could get a better price once it’s in their lap just because of how many people are looking at what you are doing. Not to mention how much they would love to take the job! All these people can even bring in more income than you do as it is not only about work, but how much you like doing that job. Plus…
hi,
The idea of renting your property when not home is a good way to generate passive income. However, there are some challenges that you need to take into consideration.
1) Vacation rental strategies:
– Location: choose an area that has many attractions and is well-known for tourists.
– Price: be competitive with other vacation rentals in the area and set a price point that will bring in more guests.
– Amenities: make sure your property has all the amenities that guests are looking for such as Wi-Fi, TV, laundry machine and a kitchenette or full kitchen.
2) Monetizing your property when not home:
– Be creative with how you can monetize your property when not home such as renting it out on Airbnb or VRBO.
Thanks for giving me the opportunity to contribute.
You can rent it out through a property management company. This is the simplest method and generally works best. It lets property managers know that they have an asset available for rent, and lets them know as well how much they are going to charge each month/year. If a company wants to manage your property, they usually have mortgage agreements with banks or financing companies so they can give them an idea of how much they would need monthly/yearly income. And again, depending on where you live, you might have different regulations than what everyone else is doing.
Thanks for the comment Liam. You are correct, a property management company can be a viable solution. I know many people who use property managers to handle their rental property and find it to be worth the cost of their service.
Tommy
There are several ways to turn your home into a money-making property. Some options include renting out a room or converting a portion of your home into a short-term rental, such as through a service like Airbnb. You could also consider renting out your garage or driveway as a parking space, or even starting a home-based business. Additionally, you could consider making improvements to your home that increase its value, such as adding an extra bathroom or updating the kitchen, which could make it more attractive to potential renters or buyers.
Having this article, I was glad, and finally, I got the right direction which helped me to prepare myself to turn my home into a money-making property .Thanks for sharing this insight thought with us.
This article provides excellent insights into how homeowners can turn their properties into revenue-generating assets. From renting out a suite to running a bed and breakfast or starting a home business, there are numerous ways to monetize your property. However, it is important to keep in mind the legal regulations, standards, and expenses associated with each option. By having a clear understanding of the potential of your property and the finances behind it, you can create a profitable business endeavor that complements your lifestyle. Overall, this post offers valuable advice for those looking to make the most out of their homes.