If you’re a homeowner, you may not realize that a home can be either an asset or a liability. How is that possible? You might ask. In our classic article “The Wealthy Buy Assets, the Poor Buy Liabilities, and the Middle-Class Buy Liabilities Believing They Are Assets” we explain Robert Kiyosaki’s philosophy of what makes an asset. And according to Kiyosaki, an asset puts money in your pocket while a liability takes money out of your pocket. Unfortunately, most homeowners are lucky if they break even once you include inflation, maintenance, insurance, and taxes. So in order for your home to truly be an asset you need to find ways to have your home actually pay for itself.
Luckily for you, this article covers a variety of ways you can use your home to generate income.
1. Rent out your home
If you do not currently live in your new home, the most mainstream way to make money with it is to become a landlord. This is a classic for a reason. You can dictate how long you’ll rent the house out as well as all the other details. This doesn’t have to be a monthly rent sort of situation. If you wish to have a bit more flexibility, you can rent out your home short term. Make sure to take all the utilities into account while determining the price. If you have an FHA mortgage you might think that it requires you to live in your home but… that only applies for the first year. After that, you can rent it out and even get another FHA mortgage on a different home.
2. Find a great roommate
If you plan to reside in your new home but want to make some money with it, why not take on a roommate? Of course, not everyone can do this, and it all depends on your living situation and lifestyle. However, if you live alone and have more space than you need, this could be a great option. People who live together usually split all costs. Nevertheless, since you’re now a homeowner, you can save on your bills this way and maybe even some other expenses. Just make sure to find a roommate who is compatible and will make your life easier rather than adding too much extra drama.
3. Rent out a part of your home
Another great solution, if you don’t have another place but want to make money with your new house, is to rent out just parts of it. Some might consider this no different than having a roommate. Still, it is quite different. Roommates are people with who you coexist on an equal level. However, if you’re a homeowner letting someone use a specific part of your space, that’s a bit different. Here are some areas that people usually sublet:
? Single room
? One floor
? Yard
? Garage
4. Gardens are all the rage right now
As you probably know, letting other people live in your home isn’t the only way to make money with your new house. You can also make a few bucks by bringing a hobby or even your work to your home. One of the best ways to do so is by creating a garden that you’ll use to grow fruits and vegetables. Of course, this will take quite a bit of time and effort. However, if it’s something you’re passionate about and can see yourself getting into – why not try it out?
5. Are you up for an adventure? – Try home swapping
One of the more exciting ways to make more money with your new house is to swap your home with another person or even a whole family. Of course, this, on its own, doesn’t make you a lot, if any, money. Nevertheless, if you were to swap a house with a family that lives in an exotic faraway place you always wanted to visit, you’d be saving quite a bit on accommodation. For example, many Americans swap homes this way for a few weeks or even months with people from France.
6. Host parties and events
Instead of renting out your space, you can plan and host events in your home. This way, your earnings will be far greater. If you have a knack to organize everything in a short period of time and want to try yourself in the role of an event organizer, go for it. It could also be a great way to have fun with your kids and organize birthday parties and playdates.
7. Create a home office
Working from home is something many of us have experienced over the past couple of years. However, if your company offers the opportunity to continue working this way, why not take it? You can save up quite a bit on transportation, business attire, and eating out.
8. Open a studio in your home
If you’ve always wanted to start your own business but have not done it yet, now may be the time. Opening a studio in your home, either to manufacture something or offer a service, is a great idea. Renting space for this type of work can be very costly and, in your case, unnecessary.
9. Become a pet sitter
Something that’s become more and more in demand over the past decade as people have begun purchasing and adopting pets in great volume is pet sitting. People need a safe place to leave their pets, especially when they travel. If you love animals and wish to spend more time with them, you could welcome them into your home. Be wary that this is quite an adjustment and that not every pet has the same personality, so don’t get ahead of yourself. Choose your clients carefully.
10. List your home to different talent companies
If you’re proud of what you’ve achieved interior-wise, why not make some money off of it as well? Many companies look for places that fit their standards for shooting commercials or even tv shows. If this is something you’d be interested in, it could be a great way to make money with your new house. There are many companies that you can vet online and through interviews before you make any final decisions. Rent your property as a Film Location.
Photo by Matt Jones on Unsplash
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