Ways to Make Money from Real Estate You Own
Many people are afraid to try investing in real estate, despite the chance for a high return on investment, because of the risks and the work involved. However, there are several ways that you can make profit on real estate that you already own, without having to buy new rental properties.
These are some ways to make money on your properties in the short, medium, and long terms:
1. Short term – Vacation Rentals: Millions of people around the world have been using sites that allow them to rent out a bedroom or a whole apartment/house temporarily, normally while they are on vacation. This is a creative way to make some profit on your existing home while it is vacant for a few days. There are several sites that match renters and property owners, such as Airbnb, Flipkey, Wimdu, and others.
2. Medium term – Rent out extra space: If you have unused space in your home, you can easily rent it out to a tenant. You can simply rent out a bedroom, or you can invest some money and develop a separate suite for the tenant.
3. Long term – Keeping a property as a rental: This is an option for someone who is planning to move from one property to another. Instead of selling your previous home, why not keep it and maintain it as a rental property? This way, you will have a consistent income for years to come.
4. Long term – Holding onto a property as it increases in value: If you are on the fence about whether or not to sell your property and move to a new home, take a look at property value predictions in your area. If the property values are likely to increase, you could earn a significant amount of money simply by staying in your home for longer, and selling it when they property values are higher.
Your property is a valuable asset—know how to use it to your advantage!