If you want to make more money but you don't have the time or the strength to take an extra job, then you should take a look at passive income opportunities!
If your goal is to win some extra money but you are not available to apply for an extra job, then there's another option you may want to learn a bit more about passive income.
But first, what does passive income refer to?
It's an extra income you can get on a frequent basis by doing little to no work at all! However, you should always bear in mind that as it's a passive type of job, it will probably have a flat return.
Take a look at some of the best options to earn a passive income!
1. Invest in Real Estate
There is a new option available to invest in Real Estate properties that can help you obtain a passive income: Crowdfunding. This way, you can become a partial investor in a larger deal.
This process to fund real estate projects is becoming more and more popular in the US and allows investors to join the deal by placing relatively small amounts of money.
2. Dividend-Paying Stocks
Investing in dividend-paying stocks is also a way to generate passive income. Although your financial advisor may encourage you to reinvest your dividends, you also can get the dividends sent to your bank account and withdraw the profit.
The key to investing in dividends is to find a company the market considers solid, which has no debt and plenty of cash.
3. Peer-to-Peer lending
Also known as P2P, this method is a way to borrow from someone who will loan you the money at a competitive rate instead of going to a bank.
Investors in P2P lending find this as a source of passive income. If you become an investor, you can lend small amounts of money to several borrowers and receive competitive rates of return.
4. Sell photos to stock companies
If photography is your hobby, then it's time you use your skills to generate a passive income. You can sell your photographs as stock photos to sites like Getty Images or iStock Photo.
So, analyze the available photo categories and contact the stock companies to sell your impressive photos!
5. Rent a room in your home
Having a vacant room in your home can be another way to earn a passive income!
Although this option may require a little more work, it can be a successful method. If you are interested, you can take a look at the terms & conditions of rental sites, like Airbnb and VRBO.
Make sure the room is comfortable and analyze if it will not bother your everyday life to have a stranger living in your home for a short period of time.
Also, if you don't own the property, you should consider renting your room while you are on vacation or have to travel for work.
6. Sell stuff through Etsy
Through this platform, you can offer either physical (jewelry, clothes, etc) or digital products (pictures, guides, etc).
Although physical products imply a bit more work, you can sell things you create or resell things you have, like vintage clothes.
On the other hand, selling digital products in this marketplace requires less work! You can upload a digital and useful product, like a guide on how to design digital files, and then sit back and wait for the sales to come in.
How renting things can generate passive income
Making money with no effort can be a lot easier than you think. Renting out your stuff can help you generate passive income and bring down expenses or help you save.
Rent a Spare Room
If you have a spare room at home, you can rent it out to make extra money. People use Airbnb all the time to find better rates than hotels, and you could easily make a lot of money if you are willing to have guests regularly.
Signing up for Airbnb and listing your home is completely free. Once you receive a reservation, Airbnb charges a service fee for hosts, generally 3%, to help cover the cost of running the business.
To be able to rent a room, you should:
1- Be able to provide a way for guests to access keys and check-in even when you're not around.
2- Bulk-buy amenity items you offer guests.
3- Buy a few sets of sheets and towels that will help you ready your space quickly without having to deal with laundry.
When you have signed in and prepared your house accordingly you can choose your own hours, prices, and requirements for guests.
And you don’t need to worry about your home, Airbnb has a Host Guarantee that covers property damage and a Host Protection Insurance that covers civil liability, so, as a host, you have coverage throughout the process.
Having a permanent flatmate is another option, but this would mean living with someone else fulltime.
Rent Your Car
Just like renting a spare room on Airbnb, there are sites where you can rent out your car. Getaround, for example, is an online car-sharing or peer-to-peer carsharing service that allows drivers to rent cars from private car owners. It may sound like it's not worth the trouble, but you could make thousands per year by renting your car out when you don’t need to use it.
If you are worried about the risks, you needn’t be. The Getaround policy provides coverage for incidents that occur during a trip reservation, and both you and the renter are covered by their policy.
This is how it works:
1- To register your car you add essential information about it, and Getaround will call you to schedule a day to install the Getaround Connect device.
2- After going through a verification process, drivers will be able to reserve your car when it becomes available.
3- Drivers can locate your car, and after having made the inspection round of the outside, they can open and close it with their mobile so you don’t need to meet with them.
4- You receive a bank transfer within 5 business days after the end of each rental, including compensation for fuel or mileage.
Rent Your Parking Spot
If you live in área where parking is difficult or very expensive, you can make some extra cash passively by renting out your driveway, garage, or parking spot to drivers in need.
You can rent your space out, either daily or monthly, and make easy tax free money. Apps like JustPark. can help you do it. It‘s free to list and only takes a few minutes to get up and running.
Make money effortlessly with real estate!
Making money while we sleep is everybody’s dream. If your effort has made it possible for you to increase your savings, investing in real estate is always a great idea.
Real estate has forever been a place where investors put their money. Even nowadays, in spite of all the available options, it might be what you want to do too. There are a few different ways to generate passive income with real estate:
1. Purchasing rental properties
If you're ready to invest in real estate on your own you're entering the big leagues! This is where some real passive income can be made if it's done right. Owning a property is an investment that always pays off.
Are you thinking that renting a house is not passive at all? Take into account that property managers can do all the work for you if you want. They are the key to making money with no effort. If you find a person that is responsible and can manage your property well, you can relax and focus on finding more investment opportunities.
2. Crowdfunded Real Estate
If you want to invest in real estate but you don’t have enough money for a property or don't feel like going at it on your own, one option you have is to invest in crowdfunded real estate.
This type of real estate is a relatively new method, which utilizes crowdfunding to raise capital for real estate investments. It is possible to invest in a wide variety of properties without having to deal with mortgage brokers, real estate agents or contractors.
Real estate crowdfunding uses social media and the internet to connect investors to property investments that offer companies access to capital that they might never be able to raise.
This is how it works:
1. A company finds a real estate opportunity
2. A group of investors pools their money together to fund the project
3. Any profit generated by the project is then distributed among the investors
This type of investment is a good idea, but you must do extensive research on each deal before investing. There are good deals, average deals, and bad deals
A real estate investment trust (REIT) is a company that owns, and in most cases operates, income-producing real estate. This is another way to get into real estate investing without all the risk of doing it on your own. REITs can add stability and diversity to your overall investment portfolio with very little money and are a great alternative to owning real estate directly.
The profits typically come from rental or interest income and the company must distribute at least 90 percent of its taxable income to its shareholders each year to qualify as a REIT.