In this day and age, everyone can have a little more money in their pocket. Your property is a great way to supplement your current source of income. Whether that be through investing in some real estate or renting out your place to a few people who are able to meet your price.
At the moment, let us take a close and detailed look at six ways to make money by renting out your property.
1. Financially Stable Tenants
To start things off, you want to find financially stable tenants. If your tenants can’t always pay their rent, you’ll find yourself in a very sticky situation. There is the no worse or awkward situation than having to constantly bug your tenants or even evict them because they cannot keep up with their rent.
Before signing a lease, make sure you know who you are dealing with. You’re completely in the right to ask for credit scores and other proof of financial stability. This relationship can go both ways. On one hand, you ask for a fair price for the property. On the other hand, they complete payments on time and in the right amount.
2. Longer Leases
Next, try to establish longer leases whenever possible. While you can make money from tenants who only want to stay a few months, it is more trouble on your end. You’ll have a higher turnover rate and a more efficient system if these leases last for up to a year.
On a similar note, look to rent your property to families instead of single tenants. Families tend to want a more stable and long term foundation and living space for their kids. Singles tend to usually only stay in one place for a year because they have no one to tie them down to a particular place.
You’ll be able to ask for more money to cover utilities and other costs. The bottom line is that bigger, longer rentals can often play into your interests. While they are a larger commitment overall, you’ll have less moving parts to deal with in the long run.
Airbnb has proven to be one of the most effective approaches to property rentals in the last few years. Although they typically go for more short term rentals, you can now do longer rental times as well. Whichever is in your best interest. Its business has expanded and now more people will turn to renting out an Airbnb property for their vacation instead of booking a hotel room. Because of this, many people are also wanting to get in on the action and be able to make money through the rental service as well. However, it’s not always obvious how to get started.
You will want to take an Airbnb course that will build your knowledge from the ground up. Soon enough, you’ll be an expert at Airbnb and how to operate one without any hitches. There are many distinct advantages of opting into an Airbnb program. One of the best parts is that you won’t be operating alone; representatives will have your back and guide you at every step of the way.
4. Online Listings
Nearly everything functions online in 2020. The best way to rent out your property is to create listings online. Sign up for an account at some of the biggest property rental sites and advertise what you have to offer. Traditional approaches such as physical bulletin boards across town simply don’t get the job done. List your property online and allow buyers to find it with different search parameters.
5. Partial Rentals
Contrary to popular belief, you don’t have to rent out the whole property at once. If you have an empty room or studio, that should be sufficient for rental. Make sure to include a detailed description of what you have to offer and what is off-limits. You’ll be surprised by just how much money you can make from a partial rental.
6. Payment Apps
Last but not least, receive all your income through a payment app. The worst option is to negotiate in cash every month. While checks might seem a bit better, it can be a burden to head to the bank on a regular basis. And it is also a lot on you to keep track of as things can potentially easily get lost in translation.
You’re much better off with an app such as Paypal or Venmo to handle all your transactions. Everything will be right there on your phone and you can transfer it straight into your checking or savings from the app. You’ll ensure that the money lands right in your bank account without any middlemen.
When all is said and done, these are a handful of great ways to make money by renting out your property. If you don’t need your property for any specific purpose, consider renting it to push some extra cash in your hands. There are many options out there today that help you make a little extra cash.
You can even consider investing in a property and then renting it out to make a little more money off of the property and help you out in the long run. There is always something easy out there, you just have to find which is in your best interest. Follow these guidelines to make the most money possible.