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halsteadproperty · 7 years ago

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Investing Time with HGTV Star Scott McGillivray

Real estate and home improvement shows are at the peak of their popularity. HGTV, a channel entirely devoted to this programming, was rated fourth in prime time viewership among basic cable channels in February. One of HGTV’s most recognizable faces is Scott McGillivray, host of Income Property and Buyers Bootcamp, and what many would call a triple threat – one part savvy real estate investor, one part skilled contractor, and one part accomplished entrepreneur. We sat down with him to discuss some of his tricks of the trade.

Halstead: Scott, what’s the first room you renovate in an investment property?

Scott: It depends on the property, but more often than not it’s the kitchen. It’s the first thing I look at when I enter a property, and it’s usually the first thing I budget for (with the exception of major structural issues, should they exist). Keep in mind also that with open-concept homes the kitchen is visible from other parts of the house, whereas the bathroom isn’t. So, the kitchen plays a bigger role in the overall design of the home.

H: What rooms and upgrades receive the greatest return on investment?

S: Kitchens and bathrooms are the two areas that can really make or break a home sale in my experience, and they always offer the most potential for a great return on investment. But you can’t just throw any old materials in there and expect to make a profit. In both rooms you want high quality flooring and cabinetry, an excellent lighting scheme, and a great layout. It’s also important to invest in items that will elevate the look of the space and appeal to discerning buyers. I also think it’s critical to invest in the things you touch every day, the countertop being just one of them. Hardware and fixtures should also be high quality, as the investment is relatively small, but the impact is significant.

H: What finishes are trending now?

S: I’ve been using a lot of Cambria surfaces lately. It’s made from natural quartz and I love its durability, standing up to wear and tear. Granite is strong, but it requires maintenance and can stain if it is not taken care of correctly, and marble is just way too soft and porous. Cambria looks elegant, offered in so many design patterns and instantly elevates the look and feel of a home. Much like “hardwood floors throughout,” “quartz counters” is a phrase that instantly evokes a sense of quality and class.

H: What are the three most important questions you ask yourself before purchasing an investment property?

S: First, can I make it cash flow? This is the one question you absolutely must be able to answer before you buy. You need to figure out what all the monthly costs will be, and then figure out if you can get that much back in rent. Or, if you’re flipping, weigh the costs of the renovation against the potential selling price.

Next, what kind of property is it? Different types of properties will attract different tenants, but they’ll also require different amounts of maintenance. You can have a student rental, income suite, executive rental, vacation property, or you can do a flip. Each scenario will require different things of you – including budget.

Last, what’s the location? The location can have a big impact on the overall success of any real estate investment. For residential properties, you want to think about things like transportation and highway access, proximity to schools and hospitals, and other questions of general infrastructure. I want to be confident that it’s in a growing area that will always have a rich pool of potential tenants.

H: Is location more important than the actual structure and space?

S: It will always depends on your budget, but as a general rule, location is more important. There’s a popular saying in real estate that you should always buy the worst house on the best block or one of the oldest units in a building, and it’s true! You want to know that you’re leaving room to improve the value of your home over time.

H: What are five renovations that might hurt your resale value?

S: Swimming pool – I love swimming pools, but they don’t do much for your return on investment. In fact, a lot of people see pools as liabilities. It takes a lot of time and money to maintain them, and they can also be a safety concern.

Bright or bold kitchen cabinets - Expressing personal style is great, but stick with easy-to-change accessories and not large, fixed items like cabinets. Neutral cabinets and beautiful quartz countertops are the way to go. Combining bedrooms – Unless you have 5 or more bedrooms, it isn’t a good idea to knock down a wall in order to make a bigger room. Three or four bedrooms is the ideal. If you’ve got three bedrooms, for example, and you knock down a wall to make two larger bedrooms, you’re likely decreasing the value of your home.

Removing bathtubs – Luxury showers are hot right now and a lot of people are getting rid of bathtubs to make room for them. But this is really a mistake. You should always have at least one bathtub in the house to increase salability.

Wall-to-wall carpet – Softness underfoot is great, but I always recommend solid flooring with area rugs as opposed to wall-to-wall carpeting, which is hard to clean and, over time can look dirty and dingy.

H: Tell us about your new HGTV project that is about to debut. We hear it is HGTV meets Shark Tank.

S: Buyers Bootcamp is my latest show, and it’s different from what I’ve done before on TV in that I team up with the homeowners and invest my own money in their property. At the top of each episode, two sets of homeowners present their property to me, and I decide which one has the best opportunity to turn a profit. I pay for the renovation and, at the end we try to sell it and split the profit. We filmed, all over Canada and the United States and worked on some really interesting homes.

H: Our tagline is Move to What Moves You. What moved you to move to your current primary home?

S: My wife and I moved into our first home before we had kids and it seemed like a big enough size. But once the kids came along our house seemed to get smaller! Our house was also in a tight community where the homes were all close together, and we wanted more space and more privacy. Now we’ve got a nice big yard for the kids to play and for us to grow the family garden (a yearly tradition). And since we built the house from the ground up, we customized everything to our specific needs. It’s really been a dream house for us and we couldn’t be happier.

#HGTV #real estate #halstead real estate #investing time #Scott McGillivray

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herringbookshelf · 5 years ago

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I don’t find this surprising. People in these cities see the building of housing with their own eyes and its not for them. New building does not result in lower rents for them in cities like San Francisco, Oakland, and Berkeley. More often than not it is a signal of gentrification and rising rents. . .

The fact that these bills include massive profits for developers and real estate industries does not help. Furthermore, its led by a State Senator who aligns more with Hilary Clinton than Bernie Sanders who was one of the nastiest and punitive politicians against homelessness, which is not going to galvanize low-income housing organizers.

Liam Dillon covers the politics of housing policy more closely and thoughtfully than almost any other journalist in the country and yet he was nearly dumbfounded by the results of a recent survey commissioned by his paper, the Los Angeles Times. The Times and researchers from the University of Southern California asked 1,200 California residents about the causes of the housing crisis. Only 13 percent of respondents blamed the crisis on “too little homebuilding.” Twice as many people included “lack of funding for affordable housing” or “lack of rent control” as top explanations for the problem.

For the record, let me say that I generally believe the experts: In places where there is high demand, we need to build more housing—subsidized and market-rate housing, and even some luxury housing. It won’t solve the housing crisis on its own, but we can’t solve the crisis without building. So how do we make that happen? We will only see significant increases in the pace of development when the public broadly begins to agree that they are better off with more building than with less. Winning people over to that point of view won’t be easy, but telling people that they are stupid and uninformed is definitely not the right place to start.

It seems to me that if we want to convince people, we ought to stop yelling and start listening.

But a surprising number of people shrug this logic off. William Marble and Clayton Nall in the Stanford University Department of Political Science wanted to see what it would take to change people’s minds on development. They surveyed people in the 20 largest metro areas and found that people formed attitudes toward new development independently from their overall political ideology. Many people who identified the need for housing affordability as an important issue opposed new development. Marble and Nall guessed that if they first provided people with information about how development leads to more housing affordability, people would answer survey questions about development differently. But they found that no matter what message they started with, people’s answers didn’t change. It didn’t help to say that experts agreed, it didn’t help to say that evidence showed that low-income people would benefit, and it didn’t even help to say that President Barack Obama endorsed the research. This finding highlights the challenge facing policymakers; no amount of public education is likely to make a difference. Urban voters seem to understand the argument but remain unpersuaded.

My view is that this tenacity is not the result of a lack of understanding or education. Instead, I think it grows from a sensible feeling that the Econ 101 story greatly overstates the extent to which lower-income people, and even middle-income people, will benefit from luxury development. It is hard for people to articulate this feeling given the degree to which the whole discussion has accepted the simpler premise. And while I believe that resistance to development is causing great harm, particularly for lower-income people, I don’t think we can overcome that resistance without addressing the real question that people are raising. To do that we have to look more closely at who benefits most from new development and think a little harder about what steps local government can take to share that benefit more widely.

Starting in the 1940s, economists began to explore the ways that housing markets were different. Housing is immovable and very expensive relative to other goods, people incur significant costs when they choose to move homes, and characteristics of the neighborhood that their home is located in seem to matter as much as the homes themselves when it comes to setting prices. By the 1960s, some economists began to document the process of filtering and to develop theories that would predict how home prices and rents would be impacted by new construction.

By the late 1980s, a group of economists led by Jerome Rothenberg and George Galster undertook an ambitious effort to bring together much of this research into a single economic model of the housing market that would be realistic enough to address the questions facing housing policymakers. They published a series of articles and a textbook, The Maze of Urban Housing Markets, which was described by the publisher as “a powerful new theoretical approach to analyzing urban housing problems and the policies designed to rectify them.” It seemed like they had answered the core economic question once and for all. But even though there has been very little pushback from other economists, this framework does not seem to have changed how we approach housing policy. Probably because only a small number of students in graduate-level housing economics classes have ever heard of this work.

But most apartments aren’t quite unique either. If you rent, my guess is that you looked at less than 10 available apartments before you signed a lease, even though there were hundreds more available in the area. By looking at only a few places, you got a clear sense of the current market price for the kind of apartment you were looking for in the kind of neighborhood where you were looking. And that general sense held up across many slightly different units. There was a market and a market price even if it was not a single citywide market. In a segmented market, the price you pay for an apartment is still set by supply and demand, but it’s not just the overall supply and demand that matters. The rent is at least partly set by the supply of apartments like yours and the amount of demand from people like you.

It’s tempting to think that the issue is just geography: that apartments are just like gas, but instead of different markets in different states, there are different markets in each neighborhood. Clearly neighborhoods are important, but the research suggests that both location and other quality factors and building amenities combine to define distinct submarkets. You can think of each submarket as all of the different units that one kind of person might consider when they are looking to move. They may be in several different neighborhoods, but they will be of similar overall quality and desirability and they will have similar prices.

Housing markets were segmented by quality and the supply and demand in each submarket resulted in semi-independent price movements. A community might see rising prices in the high end of the market even as prices in the middle or at the bottom were falling. And vice versa.

They considered how housing markets that were segmented in this way would respond to a range of different changes in supply or demand in any one segment. One scenario that they evaluated most closely was the situation where new housing was added at the most expensive end of the market. What they found was that when new luxury homes are built, there is an immediate response within that specific submarket. Prices drop in response to increased supply just as we would expect from Econ 101.

In the next subgroup down market, prices fall also, but not by as much. When luxury prices drop, some people will upgrade from merely high-cost housing into the luxury market. This reduces demand in the high-cost submarket, which lowers the price. But for a number of reasons, each new luxury unit was associated with less than one household stepping up. So the price reduction is less in the second tier. And for each step further down, the effect of the added supply was diminished to the point where the addition of new luxury housing made relatively little difference to the rent for low-cost housing units.

If markets are indeed segmented in this way, then the results of the LA Times survey may make somewhat more sense. Why are people in Los Angeles not excited about the potential for new luxury development to make all housing more affordable? For the same reason they don’t see new buildings in Seattle or Portland helping them. Surely it is at least partly true that the more Seattle builds, the less pressure there will be on California’s housing markets. (Lower prices in Seattle will cause some people to move north.) But we all intuitively understand that this will make only a very small difference in the cost of housing in LA. New luxury towers in the city seem no different to many Los Angeles residents, who feel like they occupy an entirely different world.

Of course, new buildings in LA (even luxury buildings) are likely to have a much bigger impact on middle- and low-income rents in the city than any buildings in Seattle. But, sadly, it turns out that we don’t know how much bigger. The key number is what economists call “cross-price elasticity of demand,” a measure of how readily people switch from one submarket to another.

The most compelling policy implication of this switch to a segmented view of housing markets is that we need to do more to encourage development of new buildings that are targeted for lower- and middle-income households.

Cities however, are not powerless against this economic reality. Local planning and zoning regulations have enormous impact on what and where it is financially feasible to build. Time and again, urban voters have shown a willingness to trade relaxed density rules or reduced parking requirements in exchange for more affordable housing units.

The same voters who are consistently skeptical of market-rate building for its own sake seem to have no reservation about using market-rate development as a tool to get more affordable housing. The experts have had little success in convincing voters to remove restrictive zoning rules for the sake of more building in general, but there is a proven track record of doing exactly that in exchange for more affordable housing units. Pursuing regulatory reform on its own in the absence of clear requirements for affordable housing is not a good use of energy. It might pass in the state house, but the LA Times survey shows why someone in every city hall is going to try to fight back. However, when we tie reducing regulations to affordable housing requirements (of almost any kind) we can all pull in the same direction.

Not sure if i’m willing to argue a build out from the middle. I’d say below AND middle together.

Where the policy choices become truly difficult is when we move up the income scale to think about more middle-income housing. If markets are segmented, then building middle-income housing would be vastly more helpful than only building luxury housing because instead of filtering from the top down, the benefits would filter from the middle out. While the market is unlikely to ever provide high-quality, low-income housing without public subsidy, in the past the market did provide plenty of middle-income housing and it could again.

In the early 20th century the federal government’s early interventions in the housing market focused on supporting the creation of market-rate, middle-income housing. Federal mortgage guarantee programs reduced the risk and cost of building. And many cities have issued bonds to finance middle-income apartment buildings. These programs can be abused, but they show that local governments can take an active role in ensuring that financing is available for new production of housing that serves more middle-income segments of the market.

And there is also growing interest in changing design and development standards to make it easier to build for the middle of the market. The recent growth of accessory dwelling unit programs can be seen as one way to do this. Several cities have been considering legalizing fourplexes in single-family neighborhoods. While these changes don’t guarantee that new housing won’t be expensive, if they are implemented at a sufficient scale, it is likely that the new units will be much more modestly priced than most multifamily development has been. Even if these new units don’t directly serve lower-income households, their benefit is more likely to reach the lower end of the market because they will start closer to the middle than much of the multi-family housing we have been building in recent years.

Living with Supply Skepticism

Time and again, housing policy ‘experts’ in this country have helped rationalize and implement policies that enriched property owners and real estate investors at the expense of communities, particularly those of color. We bulldozed people’s homes. We wrote racism into the zoning code. We promoted harmful financing scams. Our collective failure to own up to these past harms is a surprisingly central force driving the current housing shortage. Many people simply aren’t inclined to trust the experts any more.

But it is easy to overlook the many times when the partnership between the public sector and the real estate industry worked the other way. At the beginning of the 20th century, most Americans lived without indoor plumbing, fires regularly leveled whole neighborhoods, and substandard and overcrowded housing was a major contributor to deadly epidemics. Private builders all but eliminated some of those concerns from our public life. Builders didn’t install fire-rated walls or sprinkler systems to save money. They did it because laws informed by the experts made them. Homebuilders didn’t invent the 30-year, fixed-rate mortgage to help middle-income people afford homes. Experts inside the federal government did.

Urban voters aren’t likely to embrace a strategy of getting out of the way and letting the market do its magic. Many are inclined, instead, to stand in the way to keep the market from doing harm. But if we were more honest about the limitations of the market, it would be easier to convince people that local governments can hold private development accountable for delivering benefits to people who are being left out.

#yimby #nimby #2019 #trickle down housing #housing #housing politics #affordable housing #shelterforce

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kuwaiti-kid · 5 years ago

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The 19 Best Ways to Generate Passive Income in 2020

Making money while you sleep has a beautiful ring to it. I mean, who wouldn’t want to be making some extra money while playing with the kids or while watching a game?

The only problem is that most ‘passive’ income ideas that you’ll come across are not passive at all. Since you’re already busy with your everyday life, you won’t want to pick up a 2nd job that you don’t have time for.

Most passive income ideas require you to put in a LOT of work. And doesn’t that kind of wipe out the passive in passive income?

The truth is that to generate passive income, you’ll need to invest in an asset that produces passive income for you. Unless you are making money the old-fashioned way (inheriting it), or you are willing to put in some effort.

The good news is that you don’t necessarily need a new cash outlay either. If you already have an asset that isn’t being fully used, that can serve as your investment. We’ll get into how that works shortly.

For now, let’s talk about a few passive income ideas if you’re ready to invest and make your money work for you instead of losing value in a bank account.

Truly Passive Income Ideas

1. Passive Real Estate Investing

Talk to anyone who’s a landlord, and they’ll tell you that passive is the last word they’d ever use to describe having to replace a washing machine after a full day of work.

However, there are a ton of companies that give you the ability to invest in commercial and residential real estate projects without having actually to do any of the heavy lifting yourself.

One example is DiversyFund. It’s a private REIT (real estate investment trust) that allows you to invest in professional real estate projects passively for as little as $500. The thing I love about companies like DiversyFund is that they don’t make money unless the investors make money since they invest and manage the projects themselves.

Another thing that makes DiversyFund different is how they invest. Rather than try and be all things to all people, DiversyFund invests in lower risk multifamily housing. They use technology and expertise to scour the country for properties that fit their specific criteria. They’re looking for properties that are highly occupied with positive cash flow that needs some work. We’re not talking about complete renovations. It could be updating bathrooms or kitchens. Or maybe they just need a fresh coat of paint.

The fact they do all of the work themselves means they can do it for much less than many of their competitors. Once complete, when leases run out, they can increase rents, which increase cash flows and the value of the properties. Holding periods are designed to be in the five-year range. Preferred returns for their properties are in the 7% range.

When incentives are aligned, you give yourself the best chance to win.

2. Open a High-Interest Savings Account

If you are afraid of investing, there’s a chance you have a decent chunk of change saved in a checking or savings account. Saving money is always a good thing.

Sadly, the banks’ brick and mortar banks that most people use don’t value them and barely pay any money in interest. The big banks like Wells Fargo, Chase, Bank of America, and the others essentially pay around 0.08% interest. This means that even if you have hundreds of thousands of dollars with them, you’ll very little money (like ~$200 per year).

That’s why having your money in a high-interest savings account is CLUTCH.

The best high-interest banks are online only so you won’t need to mess with going into the bank to get started. The best part is that as of this writing, they pay over 2% interest per year. That means you’ll be making $4,000 per year off of your couple hundred thousand dollars instead of $200 like you would with a megabank.

Even if you don’t have a ton of money saved up, you will still make way more money than you would with a regular checking or savings account. One of my favorites is VARO Money. They consistently pay higher rates than almost any local or national brick and mortar banks.

Invest Your Money Wisely

While having a high-interest savings account is an excellent way to make some income passively, it pales in comparison to investing your money.

While earning 2% on your savings is about as good as it gets, you can make much higher returns in the stock market. The S&P500 had an annual return of over 19% in 2017.

Investing comes with its risks. Investing requires an understanding of a fundamental principle. Risk and reward are related. Here’s what I mean. The higher the risk of an investment, the higher the expected return. Volatility comes with higher returns. That’s why we need to have a long term perspective when investing in risky assets. Investing money in the market and holding the funds for the long term is the way to be successful. Timing the market, stock picking, and active trading are not winning strategies.

Oh sure, some people get lucky and guess right. And they always make the headlines. But follow them for any length of time and you’ll find they do not consistently keep up their past performance. Investing in funds that track the market and holding them for many years is the right strategy.

Many people feel comfortable doing their own investing. However, that’s not true for many. If you’re someone who doesn’t want to invest on your own or need help, seek to find a qualified financial advisor.

3. Invest in Dividend Stocks

Dividends are profits that are paid out to owners of stocks. Some companies pay dividends on a regular schedule, which means it can become a dependable source of income.

Investors who love dividend stocks will talk about the fact that their investment is not only generating dividend income but potentially also appreciating. Keep in mind that stocks that pay high dividends still have risk in them. They can drop in value like any other stock. Historically, the drops in value are less than the overall stock market. But you should never invest in any stock, a high paying dividend stock or otherwise, thinking you’re doing it without risk.

Dividend stocks are similar to other stocks in the sense that it’s usually best to buy and hold for a long time.

Some people even rely on dividend checks for their regular expenses. Depending on your expenses, that might mean you have to own a significant number of shares! If you have some extra cash to invest and you understand the risk involved, dividend stocks are something to consider.

4. Earn Passive Income with Lending Club

If you’re looking for another way to earn passive income, you may want to consider Lending Club’s peer-to-peer lending platform. Lending Club allows investors to diversify their assets by investing in different types of loans. The type of loans you choose will determine the return and risk exposure of your investment (remember, risk and return are related).

All you need to do is invest as little as $25 in a single loan. Your investment is combined with other investors to make up the entire loan amount. While others may want to invest more many sticks with $25 to reduce their risk exposure. By only investing a small amount in different loans, you can reduce your risk of default.

After you make your initial investment, you will begin to make passive income on the payments the borrower makes. As the borrower continues to pay down the loan, you will receive interest payments every month. Even if you don’t plan on reinvesting your passive income back into the platform, you will still earn a return on your investment. Keep in mind, interest rates may vary and will be determined by various factors including the borrower’s creditworthiness and the amount of their loan.

Since this is a peer-to-peer lending platform, you’re essentially the lender. This means that you must collect the principal and interest amount. It’s up to you to choose whether to cash out or reinvest your funds in your Lending Club accounts.

Semi-Passive Income Ideas

1. Put Your Real Estate to Work

I was recently contacted by a long-time reader who had just received her first passive income check in the mail, and she was ecstatic. She was a single mom of two daughters and her youngest had recently gone off to college.

She had always dreamed of running bed and breakfast but never had the time to devote to it. But once she became an empty nester, and realized she had two empty bedrooms, she could rent out to guests.

After signing up for Airbnb and jumping through the hoops, she was able to rent out her rooms for $50/night each. She said she’s considering moving out to a smaller space and renting out the entire home since it’s in an in-demand area of Fort Worth, TX. She said she is making enough money to hire a neighbor to handle the clean-up duties, so it’s as passive as can be.

Not bad!

Rent Out an Extra Bedroom

Sticking to this theme of real estate, there’s a decent chance you have an extra room that hardly gets used in your home.

Consider renting it out for extra income. Maybe you hate the thought of having a guest in your home more than the notion of a few extra hundred bucks of residual income. If that’s you, then maybe this isn’t right for you, but for those who wouldn’t mind the company, it may be a no-brainer.

A few hundred bucks a month means a couple of thousand extra dollars a year. Do that for several years, and you’ll be able to retire a couple of extra years earlier.

Just make sure you both sign a formal rental agreement so that everyone is on the same page.

Rent Extra Land to Tiny Home Owners

There is a tiny home bonanza sweeping the country right now. That means creating products for small homes or catering to tiny home enthusiasts is an excellent idea.

The only problem is that you might not know the first thing about tiny homes.

The good news is that you don’t need to necessarily need to build a product to sell if you have some other property.

A lot of people are choosing to live in tiny homes and embracing the minimalist lifestyle. For a lot of those people, the only downside can be found where to place their tiny home. If they want to live in a tiny home to save money, it likely doesn’t make sense to spend hundreds of thousands of dollars to buy a lot.

If you have some land, this creates an opportunity for you to rent out space on your lot. You’ll want to make sure you don’t violate any laws or codes on your city, town, etc.

Getting paid a couple of hundred bucks to let someone place a tiny home on a piece of land you don’t use and don’t want to sell can make you a nice stream of residual income.

2. Renting Your Car

Companies like Turo and GetAround are making it easier than ever for you to rent out your car when you aren’t using it. And let’s face it, if you live in an area with Lyft and Uber service, there’s a chance you might not even need your car daily.

You’ll want to keep in mind that you renting out your car will mean additional wear on your vehicle so your repair bills might increase, but users have said it’s well worth it for the passive income checks coming in the mail.

If you have a 2nd car sitting around that never gets used, or you have begun to bike to work and no longer need the vehicle daily, this might be the absolute perfect way to start generating some passive income finally.

3. Refer Friends to Great Products You Already Use

Companies like Rakuten.com (formerly eBates) have existing referral programs that pay out cash for every friend you can refer. If you have a lot of friends or social media followers, this can be an effortless way to earn money.

All you have to do is set up an account by clicking the join now tab at the top of the homepage. Once the account is up, go to your account settings and click where it says refer and earn to get a link you can send your friends.

To find other programs like this, it’s super simple. Nearly any company that delivers food or other products have similar programs.

4. Try Affiliate Marketing

I started a website from scratch. It was not an easy undertaking (unless you know what you are doing and have done it before). If you don’t want to start and build your own site, why not find an existing site that is already making money from affiliates and take it over?

Affiliate marketing is where you get paid a fee for referring new customers to brands. So for example, if you have a site like Kayak.com that compares prices, you can earn a commission for referring customers to existing brands.

This type of investment can be genuinely passive if it’s already generating revenue with very little hands-on involvement. Keep in mind, if a site is making money, they are not cheap to buy. If it’s making money, you’re paying for the revenue the site generates. However, you don’t have to reinvent the wheel.

5. Run a Site with Display Ads

If you’ve spent any amount of time on significant sites like ESPN, The Weather Channel, Google, etc., then you’ve seen lots of advertisements on them. If you don’t remember seeing ads, then you either have a formidable adblocker, or you’ve learned to ignore them. Nice!

As you can imagine, the reason these sites have ads on display is that they are being rewarded handsomely to do so. The key to generating income in this way is to have a website with a lot of users since there is a strong correlation between the number of eyeballs on your website and the amount of income you’ll be making. Easy enough to understand.

If you have a friend with an old site that they never use it might be worth acquiring, it if they have traffic. Adding ads to a website is super simple, and you could be earning some passive income quickly.

Passive Side Hustles

1. Learn to Flip Products on eBay

The chances are that there’s a product that you know better than anyone else. For some people, it may be game consoles or cell phones; for others, it might be makeup, shoes, or handbags. Learn how to sell that and other products on eBay. The learning curve may be a little steep at first. Once you get the hang of it, you can be churning out additional income on a regular basis.

Here’s a guide to selling on eBay to help you get started.

Identify a Market with Many Buyers and Sellers

The beautiful thing about eBay is that there are so many buyers and sellers. All you have to do is find opportunities where you can buy products for less than you know they are worth and flip them.

2. Use Your Washing Machine

If you don’t have money to invest, you may need to make money quickly. And if you have a washing machine and dryer, there’s a good chance you can start right away. Sound crazy? Maybe it is. Let me explain.

Several companies bill themselves of the Uber for Laundry, and they are pretty simple. You sign up, pick up clothes from people who live near you, and wash them. Once you deliver their laundry, you’ll get paid.

It’s that simple.

If you are SUPER enterprising, you could always pick up several different loads and head to a laundromat to be able to wash several loads at the same time. But be careful so that you know what to do with all of that cash you’ll make. I recommend you invest it!

3. Become a Tutor

Getting into top schools and programs is as hard as ever. Getting highly sought after jobs is just as tricky. That means that there’s a lot of people looking for tutors.

And the crazy thing is that with all of the new technology available, you can easily tutor kids in China and make money while sitting on the couch in Texas.

Check out companies like VIPKid for online tutoring jobs.

You can make a lot more than minimum wage by working around your regular work schedule. This type of gig is perfect for those seeking to make extra money on the side.

Residual Income

Ok, you may think we’re wordsmithing or splitting hairs, but there is a difference between passive income and residual income. Though many who write about it don’t differentiate. Here are a couple of definitions from Webster:

the difference between results obtained by observation and by computation from a formula or between the mean of several observations and any one of them

a residual product or substance

a payment (as to an actor or writer) for each rerun after an initial showing (as of a TV show)

The payment to an actor for reruns is the best of representation of how I think about residual income.

Examples of Residual Income

Royalties

Let’s say you wrote a book. Maybe it’s an eBook, or perhaps it’s a traditional book published in print. The publisher pays you an upfront fee for the book. Once they recover that fee from sales, any additional income you receive (net the publisher’s cut) is residual income. You’ve done the work by writing the book. Sales proceeds going forward come from residual income

Product Sales

Let’s say you’re a widget salesperson. You sell the widget for a set price. Part of the sale is for ongoing service. The purchaser pays a monthly (or other) ongoing fee for your company to service the widget. The company receives the money, the service department handles the continuing service, and you get a piece of the ongoing fee from the service contract – residual income.

Another example comes from the insurance world. Salespeople get an upfront commission for the initial product sale. The sale might be life insurance, property, and casualty or health coverage. After the initial commission gets paid, the salesperson receives an ongoing residual income from the initial sale as long as the person continues to pay the premiums. Service usually comes from the client services team, not the selling agent.

MLM Marketing

For those not familiar with it, MLM is multi-level-marketing programs. I’ll explain how it works below.

Now, before you go off on me for putting this in the post, give me a minute to explain. I’m not endorsing MLM sales or saying you can make money at it. However, the concept of MLM marketing is based on residual income.

In MLM programs, participants are encouraged to sell the company’s products. They get paid for that. The big money promised (or at least promoted) comes from recruiting others to sell those products under your account. You encourage those folks to recruit others, and that level to do the same. The idea is to build a sales empire and make a bazillion dollars. Sorry. The sarcasm got away from me.

The residual income comes from money the person at the top of the food chain makes on those underneath them in their “line.” They’re not doing the selling but making income from the sales of those underneath them.

Though similar in many ways, residual income isn’t the same as passive income in the traditional sense.

The Bottom Line

Remember, generating truly passive income requires creativity and some initial work to set things up. If you’re someone who is already super busy, that’s even more true for you. But if you can take the time to learn whatever it is you think you’d be good at you can make some extra money. Maybe a lot of extra money.

I hope you can find at least one of these ideas intriguing enough to give it a try. Don’t listen to the negative nellies or the pounding pundits of pessimism (credit to Brian Wesbury for that one). Do your homework. Learn what you need to know. And give it a try. You just might be the talk of the town because you’ll be making money while everyone else is breaking their back.

The post The 19 Best Ways to Generate Passive Income in 2020 appeared first on Your Money Geek.

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mcjoelcain · 5 years ago

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How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

That’s why we want to go through 8 ways you can make money by investing in real estate. They’re all different, and we certainly don’t suggest you try all 8 methods. But this is a great launching point if you’re just starting out.

How to invest in real estate in 8 ways

Here are the 8 ways you can invest in real estate. The method you choose ultimately depends on your financial situation and what you hope to achieve. If you want to learn more, check out our article on real estate investing myths.

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Real estate investment trusts, or REIT, act like mutual funds for real estate. Think of them like a basket. In the basket are different properties you can invest in. Instead of investing in individual ones, you invest in the entire basket along with other investors. REITs are typically managed by a company (i.e. a trust).

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

REITs are typically managed by a company (i.e. a trust). They also come in a variety of different forms. You can invest in REITs that focus on healthcare buildings like hospitals or retail buildings like shopping malls.

Overall, REITs are a great place to start if you’re looking to get your toes wet in real estate investing. Not only do you not have to worry about paying enormous amounts for a property, but you get started today with a broker. They are an excellent and low-risk way to diversify your portfolio into real-estate. And you never have to think about it just like a normal index fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

If you’re careful about the property you buy and the person you rent it to, it can be a great way to make some money while you pay off the mortgage for the property. And as rent prices rise each year, your mortgage will remain relatively fixed—increasing your earnings as a result.

However, you need to keep in mind the phantom costs of purchasing a home. These are the unseen but consequential costs such as regular maintenance and repairs that many would-be homeowners don’t consider when they first purchase a house.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

Also, many folks assume that landlords can set any rent they want. That’s not true. They can only set rent at a price that the market will support. If the local economy begins to struggle, you could be forced to rent the property at a rate that’s less than your mortgage. You’d start losing money every month.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

Here’s how house-hacking works: You purchase a multi-flat building. Then you live in one unit while you rent out the other ones. This allows you to generate money via rent while you cut down on your own expenses by living on the property.

This is similar to purchasing rental property. But instead of being on the hook for maintenance and repairs for one property, you’ll be responsible for all of your units. This can be a big drawback for those looking to get involved in house-hacking.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

However, would-be house flippers should know that this is one of the most time, money, and energy consuming ways to make money in real estate. Not only do you need the money to purchase a property, but you also need to put in the sweat equity to renovate a house.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

Much like house-hacking, this method involves you renting out property you already live on. However, there’s a slight difference to this one: You don’t even have to own the property in order to rent it out.

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

These act like REITs where you invest in a mutual fund with other investors in companies that actively manage different properties for you. The difference is that real-estate investment funds also include direct investments into real estate properties.

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

“Real-estate funds generally increase in value through appreciation and generally do not provide short-term income to investors as do REITs,” explains Stuart Michelson, a finance professor for Stetson University. “Real estate funds gain value mostly through an increase in value of the assets.”

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

Much like mutual funds, private equity funds pool the money of different investors together in order to invest in property. Unlike an REIT or real-estate trust, though, these funds are typically only available to accredited investors who have a lot of money on hand to start investing.

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real-estate investment can be an interesting and fun way to diversify your assets. If you play your cards right and do your research, there’s no telling how much money you can make through these investments.

But you have to be careful. Real-estate tends to be a very volatile market, and there are a lot of dangers that go into it if you don’t keep in mind certain elements. To learn more about this, be sure to check out our very best resources on the topic below:

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

from Money https://www.iwillteachyoutoberich.com/blog/how-to-invest-in-real-estate/ via http://www.rssmix.com/

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samuelfields · 5 years ago

Text

How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

How to invest in real estate in 8 ways

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

from Finance https://www.iwillteachyoutoberich.com/blog/how-to-invest-in-real-estate/ via http://www.rssmix.com/

0 notes

kennethherrerablog · 5 years ago

Text

How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

How to invest in real estate in 8 ways

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

How to Invest in Real Estate in 2020 published first on https://justinbetreviews.tumblr.com/

0 notes

andrewdburton · 5 years ago

Text

How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

How to invest in real estate in 8 ways

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

from Finance https://www.iwillteachyoutoberich.com/blog/how-to-invest-in-real-estate/ via http://www.rssmix.com/

0 notes

paulckrueger · 5 years ago

Text

How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

How to invest in real estate in 8 ways

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

from Surety Bond Brokers? Business https://www.iwillteachyoutoberich.com/blog/how-to-invest-in-real-estate/

0 notes

lilac-milk-moon · 5 years ago

Text

The 19 Best Ways to Generate Passive Income in 2019

This page includes affiliate links — I may earn a small amount from qualifying purchases, at no additional cost to you.

Note from Mr. SR: Generating passive income can sound like the dream. Some people call it “mailbox money” and I love that phrasing — it just shows up in your mailbox! Maintaining an income from your investments is key to retirement or semi-retirement, since you’ll be replacing the income you used to generate at work.

But, before that mailbox money starts rolling in, you’ll have to choose a strategy and set up your investments.

My friend Michael from Your Money Geek shares nineteen great options you can consider to increase your passive income. Enjoy!

Making money while you sleep has a beautiful ring to it. I mean, who wouldn’t want to be making some extra money while playing with the kids or while watching a game?

Most passive income ideas require you to put in a LOT of work. And doesn’t that kind of wipe out the passive in passive income?

For now, let’s talk about a few passive income ideas if you’re ready to invest and make your money work for you instead of losing value in a bank account.

Truly passive income ideas

1. Passive real estate investing

Talk to anyone who’s a landlord, and they’ll tell you that passive is the last word they’d ever use to describe having to replace a washing machine after a full day of work.

However, there are a ton of companies that give you the ability to invest in commercial and residential real estate projects without having actually to do any of the heavy liftings yourself.

Another thing that makes DiversyFund different is how they invest. Rather than try and be all things to all people, DiversyFund invests in lower risk multifamily housing. They use technology and expertise to scour the country for properties that fit their specific criteria. They’re looking for properties that are highly occupied with positive cash flow that need some work. We’re not talking about complete renovations. It could be updating bathrooms or kitchen. Or maybe they just need a fresh coat of paint.

When incentives are aligned, you give yourself the best chance to win.

2. Open a high-interest savings account

If you are afraid of investing, there’s a chance you have a decent chunk of change saved in a checking or savings account. Saving money is always a good thing.

Sadly, the banks brick and mortar banks that most people use don’t value them and barely pay any money in interest. The big banks like Wells Fargo, Chase, Bank of America, and the others essentially pay around 0.08% interest. This means that even if you have hundreds of thousands of dollars with them, you’ll very little money (like ~$200 per year).

That’s why having your money in a high-interest savings account is CLUTCH.

Invest your money wisely

While having a high-interest savings account is an excellent way to make some income passively, it pales in comparison to investing your money.

While earning 2% on your savings is about as good as it gets, you can make much higher returns in the stock market. The S&P500 had an annual return of over 19% in 2017.

3. Invest in dividend stocks

Dividends are profits that are paid out to owners of stocks. Some companies pay dividends on a regular schedule, which means it can become a dependable source of income.

Dividend stocks are similar to other stocks in the sense that it’s usually best to buy and hold for a long time.

4. Earn passive income with Lending Club

Semi-passive income ideas

1. Put your real estate to work

She had always dreamed of running bed and breakfast but never had the time to devote to it. But once she became an empty nester, and realized she had two empty bedrooms, she could rent out to guests.

Not bad!

Rent out an extra bedroom

Sticking to this theme of real estate, there’s a decent chance you have an extra room that hardly gets used in your home.

A few hundred bucks a month means a couple of thousand extra dollars a year. Do that for several years, and you’ll be able to retire a couple of extra years earlier.

Just make sure you both sign a formal rental agreement so that everyone is on the same page.

Rent extra land to tiny home owners

There is a tiny home bonanza sweeping the country right now. That means creating products for small homes or catering to tiny home enthusiasts is an excellent idea.

The only problem is that you might not know the first thing about tiny homes.

The good news is that you don’t need to necessarily need to build a product to sell if you have some other property.

If you have some land, this creates an opportunity for you to rent out space on your lot. You’ll want to make sure you don’t violate any laws or codes on your city, town, etc.

Getting paid a couple of hundred bucks to let someone place a tiny home on a piece of land you don’t use and don’t want to sell can make you a nice stream of residual income.

2. Renting your car

3. Refer friends to great products you already use

To find other programs like this, it’s super simple. Nearly any company that delivers food or other products have similar programs.

4. Try affiliate marketing

I started a website from scratch. It was not easy undertaking (unless you know what you are doing and have done it before). If you don’t want to start and build your own site, why not find an existing site that is already making money from affiliates and take it over?

5. Run a site with display ads

Passive side hustles

1. Learn to flip products on eBay

Here’s a guide to selling on eBay to help you get started.

Identify a market with many buyers and sellers

The beautiful thing about eBay is that there are so many buyers and sellers. All you have to do is find opportunities where you can buy products for less than you know they are worth and flip them.

I could have quickly done this with soccer cleats. I always knew precisely what cleats were worth and how to get the best deal for them. Heck, I even knew which cleats (identical pairs) were sold for more or less in different parts of the world.

Instead of spending countless hours cleaning old dirty used cars at the car dealership, I could have spent a fraction of the time in front of a computer and made some real residual income.

That sounds pretty nice.

If you are reading this and you already have a tab open learning about soccer cleats you are missing the point. You have to identify something you can become a domain expert in. Maybe that’s baby products or strollers. Who knows. The world is your oyster when it comes to making extra residual income.

2. Use your washing machine

If you don’t have money to invest, you may need to make money quick. And if you have a washing machine and dryer, there’s a good chance you can start right away. Sound crazy? Maybe it is. Let me explain.

Several companies bill themselves of the Uber for Laundry, and they are pretty simple. You sign up, pick up clothes from people who live near you and wash them. Once you deliver their laundry, you’ll get paid.

It’s that simple.

3. Become a tutor

Getting into top schools and programs is as hard as ever. Getting highly sought after jobs is just as tricky. That means that there’s a lot of people looking for tutors.

And the crazy thing is that with all of the new technology available, you can easily tutor kids in China and make money while sitting on the couch in Texas.

Check out companies like VIPKid for online tutoring jobs.

You can make a lot more than minimum wage by working around your regular work schedule. This type of gig is perfect for those seeking to make extra money on the side.

Residual income

the difference between results obtained by observation and by computation from a formula or between the mean of several observations and any one of them

a residual product or substance

a payment (as to an actor or writer) for each rerun after an initial showing (as of a TV show)

The payment to an actor for reruns is the best of representation of how I think about residual income.

Examples of residual income

Royalties

Product sales

MLM marketing

For those not familiar with it, MLM is multi-level-marketing programs. I’ll explain how it works below.

Though similar in many ways, residual income isn’t the same as passive income in the traditional sense.

The bottom line

This article was written by Michael from Your Money Geek and originally appeared on The Money Mix. It has been re-published with permission.

The post The 19 Best Ways to Generate Passive Income in 2019 appeared first on Semi-Retire Plan.

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meraenthusiast · 5 years ago

Text

The 19 Top Passive Income Ideas For 2019

The 19 Best Ways to Generate Passive Income in 2019 – Passive Income Ideas

[Editor’s Note: Today’s article in a guest post from Michael Dinich who blogs over at Your Money Geek. He’s worked in the personal finance industry since 1999, where he helped families plan for retirement, reduce taxes, eliminate unnecessary expenses, and plan their estates.]

Making money while you sleep has a beautiful ring to it. I mean, who wouldn’t want to be making some extra money while playing with the kids or while watching a game?

Most passive income ideas require you to put in a LOT of work. And doesn’t that kind of wipe out the passive in passive income?

For now, let’s talk about a few passive income ideas if you’re ready to invest and make your money work for you instead of losing value in a bank account.

Truly Passive Income Ideas

1. Passive Real Estate Investing

Talk to anyone who’s a landlord, and they’ll tell you that passive is the last word they’d ever use to describe having to replace a washing machine after a full day of work.

However, there are a ton of companies that give you the ability to invest in commercial and residential real estate projects without having actually to do any of the heavy liftings yourself.

Another thing that makes DiversyFund different is how they invest. Rather than try and be all things to all people, DiversyFund invests in lower risk multifamily housing. They use technology and expertise to scour the country for properties that fit their specific criteria. They’re looking for properties that are highly occupied with positive cash flow that need some work. We’re not talking about complete renovations. It could be updating bathrooms or kitchen. Or maybe they just need a fresh coat of paint.

When incentives are aligned, you give yourself the best chance to win.

2. Open a High-Interest Savings Account

If you are afraid of investing, there’s a chance you have a decent chunk of change saved in a checking or savings account. Saving money is always a good thing.

That’s why having your money in a high-interest savings account is CLUTCH.

Invest Your Money Wisely

While having a high-interest savings account is an excellent way to make some income passively, it pales in comparison to investing your money.

While earning 2% on your savings is about as good as it gets, you can make much higher returns in the stock market. The S&P 500 had an annual return of over 19% in 2017.

3. Invest in Dividend Stocks

Dividends are profits that are paid out to owners of stocks. Some companies pay dividends on a regular schedule, which means it can become a dependable source of income.

Dividend stocks are similar to other stocks in the sense that it’s usually best to buy and hold for a long time.

4. Earn Passive Income with Lending Club

Semi-Passive Income Ideas

1. Put Your Real Estate to Work

She had always dreamed of running bed and breakfast but never had the time to devote to it. But once she became an empty-nester, and realized she had two empty bedrooms, she could rent out to guests.

Not bad!

Rent Out an Extra Bedroom

Sticking to this theme of real estate, there’s a decent chance you have an extra room that hardly gets used in your home.

A few hundred bucks a month means a couple of thousand extra dollars a year. Do that for several years, and you’ll be able to retire a couple of extra years earlier.

Just make sure you both sign a formal rental agreement so that everyone is on the same page.

Rent Extra Land to Tiny Home Owners

There is a tiny home bonanza sweeping the country right now. That means creating products for small homes or catering to tiny home enthusiasts is an excellent idea.

The only problem is that you might not know the first thing about tiny homes.

The good news is that you don’t need to necessarily need to build a product to sell if you have some other property.

If you have some land, this creates an opportunity for you to rent out space on your lot. You’ll want to make sure you don’t violate any laws or codes on your city, town, etc.

Getting paid a couple of hundred bucks to let someone place a tiny home on a piece of land you don’t use and don’t want to sell can make you a nice stream of residual income.

2. Renting Your Car

3. Refer Friends to Great Products You Already Use

To find other programs like this, it’s super simple. Nearly any company that delivers food or other products have similar programs.

4. Try Affiliate Marketing

5. Run a Site with Display Ads

Passive Side Hustles

1. Learn to Flip Products on eBay

Here’s a guide to selling on eBay to help you get started.

Identify a Market with Many Buyers and Sellers

The beautiful thing about eBay is that there are so many buyers and sellers. All you have to do is find opportunities where you can buy products for less than you know they are worth and flip them.

Instead of spending countless hours cleaning old dirty used cars at the car dealership, I could have spent a fraction of the time in front of a computer and made some real residual income.

That sounds pretty nice.

2. Use Your Washing Machine

It’s that simple.

3. Become a Tutor

Getting into top schools and programs is as hard as ever. Getting highly sought after jobs is just as tricky. That means that there’s a lot of people looking for tutors.

And the crazy thing is that with all of the new technology available, you can easily tutor kids in China and make money while sitting on the couch in Texas.

Check out companies like VIPKid for online tutoring jobs.

You can make a lot more than minimum wage by working around your regular work schedule. This type of gig is perfect for those seeking to make extra money on the side.

Residual Income

the difference between results obtained by observation and by computation from a formula or between the mean of several observations and any one of them

a residual product or substance

a payment (as to an actor or writer) for each rerun after an initial showing (as of a TV show)

The payment to an actor for reruns is the best of representation of how I think about residual income.

Examples of Residual Income

Royalties

Product Sales

MLM Marketing

For those not familiar with it, MLM is multi-level-marketing programs. I’ll explain how it works below.

Though similar in many ways, residual income isn’t the same as passive income in the traditional sense.

The Bottom Line

This article originally appeared on The Money Mix, and has been republished with permission.

The post The 19 Top Passive Income Ideas For 2019 appeared first on Debt Free Dr..

from Debt Free Dr. https://ift.tt/2lDo4NZ via IFTTT

#IFTTT #Debt Free Dr.

0 notes

themortgagebureau · 6 years ago

Text

Buy to Let Mortgage

When you buy a property as an investment, you won’t be allowed to fund your purchase with a normal residential mortgage. Instead, you’ll need to apply for a specialist buy-to-let mortgage. The good news is that there are lots of deals out there, whether you’re a first-time landlord, an ‘accidental’ landlord, or an experienced investor. The bad news, however, is that the rules around buy-to-let mortgages can be a bit of a minefield.

Buy-to-let is a British phrase referring to the purchase of a property specifically to let out, i.e. to rent it out. A buy-to-let mortgage is a mortgage loan specifically designed for this purpose. Buy-to-let properties are usually residential but the term also encompasses student property investments and hotel room investments.

Buy-to-let mortgages are mortgage arrangements in which an investor borrows money to purchase property in the private rented sector in order to let it out to tenants. Buy-to-let mortgages have been on offer in the UK since 1996.

Lenders calculate how much they are willing to lend using a different formula than for an owner-occupied property. They tend to look at the expected monthly rental income to determine the maximum loan available. Depending on the lender, borrowers might also be allowed to include their own personal income in the calculation of the maximum amount that they can borrow. First-time landlords might also be required to have a separate annual income of at least £25,000. For an owner-occupied property, the calculation is typically a multiple of the owner’s annual income.

The most common type of buy-to-let mortgage is an interest only option. The interest rate on the mortgage can be fixed or variable. Fixed rates means that the payments would not fluctuate, and variable rates means that the payments may go up or down in line with the Bank of England base rate. The interest rates and fees that are offered on Buy-to-let mortgages are, on average, slightly higher than those for an owner-occupied mortgage. This is due to the perception amongst banks and other lending institutions that Buy-to-let mortgages represent a greater risk than residential owner-occupier mortgages.

Many people may not be able to qualify for a buy-to-let mortgage. Criteria for acceptance can include deposit amounts, credit rating, and more. In the late 1990s and during the early part of the 21st century, this type of investment became popular and helped drive house prices dramatically upwards.

How do buy-to-let mortgages work? The vast majority of buy-to-let mortgages are provided on an interest-only basis. This means that, for each month of the mortgage term, you’ll only need to pay the interest on the loan, and none of the capital. While this can be good news in the short term as your outgoings will be less each month, it’s imperative that you have a plan in place to either pay off the full loan or to refinance at the end of your mortgage term.

Buy-to-let mortgage rates have dropped considerably in recent years. In November 2018, the average fixed-rate buy-to-let mortgage had an interest rate of 3.25%, down from 4.38% five years earlier, according to data from Moneyfacts. Variable-rate deals followed a similar pattern, with rates dropping from 4.28% to 3.22% between 2013 and 2018.

How much deposit do I need for a buy-to-let mortgage? To get a mortgage on an investment property, you’ll usually need a deposit of 25% of the value of the home. And as with standard residential mortgages, the bigger the deposit you put down, the better the rate you’ll be able to get. The very best buy-to-let deals are usually only available to investors with deposits of 50% and above. When assessing your affordability, lenders will consider your current portfolio and any previous history of obtaining and paying off buy-to-let finance.

Cuts to mortgage interest tax relief and wear and tear allowance have resulted in some landlords setting up company structures for their buy-to-let portfolios. Buy-to-let mortgages held by companies make up a relatively small percentage of the market at present. They are on the rise – in fact the number of company mortgages on the market tripled in the two years from April 2016. Moving to a company structure isn’t the best move for everyone, as the interest rates on these deals tend to be significantly higher than those available to individual borrowers. Research in 2018 found that the initial rate on an equivalent fixed-rate mortgage was 1.3% higher for companies than for individuals.

While headline rates can be attractive, it’s especially important to look beyond the initial rate when choosing a buy-to-let mortgage. That’s because these products have traditionally come with higher up-front fees than traditional mortgages. If you take out one of the market-leading deals, you might need to pay as much as £2,000 up front! While some lenders are beginning to offer cashback incentives and reduced fees, these offers make up a relatively small proportion of the buy-to-let market.

There are plenty of enticing mortgage offers out there for landlords, but you’ll need to prepare yourself for very strict affordability tests. That’s because in recent years, the Bank of England has looked to cool down what it considered to be an overheating buy-to-let market by imposing tougher lending restrictions. As part of their affordability assessments, lenders use interest cover ratios to calculate how much profit a landlord is likely to make. A lender’s interest cover ratio is the ratio to which a property’s rental income must cover the landlord’s mortgage payments, tested at a representative interest rate (most banks currently use a higher rate to be safe). Lenders are required to test at 125% (meaning the projected rental income must be a quarter more than the mortgage payments), but many impose stricter rules.

Landlords with four or more properties are often described as ‘portfolio landlords’. This is an important distinction, as rules introduced by the Bank of England’s Prudential Regulation Authority in October 2017 made it harder for these investors to access additional finance. Previously, portfolio landlords could provide their overall profit/loss figures when applying to borrow more money or remortgage a home in their portfolio. This has now changed and instead, you’ll now need to show mortgage details, cash flow projections and business models for every property you own when applying for finance. If you have a heavily mortgaged portfolio, you will find that these regulations make it more difficult for you to obtain extra funds.

Portfolio landlords also face some other restrictions, which vary from lender-to-lender. For example, some lenders will set a maximum number of properties they allow you to have in your portfolio (up to 10 being the most common) and others use different interest cover ratios and representative interest rates depending on how many properties you have. Other rules imposed by individual lenders include limits on maximum loan-to-value ratios across a portfolio (for example, your overall portfolio must be at 65% loan-to-value or lower) or the stipulation that the interest cover ratio from every property in your portfolio must be above 100%.

With landlords struggling to get finance, some banks have begun to adopt a more holistic approach to lending by introducing a system known as ‘top-slicing’. Top-slicing takes into account a landlord’s personal income separate to their portfolio – such as a salary or pension income – and includes it in affordability assessments. This means that if you have significant earnings in addition to your property rent, you could theoretically use your personal income to bridge any shortfall when you are assessed by lenders. Only a handful of lenders currently adopt this approach, so if you think top slicing could benefit you, it is best to discuss this with your mortgage adviser.

A raft of taxation changes – including cuts to mortgage interest tax relief and the 3% stamp duty surcharge for property investors – has resulted in many landlords deciding to refinance their portfolios rather than adding to them. Indeed, data suggests that the number of landlords remortgaging has increased year-on-year. This means that while it might not be a great time to expand your portfolio, it could be a good time to find a good deal when remortgaging. The current trend in the remortgaging market is that lenders are cutting up-front fees on their products as they look to entice these landlords.

Accidental landlords: switching to a buy-to-let mortgage Not everyone who becomes a landlord necessarily set out to do so – for example, you might have inherited a property, or a change in your circumstances may have resulted in you moving back to the rented sector and choosing to let out your home due to the cost of Stamp Duty. Regardless of how you’ve become a landlord, it’s vital that you tell your mortgage lender if you’re going to let out a home that has an outstanding owner-occupier mortgage. Buy-to-let properties carry greater risks for lenders, so if you don’t tell your bank you could theoretically be invalidating your mortgage. Some lenders will grant you a ‘consent to let’ on your current deal, while others may insist on you switching to a buy-to-let mortgage.

Buy-to-let tax implications

Stamp duty on buy to let properties

If you’re buying a buy to let property or a second home in the UK, you’ll need to pay 3% extra stamp duty. This means the stamp duty on a buy-to-let home costing £250,000 will soar from £2,500 to a massive £10,000.

Income tax relief

In the past, landlords have been able to off-set mortgage interest and buy-to-let mortgage arrangement fees against their income tax bills at their marginal rate (up to 45% for higher earners).

However, this tax relief is being phased in over three years from 2017 and will be capped at 20%. Wealthier, higher tax paying landlords will therefore be the most affected. Experts warn that landlords could be up to £2000 per year worse off, based on typical rents. Cash buyers and investors in 20% tax band would be the least affected.

Choosing the right buy-to-let property

The property adage, location, location, location, is doubly important with buy-to-let.

Most people travel to work and the best buy-to-let investments are generally those within a fifteen minute walk of a train or tube station.

Find a property to suit local demand. A funky flat above a brasserie might suit commuting professionals but not a young family. Resale property is generally bigger and cheaper to buy than new build.

Be wary of buying into a block of flats with many other buy to let investors. Too many flats to let at the same time, means rents could fall or worse still, you may not find a tenant. It can also make selling harder.

Landlord responsibilities

Being a landlord comes with a wide range of legal responsibilities which include:

Contract – You must provide your tenant with a contract, generally an AST (Assured Shorthold Tenancy). This gives tenants the legal right to live in the property for a fixed or rolling term.

Right To Rent – All landlords are now responsible for checking their tenants have the right to rent in the UK. Give every tenant a copy of the Government’s How to Rent booklet.

Tenancy Deposit Protection – Protect your tenant’s deposit in government backed schemes such as Deposit Protection Service or Tenancy Deposit Scheme. Give your tenant details of where their deposit is protected.

Gas and Electrics – Check gas appliances annually using a gas safe registered tradesman and give tenants a copy of the safety certificate. Wiring and electrical appliances also need to be checked annually.

Energy Performance Certificate – Your property must have an up to date EPC before it can be marketed and you must give a copy to your tenant. An EPC is valid for ten years.

Fire – Furniture and soft furnishings must pass fire safety regulations. Check for fire retardant labels. Fire alarms have to be fitted. Fit a carbon monoxide alarm in any room with gas appliances.

Maintenance – as well as meeting legal requirements, you’ll want to maintain your property to a good standard for your tenants and in order to protect your investment. If you manage your own property it can be helpful to join a representative organisation such as The National Landlord’s Association or The Residential Landlord’s Association. Maintain a list of good plumbers and builders to help you manage your property smoothly.

How to make money from buy to let

The rent you charge should at least pay your mortgage and other fixed costs, but you can make a profit too:

The rent you charge should be more than the cost of the monthly mortgage repayments. Although there can be other costs like insurance, repairs or letting agent fees, if you can charge more than these then the difference is your income or profit.

You can make money if you can sell your property for more than you paid for it. The property’s price would have to increase more than the rate of inflation for this to be a real profit.

How much does buy to let cost?

Costs of buying the property

You will have to pay all of the same costs of buying a property for yourself like mortgage and solicitor’s fees.

Some fees are likely to be higher than on a normal mortgage:

The deposit: Many lenders require a deposit of at least 25%, and some need even more, compared with as little as 5% for some owner-occupier mortgages.

Mortgage fees: Several charges that come with the mortgage, like the arrangement fee, may be higher than for owner-occupier mortgages.

Stamp duty: You have to pay stamp duty on any property worth more than £40,000 if it is not your main home. The amount is 3% higher for buy to let than residential properties.

Costs of owning the property

Once you have bought the property, you may have to pay for the following in addition to paying your mortgage every month:

Renovating and improving it to make it legally safe to live in and attractive enough for someone to rent it.

Paying letting agents for advertising the property and managing your tenants, which is usually charged as a percentage of the rental income.

Maintaining the property and making any repairs needed.

Tax on your buy to let investment

You will pay tax on the profit you make from your buy to let investment, including:

Income tax on profits you make from rental income

Capital gains tax on profits you make from selling the property

The amount you are taxed on is the profit you have made minus allowable expenses like:

Interest on your mortgage

Maintenance and repairs

Insurance

Letting agent fees

Utility bills

What are the risks of buy to let?

You should avoid investing in property if you cannot afford to risk losing money. You could make a loss in the short term or overall if:

Your property is empty: If you cannot find tenants, you will make no rental income, meaning you will need to pay the mortgage yourself.

You need to repair the property: You may need to spend money on fixing the property if it is damaged by tenants or by issues like subsidence or extreme weather.

You have problem tenants: If they refuse to pay rent, damage your property or steal your belongings, you will be out of pocket.

Interest rates rise: Your costs could increase if mortgage interest rates rise because this will push up the amount you need to repay each month.

House prices fall: If you took out a buy to let mortgage and eventually sell the house for less than the mortgage amount you took out, you could make a loss. You will need to pay off the rest of its balance yourself.

You can protect yourself against the risks of being a landlord with insurance policies to cover your buildings, contents, legal liabilities and rental payments.

Buy to let FAQs

Q Can my first mortgage be buy to let?

A Yes, you might be able to get a buy to let mortgage, but most lenders will only accept you if you already own your own home.

Q Can I use “Help to Buy” for a buy to let property?

A No, you can only use this scheme for buying your own home.

Q Can I get a buy to let mortgage on my own home?

A No, this will count as mortgage fraud and could lead to your lender cancelling your mortgage and demanding payment for the entire balance in full.

Q Does it count as buy to let if I will be living in the property?

A If you will be cohabiting with someone else who pays you rent, you can get a normal mortgage, which is usually cheaper than buy to let.

Q Can you switch to buy to let?

A Yes, if you decide to rent out where you currently live, you will need to switch to a buy to let mortgage; here is how.

Q Are buy to let mortgages regulated?

A No, the Financial Conduct Authority does not regulate them unless you let property out to family. However, you can usually still complain to the Ombudsman if anything goes wrong.

To view our other mortgage product click here.

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welazydreamcollectionblr-blog · 7 years ago

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They are costly, but a minimum of they are an choice. If you are a critical saver, this might be the right match for you. Financial savings accounts are simple to acquire because they typically do not require a credit verify. I signed the papers and despatched them back along with the examine and a duplicate of my driver license from both sides. This guide tells you the right way to plan your funds using easy common sense. I imply what a plan it was. You'll be shocked at the place you spend your cash. You'll want to seek the advice of them earlier than doing any critical or lengthy vary investing in an Australian bank account. As each challenge has sure disadvantages working a joint checking account should not deter you from your decision. If that is an enormous problem, you may want to consider having slightly thicker glass put in.

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cool-impossiblecollectionsu-blog · 7 years ago

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When You Get A Excellent Resort Expertise, You'll Be Happy!

You will need to e-book a hotel from time to time for a variety of causes. No matter of whether or not it is for company or satisfaction, you need to know what you are undertaking. This write-up will assist you discover far more. To accommodate a tiny family with no having to shell out for more than 1 resort room, search for a spot that delivers suites. Usually the charges are aggressive with one-space prices at other accommodations, but the addition of a dwelling region (and a fold-out mattress) indicates that far more of you can sleep easily. To hold your loved ones lively and engaged when you are in a lodge considerably from property, discuss to the concierge when you check in to get a checklist of nearby points of interest. At the conclude of each and every day, sit down and map out a strategy for the next morning. This presents you more trip time and much less time sitting down in entrance of a tv ready to determine what to do. To make sure that you do not have an allergic reaction to the soaps and shampoos that you find in resort rooms, bring your possess, notably if you have sensitive pores and skin. Whilst it is good to uncover the freebies, the rash that often benefits is fairly disagreeable. Just take alongside your personal issues to maintain factors clean. فندق دار التوحيد مكة For Getting The Greatest Charges When Traveling By Air Are you searching for guidelines to make your vacation significantly less nerve-racking and a lot more effective? You have come to the correct location. We can support you vacation a lot more efficiently. If you will go through and stick to our tried out and correct tips, you will have a more profitable, less pressured-out excursion. Travel can be a enjoyable-crammed exercise, but often keep in mind to understand at the very least a handful of words of the indigenous language. 'Please' and 'thank you' are a should, but phrases such as 'I'm lost' and 'Where is the prepare station?' will show invaluable in the function you truly need to have them. It is considerably less complicated than attempting to act out complex actions! For global travel, examining the overseas electrical power supplies that will be accessible is crucial. Most present day vacationers rely on getting their personal electronics accessible where ever they go. Charging up these gadgets can present a obstacle because electrical connections are not standardized all around the world. A bit of analysis beforehand will educate the savvy traveler what kind of electricity adapters to purchase and what preparations to make. Lodge For any trip, knowledgeable travelers will pack some clothes they can clean themselves with minimum work. Not only do easily-cleanable clothes minimize the general quantity of apparel a traveler has to get together, they can provide a cozy safety internet in the occasion of unplanned delays. Garments that can be rinsed and dried in a resort sink can be a godsend on an surprising layover. فنادق مكةWill not decide a hotel by its identify on your own. Search for the 12 months it was constructed or last renovated, which can be really telling. Hotels can consider a beating and a recently built budget hotel, may be significantly nicer than a luxury manufacturer that is exhibiting a good deal of put on and tear from not currently being renovated in a long time.

As you make your journey arrangements, think about renting a vacation property from the residence's owners. There is a massive assortment of properties on the internet, and homeowners are usually very ready to negotiate the price tag of the house. At a hotel, the personnel can not constantly authorize individuals types of changes to the charge. Constantly request for references and make confident that you look at a whole lot of pictures of the property just before you book your getaway. Accommodations If you want to pay a visit to Walt Disney Entire world in Orlando on a spending budget, think about likely around the commencing of December. Expenses to the park do not go down, but this is when hotels in the region minimize their rates and run promotions to appeal to regional visitors. 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In some locations, particularly India and Asia, it can be considered extremely impolite to explain to a person that you do not know the solution to their query. Others might basically answer "yes" to any concern requested in English. Pay attention to doubtful human body language. Usually pack a map when you travel, even if you have a GPS system. GPS methods are not always reputable. If it had been to malfunction or become damaged, you would be lost. A highlighter can be valuable as properly, making it possible for you to mark your map for simple reference. As a reward, your properly-used and marked up map, helps make an outstanding memento to remember your trip by. An superb way to minimize fees on your up coming journey adventure is to let for overall flexibility of your flight day. 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This will enable you to save up to 50 p.c even when staying at an elite resort. If you are a member of AAA, ask about a lodge price reduction. It may be stunning that vehicle clubs customers acquire resort discounts, but they do. You may possibly preserve five% or even a lot more on nationwide lodges. More than a number of evenings, that five p.c will truly include up. Usually bear in mind to pack running garments and any point else you need for doing exercises even though on your vacation. If you want to jog early in the early morning, don your equipment and then go for it. No make a difference if you happen to be on metropolis streets or down some roads, you can simply find out new items about a city undertaking this. Many lodges have loyalty applications accessible to consumers who journey usually. They give folks rewards if they go to that chain frequently. You can frequently receive cost-free upgrades, free stays, and complimentary late check out out with enough points accrued. It is typically beneficial to pick a lodge that involves a totally free breakfast. Although a lot of of the breakfasts are not elaborate, they offer you you a way to begin your working day off proper without getting to search for a area to eat. Several accommodations provide a continental breakfast that includes, espresso, tea and pastries whilst other people offer cereal, eggs, pancakes, waffles and other breakfast foodstuff. Attempt out DealAngel the following time you are looking on the web for hotel rooms. This comparatively more recent site will present you just how excellent of a offer you are actually obtaining. It even has a distinctive feature that will display you how resort rates vary by date, letting you select the most inexpensive time to go. If you neglect to provide toiletries with you, the housekeeping workers at the lodge may possibly be ready to aid. Most accommodations provide soap, shampoo and conditioner as a issue of program, but they may possibly also have toothbrushes, toothpaste, combs, razors and other necessary products on hand for people who request them. Many even source hair dryers in the space, so you do not have to deliver your very own alongside. If your searching for a excellent trip hotel, ask close to among your friends. Be sure to do this especially if you've got obtained friends that love to journey. They'll usually have superb suggestions to support you locate the greatest lodges with the greatest bargains close to. Furthermore, they're going to enjoy sharing what they know! Always ask about the hotel's using tobacco plan if you smoke. Some have smoking rooms. If this is what you're looking for, inquire about these rooms. Specified resorts will cost you a steep charge if you get caught smoking in a space that is non-cigarette smoking. Be sure to adhere to the policies of the lodge. 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As you have currently read, everyone will ultimately need to continue to be at a hotel. The most important point is that you find out all you can very first. Comply with the suggestions presented right here to get excellent value in resort lodging.

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mcjoelcain · 5 years ago

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How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

How to invest in real estate in 8 ways

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

from Money https://www.iwillteachyoutoberich.com/blog/how-to-invest-in-real-estate/ via http://www.rssmix.com/

0 notes

samuelfields · 5 years ago

Text

How to Invest in Real Estate in 2020

Real-estate investing offers a way to earn money while building for your financial future—but it’s also an easy way to lose your shirt if you’re not careful.

If you do your research and commit to tried-and-true systems, you can make your money back and then some.

How to invest in real estate in 8 ways

#1: Real-estate investment trust (REIT)

If you’re looking for a way to invest in real estate that’s lower risk than buying property, this is the method for you.

Your investment goes towards buying and developing the properties to turn into eventual profit. Investors get paid dividends with REITs like a normal fund.

For more, check out our article on mutual funds to learn how to start investing with a broker today.

#2: Rental property

Admit it: You’ve flirted with the idea of buying a single-family home and renting it out for passive income.

And since you’ll be the landlord of the property, you’re on the hook for any issues that might arise when your tenet calls you at 3am complaining about a burst pipe.

If you’re willing to put in the work to be a good landlord, here is our article on how to buy a house.

#3: House-hacking

House-hacking sounds like you’re trying to access the mainframe of your house in a cheesy hacking montage.

But it’s actually a lucrative way to make money in real estate.

However, if you have the funds to hire repair people or property managers (or if you just want to do it yourself), house-hacking could be a great way to make some cash in real estate.

#4: Flipping property

Flipping properties seem straightforward: Buy a house, renovate it, and then sell it for more than you bought it for—and more than it cost to renovate it.

Some of the best advice I’ve been given is to only consider flipping if I had a network of trusted contractors that I could rely on. Otherwise, it’s really easy for costs to get out of hand.

And even when you renovate a house, it’s not guaranteed that it’ll sell any better than before. Factors such as the real estate market, the economy, and the location play a massive role as well.

That said, it still has the potential to give you massive profits if you play your cards right.

#5: Short-term room rentals

With the advent of websites like Airbnb and even Craigslist, you can rent out different rooms in your house or apartment for cash.

And with the combination of the right listing and the right location, you can make a good amount of money from those sites—like this enterprising I Will Teach reader:

For more on how to get started with Airbnb, here’s the official how to article from the company itself.

Also, here’s another great guide from our friends over at The Points Guy.

#6: Real-estate funds

REITs act much like stocks and other equities, whereas real-estate funds are like your typical mutual funds.

You should expect higher fees than a standard REIT.

#7: Online real-estate investing

This method relies on web platforms such as Fundrise to get your investment done for you.

These platforms allow real-estate managers to connect with potential investors to help fund the purchase or investment of different properties.

Think of it like Kickstarter for real estate. But instead of a dumb cooler that will never get delivered to you, you can receive returns like a typical stock or bond investment.

And with a web platform, it can be a much more intuitive experience.

If you’re interested, here are a few online real-estate investing platforms you can use to get started:

Fundrise

Prodigy Network

RealtyShares

#8: Private equity funds

To start, you need at least $100,000 to begin investing. That number can easily start to get in the seven-figure range depending on the fund.

As such it’s not as accessible to the layman as many of the other options on this list. However, it’s still worth noting just in case that applies to you.

Is real-estate investing right for you?

Real estate investing: The myths, facts, and ways to get started

The Real Scoop on Real Estate (the first of a 7 part series)

Don’t buy a house without asking yourself this question

Real estate is an overrated investment

How to Invest in Real Estate in 2020 is a post from: I Will Teach You To Be Rich.

from Finance https://www.iwillteachyoutoberich.com/blog/how-to-invest-in-real-estate/ via http://www.rssmix.com/

0 notes