The real estate market may not always be the most transparent or stable, but if you know what you’re doing, it offers a great opportunity for you to boost your income. There are many different ways you can make some extra money or use it as your single source of income. If this sounds like an opportunity you’d like to pursue further, check out the following three ideas.
Being a landlord may sound like a lot of work, but it also comes with plenty of perks. You can buy a home in an area you like, and instead of footing the mortgage bill yourself, you can allow your renters to pay the bill. To be smarter, you should also ensure that you’re charging a little more than the mortgage. This way, you can use this as extra income. Plus, when the mortgage is entirely paid off, you are now using this solely as an income property, and all the rent you charge will go straight into your pocket.
If you have a knack for construction, or if you have an interest in making money, you should consider flipping houses. Due to the real estate crash back in the late 2000s, many people were forced into foreclosure. This has left a lot of homes empty, and many lenders will sell them for a very cheap price. By snagging great deals on homes, putting some money in them to make them move-in ready, and then selling them for profit, you can make a decent amount of money. This may be something that you’re interested in tackling once, or it may be something that you want to do full time. The choice is ultimately yours, but the ability to make a decent amount of money is high.
If you are interested in flipping houses, make sure you work with the right hard money lenders that specialize in real estate. This way, you can rest assured that you’ll get the right loan with the right terms so you’re not putting yourself into a risky financial situation.
If being a landlord or flipping houses doesn’t interest you, you can still join the real estate game as a realtor. These individuals make a lot of money on commission, so it’s something that you should ultimately consider. You can get your real estate license and then start marketing yourself. Typically, realtors will walk away with about 3-6% of the sale price of a home. By simply selling one home, you could walk away with a couple thousand dollars, or more if you focus on selling higher-end luxury homes.
Real estate can be a great way for you to either boost your income or to be the sole provider of your income. You can opt to rent a property, flip a property, or simply be a realtor. No matter which you choose, you will find that it all has financial benefits to gain.