Sunday, July 29, 2012
A great passive income idea
I was recently talking to my co-worker and he was telling me how instead of going to his cabin every weekend, they are renting it out for shorter periods of time. He must charge $200 per day because he said something about getting $1,400 for renting it out of a week. Then he said he also rents out his boat for an additional $50 per day. He is not booked solid, but it sounds like he has about half the dates in August already booked. So if he rents it for just 15 days he can make $3,000 a month. If he rents the boat too, it would be $750 per month. If he was able to get it rented for every day of the month, he could make $7,500 per month if they rented the boat too. You always hear about people buying homes to rent out monthly for some income, but depending on the area, you could probably get $1,000-$1,500 per month. By renting your place out by the day or week, even if the place is only occupied 50% of the time, you can probably make twice as much money. Of course this works better is your property on a lake, or in some sort of vacation setting. We are renting a house for just one night for my sister's bachelorette party and they are charging $435 per night! So if they rented their place out every night of the month, they would make over $13,000 a month! Sadly, I don't think I we are in a position to do something like this at this time, but it definitely something I would consider in the future.