When money is tight, it’s best to start by reviewing what you have and how you can profit from it. This includes not just your time and your budget, but also your assets. The car and home are the two most valuable assets at your disposal. We’ve already looked at how to make an income with your car, but what about your home?
Welcome a guest
Nowadays, the route to making money by inviting others into the home is clearer and easier than ever. The traditional landlord and subtenant situation is always a possibility and can help you cut the household costs right down. However, you may be able to make a sizeable amount of money and sacrifice a little less of your privacy and your own space by using the home as a short-term rental instead. Sites like Airbnb are full of homeowners renting out a little space and it’s not too hard to join in on the fun, yourself.
Make some room
Perhaps you have space to spare, but you simply don’t like the idea of having someone else in your personal and private space. While the demand for it isn’t quite as high, if you live in a highly populated and trafficked area, then you might be able to make some extra cash by renting out storage space from the home. Besides renting out your garage, converted loft, or spare room for others’ possessions, you might even be able to rent out your driveway if, for instance, you live close to transport links like an airport.
Downsize
Moving home is a decision that should never be made lightly. However, if you’re in need of a significant amount of cash, quick, selling your home for cash is one of the fastest ways to do it. What’s more, if it’s your current budget that has gotten you into some financial hot water in the first place, then downsizing might be better for you in the long-run, too. A smaller home will be a lot less expensive, offering you some room to start making savings and turning your entire financial situation around. Quick cash sales aren’t the only way to downsize, of course, but they can be the most reliable method if you need money quickly.
Free up some equity
If you’ve been paying off your mortgage for a long time, then you might be able to free up some cash by extending it. Taking out a second loan on the home will mean that you will be paying it off for a significantly longer time, but it’s an easy choice if a financial emergency might end in foreclosure anyway. Make sure you take the time to thoroughly investigate the home loan market before you start applying for any so you get competitive rates.
Personal attachment to the home can make it difficult to look at it objectively as a resource, but if you have to choose between using it for money or losing it due to debt, the choice is clear. Use what you got.
