Real Estate Owners: How to Make Ends Meet ?
The end of the month can be stressful for anybody, whether they are an owner-occupier or a landlord. A large monthly payment, a loan that isn’t always covered by the rent collected, maintenance that has to be scheduled, and a slew of other unexpected occurrences that may derail your budget projections are all things to be concerned about. To protect yourself or get through the problems, there are options that enable you to earn an extra income from your property. Four of them are magnified.
# 1 Storage within the property
The first option isn’t always the most apparent. Depending on the size of your home and how you use it, you may discover that one or two rooms are exclusively used for cleaning. In this situation, why not give your room to someone who is also in need of it?
Of course, in such a situation, making the proposal to family and friends comes first. Perhaps one of them has a temporary need to store some of his possessions prior to a transfer, or is cluttered with a piece of furniture that he plans to relocate in a future house within a few months, or years? Offer your assistance if you know how to fix an issue.
Instead of providing nice assistance to your loved ones, you may find it tough to seek cash assistance. They will, however, most likely be glad to repay the favor by assisting you in resolving your financial difficulties.
You may also prefer unknown connections through ads posted in local businesses or, of course, major advertising platforms on the Internet to help you resolve your problem. Feel free to provide suggestions to meet your reader’s needs. You could, for example, keep someone’s summer belongings in the winter and vice versa. Everyone understands the value of closet space, and you’d be amazed at how many people are interested!
# 2 Renting the garage
If you don’t have extra room but bought a garage at the same time, you’ve got yourself a powerful renting weapon! Garages are in great demand by people who do not have one, whether in cities and in rural areas, to keep things or, more simply, to park a car.
If you own a vehicle, compare the financial benefits of keeping it in the garage against the financial benefits of letting it sleep outdoors. After all, millions of cars face this destiny, and most of them do not fare poorly. In terms of personal storage, if you are or suspect you are in financial trouble, it may be time to sale some of your belongings. This will increase the amount of money you may make by selling and then renting the area that was previously used for storage!
Take care to estimate the rental cost you will give based on your geographic location: in the city center, a garage or even a basic parking spot may be extremely expensive to rent. This will not be the case in the countryside, and a very high price will result in your area being underutilized.
# 3 Welcoming a (co)tenant
If your living quarters are large enough, having someone live with you is an alternative that will make you more money than renting storage. It’s a necessity to have at least one (big) room available for the renter, which may be furnished or not.
Obviously, such a decision is not only based on financial considerations, and you must confirm your willingness to share your living space with a renter. Again, balancing the benefit versus the inconvenience is critical. If you’re a sociable person, this may be a win-win situation. You may hire out your reception area for a day, a week, or even a night to visitors traveling through your city.
A word of advice: always draft a contract outlining the terms of the property’s occupancy, even if it doesn’t contain an inventory like a traditional rental of an empty home. The amount of rent, the available places, and even the norms of common life should all be explained right away to prevent any misunderstandings that can rapidly become onerous in communal living.
# 4 Renting the property in your absence
Finally, you have the option of renting your home when you are away, such as during your vacation or on weekends when you plan to travel across the globe. This is becoming more common, and it allows you to pay for your own accommodations.
The success of your lodging may vary depending on your location: if you reside in a tourist region or in the center of a big city, your accommodation may become a popular tourist destination. However, desire for somewhat secluded living is increasing even in the countryside, a tendency that has been reinforced after the confinements enforced by the Covid-19 epidemic.
The rent you may charge will be heavily influenced by the location of the property as well as the features unique to it. In high season, a week’s rental on the sea or in the mountains may cost several thousand euros. On the other hand, if your home is in the wide countryside and distant from any tourist attractions, don’t be greedy.
Real estate is costly, a trend that has been gaining traction for decades with little sign of a market turnaround. Finding other sources of income may sometimes help you get out of a bad position. Especially if you’re worried about the new Climate and Resilience Law, which mandates that you repair homes rated E, F, or G on the DPE over time or face a rental restriction. Considering putting aside a little more money now will show to be a sound long-term plan. In any case, your quality of life can only improve!