2020 – A new year for a new start on new goals! Endless opportunities stand ahead and this is your year to grab them. As always, we are looking forward to helping you and your family achieve your dreams!
If you are striving to purchase a new home, bigger home, remodel your current home, reduce/eliminate your debts, or just pad your bank account a bit more, this blog is for you.
Recently, we came across an inspiring quote by Warren Buffet:
“If you don’t find a way to make money while you sleep, you will work until you die.”
This got us thinking. What are some ways to make money while you sleep? We are not saying that you don’t have to put in any work into it or that you should quit your day job tomorrow, but what are some sources of passive income streams that can help you put together the down payment you need for your new home? Or bigger home? Or even fund that big remodel you were planning on?
Of course, as Dave Ramsey once described, these goals can be achieved by cutting expenses (i.e. taking a break from the paid gym membership, limiting the meals you eat out, and cutting the cable), temporarily redirecting the funds you place into your retirement into a savings account for a down payment, boosting your income with a side job, skipping on the summer vacation, and/or selling your unwanted items.
However, how can you leverage your passion and marketable skills into various passive streams of income? Well, type in “Passive Income Streams” into Google and/or YouTube and you’ll find a multitude of ideas – some, you will have to invest funds, others, you will have to initially invest time.
Either way, just know that you have more resources than you think. Simply step out of your body and look at what resources you have to work with to make money. For example…
1) Are you knowledgeable about a certain topic or field? Perhaps cooking? Marketing? Interior Design? Money? Home repair? If so, share the wealth. Create tutorials on your given field/knowledge and share it to the world. You can put together instructional videos (all you need is a smartphone to create the content once) and then sell it. Or, you can upload your content onto a blog or YouTube and monetize it via Google and YouTube ads. If you take the latter route, you can essentially use Google and/or YouTube to showcase your expertise and present your credibility to your audience first, and then draw them in into investing in your instructional program.
2) Similar to number one, you can leverage your knowledge into creating products. Two products proven to create passive income are self-published books (i.e. via Kindle Direct Publishing or Lulu) and Etsy items (i.e. checklists, worksheets, planning guides, etc…)
3) Another option, where you can get your money to work for you is, investing in high yield interest saving accounts. In all honesty, the return isn’t much with this option, as interest rates are at historical lows, but something can be better than nothing. When it comes to investing, however, there are many paths you can take and it’s best to speak to a financial planner. If you prefer to learn on your own, you can work with Robo Advisor through such online companies as Betterment, Wealthfront, Acorns, Robinhood, Allyinvest, or ETrade.
4) To diversify your investment portfolio to beyond traditional investments, consider investing in Peer to Peer lending. Peer to peer lending, also abbreviated as P2P lending, is the practice of lending money to individuals or businesses through online services that match lenders with borrowers. These are microloans, processed through such companies as LendingClub and Prosper. With Prosper, you can invest as little as $25 to get started in receiving a return on your investment.
5) Leverage your credit cards’ cash back points. Living off credit cards definitely is not recommended, but, using credit cards to pay for your expenses as you would normally do with your debit/check card and then paying it off immediately after, will allow you to build your cash back rewards. These rewards can be traded back in for money, gift cards, and various perks.
There you have it!
As always, if you need any help listing or buying a home, please don’t hesitate to reach out.
Want to view available listings?SEARCH THE FULL MLS HERE.