Financial independence is a significant aspect of life. Further, it would help if you had flexibility with your job and the ability to earn more with less hassle. One job cannot satisfy the needs of many. Here’s where Real Estate side hustle comes in. You can get a chance to generate additional wealth with prospective real estate side hustles. Let’s discuss how you can get involved in real estate and generate profits for long-term financial security.
What is a Real Estate Side Hustle?
A Real Estate side hustle allows you to have a secondary activity or business to generate extra income. This money will come from real estate and we can describe it as follows.
- You can rent out a spare room or place for Airbnb. This practice is perfect for people with extra space.
- You can work as a part-time real estate agent and help people find temporary and permanent homes. Applying for a real estate license is crucial for this role.
- You can look for abandoned properties and obtain a referral fee with real estate investments.
- To avoid the hassle of a real estate license, you can attend open houses and work on flexible schedules.
- Finally, you can invest in dividend-paying REITs and real estate stocks online and save on home down payments.
10 Real Estate Side Hustles
In this section, we will discuss 10 Real Estate Side Hustle options and learn ways to earn a side income.
REIT Investment
Real Estate Investment Trusts, or REITs, are one of the best solutions for a real estate side hustle. They provide a source of steady income with required dividends. REITs provide diversification of multiple real estate classes and locations. Mortgage, commercial, healthcare, and related sectors provide high-yield REITs that pay dividends of 7%.
Single-Family Rental Ownership
Single-family rental ownership is the way to go if you want to reach heights with traditional real estate side hustles. More than 12 million single-family homes are in rent in the United States, as per a report by Bloomberg. These rental properties witness year-over-year hikes and can be beneficial with the right investment strategy.
House Hacking
House hacking allows you to use or hack your current living space for rent-outs while you are living in it. You are finding a roommate and renting a part of your home. You can give your garage, basement, or backyard as a storage space. People with multi-unit properties can implement house hacking and benefit from the deal.
Vacation Rental
Convert your property into a vacation rental and make money without much effort. You can list your space on platforms like Airbnb, document your place for short-term stays, and cater to the needs of tourists and travelers. If you own a property in a popular location, Vacation Rentals are ideal for passive income.
Rental Arbitrage
Another way to earn extra is through rental arbitrage. You can act as an intermediary between landlords and tenants. This job includes finding unvalued properties and signing a lease with the landlord. Further, you can re-rent the unit at better rates to earn profit. You shall comply with local rental regulations to avoid trouble.
Property Manager
You do not have to cater to multiple rentals at once. You can use your people skills, get help from a handyperson, and keep the tenants content. Becoming a part-time property manager allows you to collect a monthly management fee of 8-10% of the tenant’s monthly rent. However, this real estate side hustle requires the required organizational and management skills. You will have to oversee operations and work on screening, rent collection, and property maintenance.
Bird Dog
Bird Dogs or buyer’s agents look for undervalued properties and connect them with potential investors. If the deal succeeds, the bird dogs will get a finder’s fee. Real estate investors always look for off-market deals. The general audience needs to learn about these offers. Bird Dogs bring people the required properties with specified requirements.
Real Estate Agent (Part-time)
You can become a real estate agent and help people find their dream homes. The first step towards this side hustle is getting a license. There is a learning curve with this job, and there is potential to earn more. You must invest around $1000 or less if you want a real estate license. No college education or professional degree is required for this role. You can charge a commission on a successful sale and turn it into a full-time job.
House Flipper
This part-time hustle allows you to buy properties and renovate them into something better. You can resell this property and generate profits. This real-estate side hustle can provide significant benefits but requires primary investment. Additionally, you require renovation expertise. You must understand the market and resale costs to build the required sales. If you are already in the real estate field or know the workforce (carpenters, handymen etc), you can succeed in house flipping.
Notary
You can get a chance to witness the signing of essential notary documents and verify them. A notary is not related to real estate but is a part of property-related transactions. You can certify copies, administer oaths, and perform related tasks. Becoming a Notary would help if you were an American citizen and legal resident.
Conclusion
Real Estate side hustles range from RIET investments to Notary roles. You can pick any side hustle suitable for you and start earning. You can explore opportunities and even turn part-time hustles into full-time ones. Beem is one of the most reliable platforms to handle your money. More than 5 million Americans trust Beem with their finances with features like withdrawing cash for emergencies, calculating and filing taxes and getting a personal loan. Try Beem now and become financially savvy!
