For the average Filipino, you are most likely getting by in life with the paychecks that you earn from your day-to-day job. Jobs can be draining. Plus, they usually only earn you enough to simply get by in life. This is why people turn to earn passive income. Some through investments, while others earn from their rental business. These are some easy ways in which any Filipino can earn more money than he already is making without having to work so hard.

You might be interested in earning passive income, but do not know where to start. A good way to start is by having your own rental business. This could be through investing in your own property or even other products or services that you could have up for rent. The most popular method of renting in the Philippines, however, is through investing in property.

Here are some ways in which you can earn money from starting your own rental business by investing in property:

1. Choose the Right Property

When choosing the right property to invest in, there are some things to consider looking into first. One would be to know what kind of property you will be investing in. Is it a condominium? A house? What kind of place are you willing to have for rent? Consider if it is within your budget. Moreover, is it something that is in demand right now? The next thing that you should consider is location. Is the location well-known? Is it near other important places as well such as workplaces or schools? Would people care if a property to be rented would be placed there?

2. Repair and Enhance Your Property

It’s simple. You are most likely to lean towards buying something if it looks attractive. It is the same when trying to rent out a property. It would most likely sell if it is attractive and appealing to the customer. Moreover, if you want to keep a good reputation of having an excellent property for rent, you must make sure that everything is in check. Part of making your property look good is to fix any damages that it might have. Some of this could include leaky faucets, broken light bulbs, and other problems with the walls and floor. If the property you are renting is a house, then you would also have to think about the roof, downpipes, and gutters. Small details like this could create a huge impact on whether or not a renter would want to choose your property over the rest.

3. Sort Out Finances

It’s best to talk to a professional adviser to help guide you in making the best financial decision possible for you. It’s quite common for not many people to have enough liquidity to buy property right away. One solution to this is to try to get a mortgage. To do this, you can contact your local credit union or bank.

After this, it’s important to find out the market value of your property. You can do this by comparing your property with other properties for rent in your area. There are also several ways in which you can find out how much profit you can earn from renting your property. You can find out these ways here. It is important to gauge your expenses and how much profit you will earn to cover these.

4. Find Your Renters

Finding your renters does not just mean knowing who will be interested in possibly renting your property. It’s also about knowing who will respect your property and treat it with care during their stay. Some ways in which you can do this is by running a background check on their credit to ensure that they can meet your monthly payments. You can also do a background check on who they are as people to find out if they have had any offenses against the law in the past for fewer chances of doing any purposeful harm to your property. It is also best to establish clear rules to the renter to avoid any problems in the future.

A good tip to make the most out of your rental property is to find renters who are willing to rent your property for at least a year. This way, you could secure your source of passive income for a good period of time. It would also be a good idea to build a solid relationship of trust with your renters so that they are most likely to keep renewing their contract with you.

5. Have People to Help You

It is your responsibility as a business owner to fix things when they go wrong. You should have reliable handyman on your contact list to help you out with this. These people that you should have on-hand include plumbers, electricians, exterminators, gardeners, and utility companies. This is one way to ensure that your property is in tip-top condition and of course, functional for your renters.

In line with this, you should also determine how you want to manage your rental business. You can do this by yourself by drafting your own lease agreement; or you can ask for help from a professional property manager. A professional property manager will help you with your lease agreement on your behalf which will take off some stress on your part.

6. Advertise

Choose the right platforms to post about your property. Know who your target is and choose a platform wherein you think that they are most active. There are marketplaces like Facebook and iRent Mo where you can post for free. You can also pay for ad space so that your listing would be more visible to people targeted by property rental ads.

When it comes to listing your property, include important details about it in your description. People care about the location, size of the property, amenities, and of course the price. It would also be nice to include your property’s best features to entice your target more.

Besides rental properties, there are also other ways in which you can earn from having a rental business. Here are a few other easy ideas that you could begin with if you would like to start a rental business without investing in properties:

1. Storage

In case you are not really looking to be a property investor but you do own a big place that has extra space that someone else could use, then renting storage could be something you could do. Renting storage could be renting your empty garage for people who have big vehicles that they do not know where to store. It could also be having an extra room in which people could rent for whatever other items they may have.

2. Digital Devices

During this pandemic, this is something that is very much in demand. As consumers, we have probably accumulated a number of devices throughout the years. You would most likely have an old iPad or spare laptop that is no longer in use because you have bought a new one for yourself. Instead of letting it lie around your house, you could rent it to somebody who could need it instead. There is most likely someone out there who is struggling to find the resources for online learning or working, and your spare device could really help them.

3. Transportation

Most of us probably know a dad who likes to buy cars but of course, he doesn’t use every single one of them, or at least not as much as he should. Renting your transportation could be useful for someone else, especially big groups of people who do not own a van, for example, but would need it for a road trip. There are also other modes of transportation that you could rent such as bicycles or motorcycles. This would be convenient for individuals who are looking for a more affordable mode of transportation for themselves.

4. Event Space

Your own backyard could be an event space for somebody else. Not everybody has the luxury of owning their own garden. However, there are people looking to rent one for outdoor events, photoshoots, and others. If you have a beautiful, spacious, garden that is not really in use, you could have it up for rent.

5. Books

Unless you are really a book collector, you are most likely to leave your book on your bookshelf after reading it and never touch it again. Renting books is very helpful especially to university or high school students who use the same books as you have. Books could also be pricey to spend on. With this, renting could be a more affordable option for them.

Starting a rental business does not have to be complicated. Anybody can do it because everybody has the means to do it. We are most likely to have things that we no longer need but others could find useful. Instead of letting them lie around and collect dust, you could earn a profit out of these things instead. Make more than you already are with rental businesses!

How to Earn from Your Rental Business

Sources:

Contributor, Ladders. “How to Start a Rental Business for Passive Income.” Ladders, Ladders, 14 Apr. 2020.

Enterprise, PayMaya. “10 Effective Passive Income Ideas for the Modern Filipino.” PayMaya Enterprise: Secure Payment Acceptance Solutions.

Lamudi – February 19, et al. “Tips on How to Earn Income from a Rental Business.” Lamudi, 4 Mar. 2019.

Landes, Harlan. “Earning a Living With Rental Properties: Should You Be a Landlord?” Forbes, Forbes Magazine, 7 Aug. 2012.