With the ever-increasing expenditure and snail rate of increments in the said salaries, it becomes difficult to only rely on one source of income. The amount of bills piling up is insane, in such scenarios the term side hustle comes into income which is having another source of income be it passive or active other than the main income. Here passive income stands for something you invested your time, money, and skill in a long time before and is still generating you revenue, whereas, on the other hand, active income sources are the ones in which you need to constantly put effort, time, and skill.
When you publish a book that is a one-time investment that generates revenue whenever someone purchases it, or when you buy a house, office, shop anything infrastructure wise lease it out for someone else to use you generate revenue in the form of rent, and as for active income your monthly salary or monthly profit you make in the business.
Generating Income From Real Estate
This is the most common example of side income used by our parents over even grandparents, during the initial stages of working when we all are given advice about how finances can be managed we often hear is save money and then invest it in real estate it is an asset even before buying a car invest in real estate, its value will only increase with time. For this save initially for some time or one can apply for home loans and repay the rent that will come along, some estate agents such as estate agents in Shepherd’s Bush assist you with the paperwork of loan application along with the list where you can invest according to your budget.
Pros And Cons
Taking into consideration the pros and cons of a situation before investing your hard-earned money is a must. Talking about the pros you get another source of income that is passive and does not require a lot of work to be done on your part. You have a backup option to move back to in any case your living house needs renovation. The cons of this arrangement are that you do not receive a regular payment, that it is quite possible you don’t have a tenant for a month or six, which implies you’ll not be getting any revenue these days. To avoid such conditions it is important to consider the location in which your estate is situated, estate agents in Shepherd’s Bush provide you with a list of places where you can invest that have all year round demands for rentals, some locations are nearby offices and universities.
Don’t forget to make legal papers and check the residents of your estate regularly as there have been cases when they made fake ownership papers or did some permanent damage, or robbery also you don’t want criminals as your tenants, don’t deny the police verification. And you are good and in some time your side hustle revenue may exceed your active source in that case one can switch even.
