A good number of Fort McMurray homeowners will be open to making some extra money from their home without necessarily selling it. With rent or mortgage payments being the highest bills each month, it will serve you well to generate an income from the home.
Creating an income from the home should follow a determination of financial and personal priorities and expert advice.
There are two main ways of creating an income:
Renting out the home or part of it
It is an option available to homeowners who have:
- An additional property to rent out for all or part of the year,
- An extra room to rent out, or
- Enough space to set up a bed and breakfast.
How can you go about renting out the home to generate an extra income?
- Get a lodger: Rent out that extra room to a commuting lodger especially if your home is located in a suitable spot.
- Boutique hotel: That extra room can be let out to tourists on the short term or even for longer stays. You will always have the room when it suits you. Alternatively, you can let out the entire home when out on holiday helping to recoup some of your vacation expenses.
- Rent out the driveway: Homeowners near an airport and major cities can benefit from renting out parking spaces. There are also some huge amounts of money to be earned in this way.
- Offer storage solutions: Extra rooms in the home can be provided to people or entities that require economic solutions to their storage issues.
Borrowing against the equity in the home
The option will be best considered if:
- You are averse to renting out your property,
- You have paid off all or better part of your mortgage,
- You can afford a reverse mortgage or some other form of debt, and
- You wouldn’t mind taking the money away from your estate.
The amount of income generated will be dependent on factors such as:
- The amount borrowed
- Interest costs on your loan
- Amount of monthly loan payments
- Restrictions on the loan
- Return or rate of annuity on any investment made with the money.
In any case, if you need expert advice or looking to invest in Fort McMurray Real Estate then contact with our Realtors at The Lore Group today.