Earning

Renting out your space is ‘the most lucrative way’ to make passive income, says side hustle expert: Here’s how

"The most lucrative way" to make passive income "is by renting out assets that you already own."

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Side hustles are becoming more popular: About three-quarters, 76%, of people believe side hustles will become more common in 2022, according to an October 2021 DollarSprout survey of 500 people.

If you're looking to start a side hustle in 2022 but are nervous about the commitment, there are gigs that could ultimately take up less of your time. Passive income side hustles, for example, typically take a concentrated effort up front but less time down the line.

"The most lucrative way" to make passive income "is by renting out assets that you already own," including your various spaces, says Kathy Kristof, CEO and editor of Sidehusl.com. That's because there's little to no financial investment involved ― you've already committed to paying for the space ― and you can charge a price that helps you more than cover those costs.

Here are four sites where you can rent out your space.

Giggster

Giggster is a site for renting out your home to film, photo, or commercial shoots. It's Kristof's favorite way to make passive income because "it's fun, it's interesting," and it pays, she says. "My house earns $300 an hour." These rentals happen less frequently than a tourist rental, she says, but she's earned as much as $1,455 for a 12-hour-long commercial shoot.

Giggster hosts have to own their homes, and the site collects a 15% service fee from each booking. Hosts get free coverage under a "million dollar liability policy" for any injury or property damage claims that occur during a shoot, according to the site.

Rates vary by location. While Kristof is based just outside of Los Angeles, a home in West Lake Hills, Texas, is currently listed for $150 per hour on the site, and a home in North Miami Beach, Florida, is listed for $750 per hour.

Peerspace

Peerspace is a site and app for renting out your space for events such as birthday parties, therapy sessions, and product releases.

Hosts don't have to own their homes, but if they don't, they do need written permission from the owner to list them for rent. The site collects a 15% service fee from each booking and "provides coverage for general liability claims up to $1 million."

A warehouse space in Minneapolis, Minnesota, is currently listed for $100 per hour, and a rooftop in Denver, Colorado, is listed for $113 per hour.

Sabbatical Homes

If you're interested in renting out your home for longer periods of time, consider listing it on SabbaticalHomes.com. The site "is really niched into the education market" in terms of renters, says Kristof, "specifically college professors." It's geared toward educators who take multimonth sabbaticals in other cities.

The site charges an annual $60 home listing fee, and another $50 each time you find a match.

A four-bedroom home in Brookline, Massachusetts, is currently listed for $5,000 per month, and an apartment in Atlanta, Georgia, is listed for $1,800 per month.

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Neighbor

"Neighbor.com is 'Airbnb for storage,'" says Nick Loper, founder of Side Hustle Nation. The site lets people list a wide range of storage spaces for others to rent including a garage, a basement, a shed, a closet, or a bedroom. Users look for spaces to store boxes, RVs, or even boats.

The site charges hosts a fee for each monthly payout, taking a cut of 4.9% plus another 30 cents. If you use its payment platform, the company will provide up to $1 million of personal liability protection, according to the site.

A garage in Glenburn, Maine, is listed for about $60 for the first month and $114 per month after that, and a bedroom in Redmond, Oregon, is listed for $48 for the first month and $92 per month after that.

Understand the risks before you rent out your space

When you're renting out your space, you're taking on financial and legal risks that a visitor could be injured on your property, or cause damage to your space. Before creating a listing, check to see how your homeowners, renters, or umbrella insurance might cover you when you're renting out your space. Check the insurance policies on rental platforms to see exactly how they protect hosts.

Another step Kristof takes is to "screen guests carefully," she says. She asks questions like, "What's the event for? Who is hosting? Are they OK with you sticking around to chaperone?"

"Listen to your gut," she says. "I've turned down many events that struck me as likely to turn into drunken parties."

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