If you’ve got space in your home now is an excellent time to turn it into an additional income stream with minimal effort. We’ve looked into how to make money from your spare room and were overwhelmed by the options available to savvy homeowners looking to diversify their income.
Where owning a home was once a financial burden hell bent on stopping people from pursuing their other dreams, nowadays with the rise of the internet and the opening of minds to living less conventionally, your home can easily become the source of a reliable second income paving the way to you finally having it all.
Here are our favourite ways to make money from your spare room:
Find a lodger
Whether you want someone renting a room in your house full time, part time, year round or just during certain months, you can make a lot of extra money by taking a lodger.
The easiest way to find the right person is to sign up to Spare Room who, with over 2 million site visits per month, are the number one resource for those looking to rent a room.
We love how flexible you can be with your requirements, for example specifying that you only want a roommate Monday – Friday, or that your lodger can only stay for 3 months. If you can get your head around sharing your space with a stranger, this is a great way to make extra cash (and maybe new friends!).
Need to know: The Government’s Rent a Room scheme allows you to earn up to £7,500 a year TAX FREE. What are you waiting for?
Open your home to Holidaymakers
If you want more control over the dates that you accept guests, why not jump on the Airbnb band wagon and rent a room to holidaymakers for short stays?
Airbnb is the market leader in this space and their user friendly website makes it super easy to enter into the market and quickly diversify your income stream.
It works by allowing you to advertise your property / room for rent. Holidaymakers / travellers can simply search for the location they want to visit, view your ad and then request a stay (the website currently has 3 million properties to search). We love that you get to consider each and every request individually and if you plan it right, you can even rent your space whilst you’re away yourself. What better way to get extra spending money for your own holiday?
Once you’ve set yourself up on the website, you can also use it to find cool places to rent yourself when you travel. Follow this link for £30 off your first stay.
Need to know: Airbnb handle all cash transactions meaning that your money is safe. If you request a non-refundable desposit, you’ll get it. No ifs, and no buts.
Cashflow is king and when it comes to being a landlord having a solid rental income is paramount to ensuring you don’t stumble at the first unforeseen expense.
So what if I were to tell you that there are landlords out there, who started with the same property as you, who are now making 50-100% more rental income. Too good to be true? Well it may come with some upfront expense however the following 5 scenarios are being played out daily by savvy investors and landlords. Read more
Store your Junk
Who else is guilty of chucking stuff away without considering whether it could actually be worth any money? Definitely us. We’re the same people who moved abroad for a year and gave most of our stuff away…. for free. Still stings.
Realistically nobody has the time to sort through their stuff regularly and selling one item at a time doesn’t really seem worthwhile, especially if you’re only going to make a few quid.
This is why we like the idea of using your spare room as a storage space for all the stuff you either wont, or might never, use again. Then when you’ve got a spare day dedicate it to organising your junk and selling it on Ebay. No more throwing cash away.
If you don’t like Ebay, you could also try selling on Facebook or Gumtree or host a garage / boot sale for really easy sales.
Need to know: You can pass the cost of postage and package on to the buyer so that all income is profit. Happy selling!
Let other people store their junk
Did you know that you can earn extra money from your spare room by renting it as STORAGE SPACE?
This is great for people who would prefer not to share their home with other people but still want to earn extra cash. Store Mates lets you advertise your spare room / garage / loft etc to hoarders who need space to store their things but don’t want to pay commercial prices. They get affordable storage fees and you get extra money – everyone’s a winner. Store Mates handles all the paperwork and money to make it a really simple exchange for you. All you need to do it decide what you’re going to spend all that free money on.
Need to know: It’s free to register but Store Mates will take 15% of your monthly earnings as commission.
Find space for Foreign Exchange Students
This one is a little more out there but with projected income of £50 per week, per student – it’s definitely worth thinking about.
The idea is that you provide a home for international students visiting the UK to study. Due to the nature of this rental you are likely to face much stricter vetting than if you were renting to others (like on Spare Room and Airbnb) but if you want some spare money whilst giving back a little this could be for you. Check out EF or Hosts International for further information.
Need to know: It might end up being your responsibility to take your guest to school initially . Make sure you can fit this into your life before signing up.
With all these options available there’s no reason your home can’t provide a steady income to support your lifestyle, whether that means going on more holidays, buying designer clothes, paying off your mortgage early or simply helping you to make ends meet.
Do you use any of these methods? How did you get on? Let us know in the comments below.