Well, thanks to peer-to-peer lending, you can rent out almost anything you own with minimal effort.
Here are the best apps for renting out stuff you already own and earning some serious passive income.
1. If you’re looking to loan your car …
You can list your car, receive rental offers, meet with your renter, and hand over the keys. Both Turo and Getaround offer you $1 million in liability insurance. The companies also cover the driver with roadside service.
If you have commercial auto insurance and waive Turo’s coverage, you could receive 90% of your driver’s payment. There are no fees for listing your vehicle — only if you rent it out.
Turo helps you calculate how much money you could expect to earn. If you rented out a $20,000 car 15 days a month, for example, the website said you’ll make $6,501 a year.
Not a fan of lending your car to a stranger? Another way to earn money without much effort is to advertise during your daily commute.
2. If you can offer your parking spot …
Maybe you need your car to get from point A to B each day. In this case, you could still earn some extra cash by renting out a parking spot.
If you have enough room out front or next to your yard, consider apps such as SPOT and AirGarage. Besides approving of your parking guest, you could name your price and even make the spot available for a period, from a day to a year.
AirGarage charges a 3% fee on each reservation for processing your guest’s payment. If you’re curious how much your parking spot is worth, try AirGarage’s estimation tool.
3. If you’re open to getting houseguests …
You probably know all about hosting on Airbnb by now. It’s the online community that allows you to rent out your property — from a spare room to your whole place — to guests across the globe. In exchange for free listings and $1 million in property and host coverage, Airbnb charges a 3% service fee on each reservation.
If you’re not comfortable with having strangers stay in your home, you could opt for short-term rentals. Using apps such as Splacer or Peerspace, you could rent out part of your home for purposes such as parties, conferences, and photo shoots. They come with the same level of insurance but charge higher fees of 15% per reservation.
4. If you have recreational vehicles to rent …
If you found yourself financing a recreational vehicle (RV) or boat once upon a time, you might welcome a way to turn these toys into some extra cash when you’re not using them.
Campanda, Outdoorsy, and RVshare are competing for your RV listings. They have adopted similar insurance offerings, security deposit measures, and fee structures, so you might lean on other factors when deciding where to list your ride.
One differentiating factor could be the audience for each site. Do some testing by acting as the renter. You might search for renting options in your local area to get a sense of demand and competition.
No mode of transportation is too slow to rent out. Spinlister said you could make up to $500 a month by listing your bicycle, surfboard, snowboard, or skis.
5. If you’re looking to lend your clothing …
Selling clothing is one way to make serious cash, but what about those pieces you’d like to keep? Like, say, your wedding dress. Borrowing Magnolia would be your go-to if your dress is less than 5 years old and cost more than $1,000.
Consider renting out other valuable garbs on websites such as Style Lend. Like other platforms, you could create free listings and pay a fee (20%) on each transaction. You’ll also need to box and ship items as borrowers rent them.
To avoid wasting your time, survey a site’s inventory to ensure you have the designer clothing, shoes, or accessories that’ll attract renters. Style Lend, for example, recommends that you list your items for 5% to 10% of their original retail cost. Do the math to ensure your profits would be worthwhile.
Take stock before you start renting out your stuff
But they’re not all created equal. Before you choose a site for your listings, consider these three factors.
1. Evaluate your insurance needs
If you happen to own a considerable amount of camera gear, for example, you might peruse the policies of ShareGrid or KitSplit before renting out the gear. ShareGrid requires gear owners to buy insurance up to the replacement value of their gear.
Other platforms, such as Airbnb, offer free in-house insurance policies. Consult your insurance agent to see whether it’d be wise to add more coverage.
2. Account for IRS taxes
Income earned by renting out your stuff is generally income taxed by the IRS. As such, expect to receive a tax form from platforms tallying your profits.
Plan for this tax burden by:
- Setting aside a percentage of your income to pay the IRS at a later date
- Increasing your rental price to grow your take-home amount
- Consulting a tax professional who can advise on how to handle this extra income
3. Compare platforms side by side
Finally, it’s wise to compare peer-to-peer renting platforms side by side. Judge each by asking the following questions:
- What are the fees per listing and per transaction?
- What is the insurance coverage like?
- What is the process of receiving and returning a security deposit?
- What are their user reviews like?
Hopefully you find a few sites worth your listings so that you can get started earning extra cash without driving around complete strangers.
Interested in refinancing student loans?Here are the top 6 lenders of 2019!
|Lender||Variable APR||Eligible Degrees|
|Check out the testimonials and our in-depth reviews!
1 Important Disclosures for SoFi.
2 Important Disclosures for Earnest.
To qualify, you must be a U.S. citizen or possess a 10-year (non-conditional) Permanent Resident Card, reside in a state Earnest lends in, and satisfy our minimum eligibility criteria. You may find more information on loan eligibility here: https://www.earnest.com/eligibility. Not all applicants will be approved for a loan, and not all applicants will qualify for the lowest rate. Approval and interest rate depend on the review of a complete application.
Earnest fixed rate loan rates range from 3.50% APR (with Auto Pay) to 7.89% APR (with Auto Pay). Variable rate loan rates range from 2.49% APR (with Auto Pay) to 7.27% APR (with Auto Pay). For variable rate loans, although the interest rate will vary after you are approved, the interest rate will never exceed 8.95% for loan terms 10 years or less. For loan terms of 10 years to 15 years, the interest rate will never exceed 9.95%. For loan terms over 15 years, the interest rate will never exceed 11.95% (the maximum rates for these loans). Earnest variable interest rate loans are based on a publicly available index, the one month London Interbank Offered Rate (LIBOR). Your rate will be calculated each month by adding a margin between 1.82% and 5.50% to the one month LIBOR. The rate will not increase more than once per month. Earnest rate ranges are current as of April 17, 2019, and are subject to change based on market conditions and borrower eligibility.
Auto Pay discount: If you make monthly principal and interest payments by an automatic, monthly deduction from a savings or checking account, your rate will be reduced by one quarter of one percent (0.25%) for so long as you continue to make automatic, electronic monthly payments. This benefit is suspended during periods of deferment and forbearance.
The information provided on this page is updated as of 04/17/2019. Earnest reserves the right to change, pause, or terminate product offerings at any time without notice. Earnest loans are originated by Earnest Operations LLC. California Finance Lender License 6054788. NMLS # 1204917. Earnest Operations LLC is located at 302 2nd Street, Suite 401N, San Francisco, CA 94107. Terms and Conditions apply. Visit https://www.earnest.com/terms-of-service, email us at firstname.lastname@example.org, or call 888-601-2801 for more information on our student loan refinance product.
© 2018 Earnest LLC. All rights reserved. Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by or agencies of the United States of America.
3 Important Disclosures for Laurel Road.
Laurel Road Disclosures
However, if the borrower chooses to make monthly payments automatically by electronic funds transfer (EFT) from a bank account, the fixed rate will decrease by 0.25%, and will increase back up to the regular fixed interest rate described in the preceding paragraph if the borrower stops making (or we stop accepting) monthly payments automatically by EFT from the designated borrower’s bank account.
However, if the borrower chooses to make monthly payments automatically by electronic funds transfer (EFT) from a bank account, the variable rate will decrease by 0.25%, and will increase back up to the regular variable interest rate described in the preceding paragraph if the borrower stops making (or we stop accepting) monthly payments automatically by EFT from the designated borrower’s bank account.
All credit products are subject to credit approval.
Laurel Road began originating student loans in 2013 and has since helped thousands of professionals with undergraduate and postgraduate degrees consolidate and refinance more than $4 billion in federal and private school loans. Laurel Road also offers a suite of online graduate school loan products and personal loans that help simplify lending through customized technology and personalized service. In April 2019, Laurel Road was acquired by KeyBank, one of the nation’s largest bank-based financial services companies. Laurel Road is a brand of KeyBank National Association offering online lending products in all 50 U.S. states, Washington, D.C., and Puerto Rico. All loans are provided by KeyBank National Association, a nationally chartered bank. Member FDIC. For more information, visit www.laurelroad.com.
4 Important Disclosures for LendKey.
Refinancing via LendKey.com is only available for applicants with qualified private education loans from an eligible institution. Loans that were used for exam preparation classes, including, but not limited to, loans for LSAT, MCAT, GMAT, and GRE preparation, are not eligible for refinancing with a lender via LendKey.com. If you currently have any of these exam preparation loans, you should not include them in an application to refinance your student loans on this website. Applicants must be either U.S. citizens or Permanent Residents in an eligible state to qualify for a loan. Certain membership requirements (including the opening of a share account and any applicable association fees in connection with membership) may apply in the event that an applicant wishes to accept a loan offer from a credit union lender. Lenders participating on LendKey.com reserve the right to modify or discontinue the products, terms, and benefits offered on this website at any time without notice. LendKey Technologies, Inc. is not affiliated with, nor does it endorse, any educational institution.
5 Important Disclosures for CommonBond.
Offered terms are subject to change. Loans are offered by CommonBond Lending, LLC (NMLS # 1175900). If you are approved for a loan, the interest rate offered will depend on your credit profile, your application, the loan term selected and will be within the ranges of rates shown. All Annual Percentage Rates (APRs) displayed assume borrowers enroll in auto pay and account for the 0.25% reduction in interest rate. All variable rates are based on a 1-month LIBOR assumption of 2.48% effective April 10, 2019.
6 Important Disclosures for Citizens Bank.
Citizens Bank Disclosures
|2.49% – 7.27%1||Undergrad & Graduate|
|2.49% – 6.65%3||Undergrad & Graduate|
|2.49% – 7.41%4||Undergrad & Graduate|
|2.50% – 6.65%2||Undergrad & Graduate|
|2.49% – 7.11%5||Undergrad & Graduate|
|2.98% – 9.72%6||Undergrad & Graduate|