Creative Money Technique numero uno!

Ok, here you have it - Creative Money Technique numero uno! It's something I do that generates 1500$ of income a month - with little effort.

Okay, unless you live under a rock, you have no-doubt heard that the World's economy is in a bit of a melt-down. Not everyone is worried though, like Bill Gates, Sir Richard Branson, and moi - because I just got creative. (You guys must know me by now - I thrive on challenges!)

With the sub-prime loan crisis, people are losing their homes by the droves. This actually creates a unique opportunity: a hot rental market (because people have been forced out of their homes and purchasing a home is more difficult) and great real estate deals (one of my clients is buying a short-sale condo in Vegas for 210K, it was valued at 550K two years ago.)

So, this Creative Money Technique is to capitalize on the former - a hot rental market!

You don't need another investment/rental property to capitalize on the hot rental market - just look no further than that spare bedroom with the boxed x-mas tree and wrapping paper, or that unfinished basement vying for some TLC.

Those SPACES are money-makers; they just don't know it yet...

Here of some examples of "thinking outside the box" and making money on SPACE...

1. Residents in the town of Wimbledon, England rent their garage and driveway space for hundreds of dollars a day during Wimbledon.

This is called profiting from pain. The pain for Wimbledon fans = no parking. The solution = provide parking and profit.

(Why do you think bottles of H2O at Disneyland and other theme parks are like 5 bucks? They're profiting from our pain, baby!) 2. A friend rents out her spare bedroom to a business man who comes into town once a month. Interestingly enough, the business man sometimes doesn't come for months on end, or when he does it's for a day a so. He just wants a physical address to receive packages.

So my friend is getting a monthly check without anyone really being there.

3. A couple who has a large 2 bedroom house, but wanted to make better use of the space. So they particle-boarded off two extra rooms to rent out to foreign exchange students. The rent from the foreign exchange students pays 2/3rds of their mortgage.

4. A financial savvy women who will be an empty nester next fall when her last child leaves for college. Her large beautiful home in Marin is almost paid for, and she is converting her basement into a turn-key flat with a separate entrance. She will live rent-free and the rent she receives from her beautiful home will be a significant source of income.

5. One of my girlfriends, who is also a single mom, rents out her extra room to another single mom. Instead on money, her renter provides day-care and domestic duties.

6. A college student who bought a 4-bedroom house and rents out 3 of the bedrooms. Her mortgage is paid for by the rent.

These stories motivated me to simplify and cut costs. So I now rent out my extra bedroom to female Korean international students. I am completely pleased with the situation, as they provide company for me and my daughter when they are here, but most of the time they are at school or traveling on weekends.

Besides, I get a kick out of other people contributing to the mortgage bucket each month. That way I can take my extra savings and apply it to my personal goals - like living the entire summer in Europe next year.

So, you want to make money on SPACE? Here are a few steps:

1) Take inventory of where you live. Is there something - an extra bedroom, storage unit, garage - that would be more valuable rented out rather than just used as a place to store junk?

2) Take inventory of the city you live. Every city has some sort of redeeming qualities that make it sought after. Is it a college town? A tourist destination? A business center? Scenic?

Commuting difference from a major city or landmark? This is how you will market your space and find potential renters.

3) Research how much money you can charge for your offering. (Check out similar postings on craigslist, etc.)

4) Put all three together and rent it out. Cha-ching...

Ok, now you are one step closer to your vacation in the Bahamas or trekking the Himalayas...