When it comes to affordability, Minnesota offers a diverse range of options for renters. While many flock to the state’s larger cities like Minneapolis or Saint Paul, there are numerous smaller towns and cities across the state that provide affordable living without sacrificing quality of life. Whether you’re attracted to the state’s natural beauty, reputed education system, or growing economy, there are plentiful opportunities to find affordable rental homes. Based on our methodology, the cheapest cities to rent in Minnesota are Albert Lea, Hibbing, Fergus Falls, Grand Rapids, and Willmar.
Albert Lea, MN
Albert Lea is a charming city with a population of around 17,804. With a median income of approximately $45,929 and median home values at $102,700, living here is reasonably affordable. The average two-bedroom rent is only $605 per month. Nestled between Albert Lea Lake and Myre Big Island State Park, residents will find plenty to appreciate outdoors. Plus, with the nearby Interstates 35 and 90, accessibility to other parts of the state is made easy.
Hibbing, with a population of 15,923 and a median income of $47,030, is known for its rich history and natural scenery. The median home value in Hibbing is $111,900, making it an affordable option for many. The asking rent for a two-bedroom apartment hovers around $822. It is the birthplace of singer Bob Dylan, hosting the annual Dylan Days, and residents can enjoy the outdoors at the nearby Lake Irvin Park and Bennett Park.
Fergus Falls, MN
Fergus Falls, a city with a population of approximately 13,754, boasts of a median income of $42,659, with median home values standing at $142,700. Renters can find a two-bedroom house for around $850 per month. The nearby Interstate 94 makes commuting a breeze, while the town’s extensive parks and trails system, including the scenic Central Lakes Trail, provide ample outdoor recreation opportunities.
Grand Rapids, MN
Grand Rapids, a town of roughly 11,218 residents, has a median income of $48,247 and a median home value of $153,200. Renting a two-bedroom house here would cost approximately $800 per month. Known for its rich cultural history, Grand Rapids is the birthplace of actress Judy Garland, and its proximity to the Mississippi River and numerous lakes offer abundant recreational opportunities.
Lastly, Willmar, with a population of 19,728 and a median income of $51,884, offers a balance of affordability and amenities. The median home value is $140,800, and a two-bedroom rental averages $882 per month. Willmar Lake, Robbins Island Park, and the Eagle Creek Golf Club are just a few of the attractions that make Willmar a desirable place to live.
The cheapest cities in each state were ranked based on its median home price and median asking rents for studio, one-, two-, and three-bedroom units. Prior to ranking, inputs were normalized, and weights were applied using a 1.25:1 ratio of asking rents to home prices. Data on home prices are from the U.S. Census 2016-2020 American Community Survey 5-year estimates. Data on asking rents are from Rent. Cities without data for one- or two-bedroom asking rents or a population of less than 10,000 were removed from this ranking. Any other missing values were zeroed and did not impact the final score.
Here’s everything you’ll need to know about how to rent a house, including how it’s different from apartment renting.
Maybe you have a growing family or elderly parents moving in. Perhaps you need a dedicated office or you’re craving outdoor space and more privacy than most apartment complexes offer.
If you can’t afford to buy your own home, you can upgrade your living arrangements by renting one. Still wondering how to accomplish this milestone, though? We’ll walk you through it step by step.
How renting a home is different than renting an apartment
While the renting process may be similar, there are large differences that any prospective tenants should be aware of, so their renting process runs smoothly. Navigating the local market is tricky enough, turn to this guide to delve into the must-knows for your home renting experience.
1. Your rent price will look drastically different
Before beginning your hunt for the perfect rental home, you’ll need to figure out what you can afford. Factoring in your income and recurring expenses including any loan payments, check out our helpful tool that will calculate average rents and the cost of living in major cities. You’ll notice upfront, that renting a house may be pricier, due to numerous reasons.
In addition to the monthly rent you’ll be forking over, there are other costs to consider that you may not have had to deal with as an apartment dweller. For example, things like heat, hot water, electricity, internet and satellite TV that are sometimes covered with an apartment rental will likely come straight out of your pocket when you rent a house.
Also, you might be responsible for lawn care, snow removal and other general maintenance, so if you don’t want to take care of those yourself, plan to budget for hiring out those tasks.
You’ll also need to know your credit score to see if you have to get a co-signer or guarantor — someone with good credit who would be liable for your rent if you can’t pay it. This will be added to your lease agreement should this be the case.
2. Your wants and needs will be more extensive
Once you’re clear on your budget, the fun part of researching houses for rent begins. It’s best to start by narrowing down your search to a few choice neighborhoods that offer the amenities you’re looking for, including proximity to work or your children’s schools. Due to the nature of a home (which lacks the built-in amenities an apartment has) your wants and needs for your ideal rental property will be longer.
It’s helpful to make a list of wants vs. needs to help you sort through your thoughts on your dream rental properties:
If you or your family are active or love nature, is the area close to parks and recreation centers?
Do you want a bustling neighborhood packed with restaurants, cafés and boutiques, or would you prefer a quiet, suburban environment?
Is a backyard important to you?
Do you need a garage or dedicated parking space?
Are you looking for a detached home to rent or are you okay with a townhouse?
Does the neighborhood have easy access to public transportation?
3. You’re sure to attend more tours and have more questions
Reading rental listings and taking a good look at the photos is typically not enough to determine whether a rental house might work for you.
While apartment complexes might post floor plans and room sizes online, you might not have advanced information like that with homes for rent. This means you’ll need to ask the landlord, property manager or rental property owner about many things that may not be explicitly listed:
Is the home pet-friendly?
Are appliances included, or would you need to purchase your own?
Is the house furnished? If it is, can you decide what stays or goes?
Are laundry hook-ups in place?
If utilities are not included in the monthly rent, how much can you expect to pay for heat, electricity and hot water?
Can you make decorative changes, such as painting the walls or changing light fixtures?
If there’s a backyard, can you plant a garden?
Is there a home owners association to which you will owe monthly fees?
4. Your neighborhood will be more important than ever
If you like the looks of a house for rent, and the landlord has answered questions to your satisfaction, make sure you also tour the area to get a sense of whether it would be a good fit for you and your family.
Try to speak to some potential neighbors, too: Ask them if it’s safe to walk the streets at night, whether it’s noisy and whether there are other children on the block.
It’s a good idea to visit the street both during the day and in the evening if possible. If the rental home does not have a garage or dedicated parking spot, check out whether street parking is readily available. It’s important to confirm that the right rent price takes into account the neighborhood and what it has to offer potential tenants.
5. There’s additional paperwork, like a home rental application
Paperwork for renting an apartment is a given, however, there tends to be a bit more when it comes to renting a home. Keep in mind, if the property is in a popular neighborhood in a hot real estate market, you won’t want to waste any before time letting the landlord know you’re ready to begin the application process.
Some property managers will charge you a fee between $25 to $100 before opening a file. Supply the following information to help the landlord determine if you are a good candidate to rent the house:
Your personal contact information
Proof of income. If you work full-time, pay stubs are sufficient. If you are self-employed, you can present bank statements or tax returns from the past three years. Retirees can provide proof of pension, 401(k) or bank statements.
Your guarantor’s name and contact information, if applicable
References who can vouch for your reliability and trustworthiness, such as a supervisor or former landlord
6. More rules you’ll have to adhere to
If your rental home has an HOA, you’ll need to check in with them to see if there are any regulations to follow on moving day, such as not leaving empty boxes at the curb when moving. There will likely also be regulations ranging from decorating to construction restrictions that the homeowner, in this case the landlord, will have to adhere to.
The similarities between renting an apartment and a house
There are some steps and parts of the renting process that don’t change even though the type of rental property does. There are similarities beyond the obvious of needing to pay rent and adhering to rental laws.
1. The background check
Landlords want tenants who have a steady income, a good loan repayment track record and a history of paying rent on time. Often, they will conduct a background check to assess whether they want to rent you their house.
During this part of the process, a property manager will likely want to confirm your employment, speak to the references you provided and check your credit report to see how you managed past payments.
2. The required fees such as a security deposit and first month’s rent
Some landlords will require a security deposit equivalent to a month’s rent, which would cover any damage to the property you might cause during the term of the lease. In some cases, you can either be refunded this fee when the lease is up or it goes to the last month’s rent.
You might also have to pay the first month’s rent once you sign a lease, even if you’re not moving in for a while. Sometimes, you’ll be charged a deposit for keys if you require more than one.
3. The moving process
While you won’t have to reserve an elevator to move into your rental home the way you did when you lived in an apartment, there are some things you need to organize before the big move.
For example, before you book a professional moving company, find out from the landlord if you can reserve a parking spot in front of the house where the truck can park, or whether it can back onto part of the property for easier unloading.
Once that’s done, you can concentrate on packing up and getting ready to move into your new home. Don’t forget to advise utility companies, internet and television providers and anyone else who needs to know you’re moving elsewhere.
Make sure to stay on top of details
Taking the time to research rental homes and neighborhoods and asking the right questions will make the transition from apartment living to a home rental go more smoothly.
Being organized with your paperwork and task list for moving day will provide peace of mind and fewer last-minute glitches so that you can celebrate once you’re settled into your new rental home.
And if you’re thinking about renting out your home for some passive income-generating opportunities, take a look at our rent estimator to see how much you could be earning.
Wesley is a Charlotte-based writer with a degree in Mass Communication from the University of South Carolina. Her background includes 6 years in non-profit communication and 4 years in editorial writing. She’s passionate about traveling, volunteering, cooking and drinking her morning iced coffee. When she’s not writing, you can find her relaxing with family or exploring Charlotte with her friends.
Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations.
A 680 credit score is in the “good” range based on the most common scoring model, FICO®. With a 680 credit score, you can get approved for credit cards as well as personal, auto, and home loans.
Having a low credit score not only makes it difficult to secure lines of credit and loans, but it can also cost you quite a bit of money. Low credit scores mean you need to put down larger deposits on rental homes and services, and you also get charged higher interest rates.
According to the recent credit score statistics, the national credit score average is 716. While a score in the 700s is good, having a 680 credit score may be all you need to improve your financial well-being.
Today, you’ll learn what a 680 credit score means and how to achieve one. Most importantly, you will learn how to maintain a good score and continue improving your credit with helpful tips.
What Does a 680 Credit Score Mean?
The meaning of a 680 credit score depends on what credit scoring model is being used. FICO® has the most commonly used scoring model, and it ranges from 300 to 850. If you have a 680 FICO score, you have a “good” credit score. According to the FICO scoring model, the following are the typical ranges:
Very Good: 740–799
Your credit score is a simple way for financial institutions to gauge risk. Lower credit scores are often a red flag and signal to lenders that a person may not pay back a loan. Typically, low credit scores are due to late payments, a short credit history, and overspending. In some cases, low credit scores are due to errors on your credit report that you may need to dispute.
Can You Get a Credit Card With a 680 Credit Score?
Whether or not you get approval for a credit card depends on the type of card and the company, but in many cases, a 680 credit score should get you approved for a credit card. You can get a credit card with bad credit, but these cards often come with high fees and interest rates. Having a 680 credit score can get you a good credit card with typical fees, and it may even have additional perks like cashback rewards.
Note that your credit score is only one aspect of the credit approval process. When you apply for a credit card, lenders look at your credit report. The report shows additional details like other debts you have as well as your payment history. When you apply, there will also be questions about your current income and expenses.
Can You Get a Car With a 680 Credit Score?
Much like with credit cards, a car loan approval may vary by lender, but a 680 is often good enough to qualify for a car loan. When it comes to car loans, in addition to the price, one of the most important factors is the car loan interest rate. Paying off a car loan takes years, which means an interest rate can potentially add thousands of dollars to the loan.
According to recent data, the average car loan interest rate with a 680 credit score for new cars is 5.82% and 7.83% for a used car. By improving your credit score, you can get average interest rates as low as 4.75% for a new car or 5.99% for a used car. It may also be beneficial to use a loan calculator to see how much a loan will cost you over time.
Can You Get a Mortgage With a 680 Credit Score?
It shouldn’t be a problem to qualify for a mortgage loan with a 680 credit score. Like other loans, there’s much more that goes into the mortgage than just your credit score. When applying for a home loan, the mortgage lender takes a much more detailed look into your finances. They’ll want to see your debt-to-income ratio, employment status, assets, bank statements, and more.
It’s also helpful to remember that a major aspect of purchasing a home is the down payment. Knowing how much you should put down on a house can help you plan for the future and discover how much you need to buy a home in addition to having a good credit score.
Can You Get a Personal Loan With a 680 Credit Score?
Yes, you should be able to get a personal loan from many lenders with a 680 credit score. Some lenders may require a higher score in the 700s, and these lenders may also give you a better interest rate. Having a 680 credit score may get you a loan with a higher interest rate, so it’s always helpful to improve your credit score before taking out a personal loan.
5 Tips to Improve Your 680 Credit Score
As you now know, a 680 credit score is good, but improving your credit score to 740 or higher can help you get even lower interest rates and more lines of credit. Here, we go over five ways you can improve your credit.
Make your payments on time: Your payment history makes up 35% of your FICO score, so making all of your payments on time can help boost your credit score.
Keep your spending low: After payment history, credit utilization is the most significant factor in determining your credit score. This is how much you owe compared to your total credit limit. It’s recommended to keep this ratio below 30%.
Don’t close old credit cards: It’s common for people to close credit cards they don’t use, but it’s better to keep them open. In addition to helping with your credit age, keeping a credit card open can help you keep your credit utilization ratio low, which is good for your score.
Check your score regularly: Checking your credit score regularly can motivate you to stay on the right track as well as let you know if you need to make changes. There are services to get your credit score for free as well.
Dispute any errors: Sometimes, there are errors on your credit report, and you can dispute them on your own with the credit bureaus or work with a credit professional.
Not only are these good habits to help improve your credit, but they’ll help you maintain a high score as well.
Get Help With Your Credit Score
If you have a 680 credit score, you’re off to a good start, but improving your credit score can help save you money and get approved for better loans. For those who have bad credit, striving for a 680 credit score is a good goal to have. To see where you stand with your credit, sign up for Credit.com’s free credit report card for a full picture of your credit situation.
Are you a nurse who is looking to make extra income? Looking for the best side hustles for nurses? Whether you are looking for a part-time side gig or a full-time extra income stream, there are many ways to make extra cash as a nurse. Whether you are looking to pay off your student loans,…
Are you a nurse who is looking to make extra income? Looking for the best side hustles for nurses?
Whether you are looking for a part-time side gig or a full-time extra income stream, there are many ways to make extra cash as a nurse.
Whether you are looking to pay off your student loans, save for a vacation, retire earlier, or whatever else, there are many reasons why you may want a side hustle.
As a nurse, though, you may be wanting something that will fit into your already busy and tiring schedule.
When it comes to finding side work, there is no shortage of options for nurses. But, not all side jobs for nurses are created equal.
Related content on side jobs for nurses:
Best Side Hustles For Nurses
Transcription is when you turn audio files or video content into a text document. As a medical transcriptionist, you would be converting voice recordings from doctors and others in the medical field into formal reports.
Medical transcriptionists are required to be knowledgeable about medical terminology, HIPAA, and more, which makes this a side hustle that a nurse would be somewhat familiar with.
Medical transcriptionists earn around $20 to $25 an hour.
There are also other types of transcription work that are not medical related. There are many businesses looking for transcriptionists – since general transcriptionists convert audio and video to text for virtually any industry, there really isn’t a typical client. Examples include marketers, authors, filmmakers, academics, speakers, and conferences of all types.
You can learn more at How To Become A Transcriptionist From Home.
A lactation consultant is someone who specializes in breastfeeding.
A hospital may have you on call, you may go in person to people’s homes to assist them with breastfeeding issues, you may start a website where you help families online, and more.
My lactation consultant at the hospital when I gave birth to my daughter Marlowe also happened to be a healthcare worker at the pediatrician’s office that we brought her to. So, she definitely had more than one form of income!
A night nanny (or sometimes called night nurse if they are a nurse) is someone who helps new parents take care of their children overnight.
You would be employed by a family, usually for a few weeks or a few months after a baby is born. You would be helping parents at nighttime so that they can get more sleep as well as learn how to take care of their new infant.
You will be changing diapers, feeding the baby, helping the baby go to sleep, and more.
A night nanny typically works 8-12 hours overnight.
Night nannies are sometimes licensed practical nurses or registered nurses, as new parents many times want the skills and expertise that a nurse has.
You may be able to find night nanny jobs through word of mouth, or on websites such as SitterCity.com or Care.com.
Telehealth nurse jobs are in high demand and will continue to grow. A telehealth nurse is a nurse who sees patients online, such as by video or phone. You may be working part-time or full-time as a telehealth nurse.
As a telehealth nurse, you would be assisting patients with minor health problems as well as advising them if they should go to the emergency room or urgent care, for example.
A telehealth nurse may work from home (and simply require an internet connection), at a physician’s office, hospital, and more.
As a telehealth nurse, you are still required to be a registered nurse and to have passed the NCLEX examination.
Start a blog or website
I know a few nurses who have started blogs, and this is because a blog can help you make income in your spare time with a flexible schedule.
So, what is a blog? A blog is a website. A blog is content that is written on a website. It usually consists of articles, like the one you are reading right now.
Blogs can vary from person to person. You may create a blog to journal, to teach on a topic, to sell something, to tell a story, and so on. There are no exact rules about what your blog has to be used for.
You can blog about many different topics such as personal finance, travel, lifestyle, food, family, home, DIY, and more.
You can learn how to start a blog with my free How To Start a Blog Course (sign up by clicking here).
Become a caregiver
As a registered nurse, you have highly valuable skills that make you in demand for caregiving jobs, such as taking care of children and adults.
As a caregiver, you may be helping the elderly, helping people get ready for the day, taking care of them for a day, grocery shopping for them, and more.
You may be able to find caregiving jobs through word of mouth (as nurses are very desirable for these positions) or on websites like Care.com and Craigslist.
Sell printables on Etsy
A printable is a digital product that someone can download and print at home. Examples of printables include grocery shopping checklists, gift tags, candy bar wrappers, printable quotes for wall art, budget templates, and patterns.
What makes this great for a nurse looking to make extra income is that you just need to create one digital file per product, and then you can sell it an unlimited amount of times.
So, this can be a great way to make money without having to use up all of your free time outside of work.
You can sign up for this free ebook that helps you figure out where to start when it comes to selling printables on Etsy.
You can also learn more at How I Make Money Selling Printables On Etsy.
Make Canva templates
Making Canva templates is similar to selling printables – you just need to create them once, and you can sell them an unlimited amount of times.
Canva is an online graphic design website. On Canva, you can sell premade designs to other Canva users so that they can edit and customize them.
Some examples of Canva templates include ebooks, workbooks, Pinterest pins, and more.
People all around the world use Canva to help with the graphic design side of their business, and templates make their lives so much easier.
You can head to this article to learn more at How I Make $2,000+ Monthly Selling Canva Templates.
Selling stickers could be stickers that you have printed out and are shipping to customers, or you may be selling stickers for them to print on their own. You would be creating your own designs on stickers and can sell them for years to come.
Stickers are extremely popular right now and will most likely be for years. Stickers are used for so many different reasons, and you don’t need a lot of equipment to start a sticker business.
You don’t need graphic design skills either – this is something that you can learn quickly and even teach yourself.
You will need a cutting machine (perhaps you already have a Cricut cutting machine?), a printer, sticker paper, and ink to get started.
You can learn more at How To Make $1,000+ A Month Selling Stickers Online.
CPR instructor or First Aid instructor
As a CPR instructor or First Aid instructor, these may be classes that you are hired to teach part-time. It may just be a few hours a week and you would be teaching others CPR and First Aid.
There are classes for those who are expecting a child, prepping for the wilderness, for employees in all industries, and even classes for those who are getting into sailing (I personally have taken these sailing classes!).
Rent out spare rooms or a home
You may be able to earn extra income by renting out a spare bedroom or by investing in rental property to rent out in whole (such as an apartment or a house).
You can learn more at How This Woman In Her 30s Owns 7 Rental Homes.
Rent out your stuff
There are other things you can rent as well.
Renting out your stuff can feel somewhat passive, and if you’re not using it then it may make perfect sense for you.
Here is a list of things to rent out and which platforms are best:
You may be able to make extra cash by making baked goods at home.
In fact, I know someone who is a nurse, and on the side, she decorates and sells amazing-looking cookies for events. She started out decorating cookies simply as a hobby, and people started asking if they could hire her to make specialty cookies for baby showers, weddings, and more. This is now a side hustle for her that she loves.
You can learn more about this topic at How To Make Extra Money By Starting A Home Bakery. Here, you’ll learn about the equipment needed to start a bakery, food laws, tips on pricing your baked goods, and more.
I also recommend reading How I Earned Up to $4,000 Per Month Baking Dog Treats (With Zero Baking Experience!) if you are wanting to make dog treats.
With this, you may be watching pets in your own home or the pet’s home, or you may be walking them during the day, playing with them when the owners are gone, giving them their medicine, feeding them, and more.
While it would most likely be hard to be a pet sitter or pet walker on a day when you have a nursing shift, this may be something that you can schedule for on your days off, as you can pick your days and hours by selecting clients that best fit your schedule.
If you’re interested in watching pets in your home, Rover is a platform where you can list your services and find clients.
Become a virtual assistant
A virtual assistant is an assistant who works from their own home (instead of in person).
As a virtual assistant, you may find part-time or full-time work, and you may be able to be flexible with your hours. I have virtual assistants and they all have flexible hours, which can be great for someone who is a nurse and may not be able to work on days when they have a long shift.
As a virtual assistant, you may be helping a company manage their social media, scheduling appointments, managing their email inbox, data entry, and more.
You can learn more at How To Earn $10,000 Each Month From Home as a Virtual Assistant.
Start a TikTok account
I follow a few TikTok accounts that are all about being a nurse, and they are very informative and entertaining. Or, you can start a TikTok that’s not related to being a nurse at all!
There are over 1.5 billion users on TikTok and many people are able to earn an income on this social media platform doing many different things.
From personal finance tips to comedy, day in the life to travel, and more, there are many different topics you can cover on your own TikTok account through making social media content.
Learn more at How To Make Money On TikTok.
Begin a YouTube channel
As a YouTuber, you may decide to start a channel about being a nurse, or about anything else!
There are many different types of YouTube channels out there.
A great positive of starting a YouTube channel is that, like blogging, you can create your own schedule, and work only on the days that you want. So, it does not have to interfere with your schedule as a nurse.
You can learn more at How I Grew From 0 Subscribers To Over $100,000 On YouTube In Less Than One Year.
As a cosmetic nurse, such as an aesthetic nurse injector, you may be working in a doctor’s office or medical spa.
You may be doing injections, photofacials, microneedling, and more.
Resell items online
If you are looking for a flexible job as a nurse, one to look into may be reselling items online, such as on Craigslist, eBay, or Facebook Marketplace. There are many other online marketplaces as well.
Plus, it’s something that anyone can start because many of us own things that we could probably sell.
My friend Stacy Gallego was a nurse who resold items in her spare time. She made over $100,000 in sales by flipping used items too and actually retired as a nurse so that she could pursue her flipping side hustle full-time! You can read more about her story at How I Made $100,000 Selling Used Items.
Stacy learned how to build a flipping business from my other friends Melissa and Rob. They are the flipping experts! Some of the best items that they’ve resold include:
Something they bought for $10 and flipped for $200 just 6 minutes later
A security tower they bought for $6,200 and flipped for $25,000 just one month later
A prosthetic leg that they bought for $30 at a flea market and sold for $1,000 on eBay the very next day
A lift that they found in the trash (and asked the owner for permission to take) that they sold online for $7,500
They have a helpful free webinar, Turn Your Passion For Visiting Thrift Stores, Yard Sales & Flea Markets Into A Profitable Reselling Business In As Little As 14 Days, I recommend checking out.
As a tutor, you can help a nursing student with their nursing degree, pass an examination, and study for a certificate, for example.
To become an online tutor, you can simply create a tutor profile on a tutoring platform, create a listing on Fiverr, reach out to people that you know, and more.
Learn more at The Best Online Tutoring Jobs – A Flexible Way To Make More Money.
Freelance writing is when you write for different clients, such as a website, magazine, and more.
Many people start with no previous experience, so this can be a great one to begin for you.
Plus, as a freelance writer, you can create your own schedule and take on as many or as few clients as you would like, so you can determine how much money and time you want to spend on this side hustle.
You may be able to become a health writer or write about any of the other thousands of topics out there.
You can learn more in the article How To Become A Freelance Writer.
Mystery shopping won’t be a huge source of extra income, but it can be something that you can do whenever you have some spare time. There’s not a huge commitment to this either, which can be great if you are looking for something flexible.
Another positive of mystery shopping is that there are mystery shops that can be conducted both in person, online, and on the phone.
As a mystery shopper, you would get paid to evaluate companies from when you walk through the door to after you get your receipt. Or, you may be evaluating how they answer the phone when you pretend that you are a customer inquiring about a service that they offer.
The company has no idea that you are a mystery shopper – this is so that the company can truly evaluate how they are doing and see what they need to improve.
As a mystery shopper, you may be completing mystery shops for clothing stores, department stores, restaurants, car dealerships, salons, amusement parks, and more.
You can learn more at How To Become A Mystery Shopper.
Join a focus group
There are many market research companies that pay people like you and me to share their opinions. Companies then use these opinions and feedback to improve their products and services.
Sometimes focus groups are looking for a specific person too, such as a healthcare professional or someone who uses medical devices. Or, they may be looking for anyone who works in any field.
User Interviews pays very well for market research studies. Over 2,000 studies are launched each month and they have paid over 72,000 participants in the last year.
Pinterest, Spotify, Macy’s, Home Depot, Trip Advisor, and more all use User Interviews to gather feedback from users about their latest products, apps, and websites.
Participants can earn $50 to $100 per hour or more for sharing their opinions and feedback. The average pays over $60.
You can learn more in my User Interviews Review.
Similar to this, there are many paid online surveys you can take as well. These will pay much lower than a focus group, though.
An immunization nurse is a nurse who gives vaccines, such as flu shots. You may be working part-time or full-time, such as at a travel vaccine clinic or curbside clinic.
Immunizations will always be around, which means that there will always be a demand for immunization nurses.
As a camp nurse, you would typically be working in the summer (because that is when camps usually take place). A camp may last a few days or even weeks or months.
You may be taking care of campers, such as doing first aid.
Many camps go without medical professionals because they are unable to find a nurse to fill the role – so there is a demand for camp nurses.
Sign up for extra nursing shifts
This one is the most common as a nurse, so I saved it for almost last. As a nurse, you may have the option to work overtime and make extra money.
Since you are already in the profession, this may be the easiest to get started with.
Okay, so this is not a side hustle, but I do think it’s somewhat related enough to include in this article!
A travel nurse may be able to earn more than $3,000 per week. They tend to make much more than a nurse who has a permanent job at a hospital or other facility.
Travel nurses are RNs working short-term positions at healthcare facilities. Whenever there are nursing shortages, which happen often in the medical profession, travel nurses help healthcare facilities fill these roles.
I have had several friends become travel nurses, and I’ve also met a few travel nurses while traveling.
Travel nurse jobs usually last around 3 months and can come with many benefits, and they also tend to pay quite well.
Recommended reading: 25 Best Travel Jobs To Make Money Traveling
Common questions about nurse side hustles
Below, I answer some common questions that you may have about side hustles for nurses.
How can nurses earn extra from home?
There are many ways that a nurse can earn extra money from home. This may include:
Answering medical surveys
Freelance health writer
Rental real estate
Creating a nurse TikTok
And so much more.
Can nurses be entrepreneurs?
Yes, nurses can definitely become entrepreneurs. There are many options above, such as starting your own lactation consultant business, a night nurse business, becoming a health coach, and more.
Can a nurse have more than one job?
As a nurse, you may be working 3 days a week, which leaves you with 4 days off each week.
This may lead you to wonder – can you work two jobs as a nurse?
Yes, you may be able to work two jobs as long as you can realistically fit them both into your schedule.
As a nurse, though, you are working long hours. So, while you do have more free days than average, you would want to make sure that you are able to manage a good work-life balance.
How to make 6 figures as a nurse?
There are many ways to make over $100,000 each year as a nurse.
To start off – where you live can greatly impact your salary as a nurse, as some areas will pay more.
Other ways to increase your income as a nurse are to get into travel nursing, enter a specialty (such as becoming a certified registered nurse anesthetist or nurse practitioner), work overtime, and of course start a side hustle.
What can a nurse do as a side hustle?
Whether you are looking for a part-time or full-time gig, there are many different side hustles for nurses to fit your schedule so that you can make extra money.
As a nurse, you have skills, training, and expertise that are highly desirable in many different jobs and fields, which can allow you to earn a high income.
There are many different jobs that a nurse can do. Some of the best side jobs may include:
Night nanny / Night nurse
First Aid instructor
Real estate investor
Focus group participant
What do you think are the best side hustles for nurses?
Located in “The Volunteer State,” Memphis is a city in Tennessee with approximately 633,000 residents. It’s is on the Mississippi River and is the second-largest city in the state, next to the capital city of Nashville.
Memphis is full of musical history. Influential soul, blues and rock-n-roll legends like B.B. King, Elvis Presley and Johnny Cash recorded at the famous Sun Studio, commonly called the “birthplace of rock and roll.” You can stroll Beale Street and take in the rich history of Memphis.
In addition to its musical history, Memphis has world-renowned barbecue. In fact, the annual World Championship Barbecue Cooking Contest draws 100,000 visitors alone.
If you’re considering a move to Memphis and want to know a bit more about each of its neighborhoods, we’ve got you covered! We’ve done the research and highlighted the best neighborhoods in Memphis.
15 best neighborhoods in Memphis
Named after its Egyptian sister city on the Nile, Memphis means “established and beautiful” and it’s just that. Here are 15 of the best neighborhoods in Memphis. As you consider each one, keep in mind that all are within the city limits of Memphis, so you’ll get to experience all the culture that this great city has to offer.
Walk Score: 41/100
Looking for a slice of Hollywood but without the traffic? Welcome to Belle Meade, home to part of the set of the Hollywood hit “The Firm.” But don’t worry, the lawyers in this town will let you move if you want to. Only Tom Cruise was unlucky on that front.
This quiet suburban area is a great place for people looking to settle down near the downtown area. With many hiking trails and delicious restaurants, anyone would be happy living in Belle Meade. The neighborhood is very walkable and has an average commute time of 30 minutes to downtown Memphis.
Median 1-BR rent: $795
Median 2-BR rent: $950
Walk Score: 50/100
Founded in 1893 by an Irish immigrant named W.H. Bingham, the neighborhood of Binghampton has evolved immensely through the years. The city and residents of Binghamton have made a dedicated effort to grow the city, as it once was a more isolated part of Memphis.
Nowadays, the city has tree-lined streets, flower beds and art murals on prominent buildings and streets — like Broad Avenue —throughout to make it more appealing. The neighborhood has an annual art walk where street vendors and artists converge to play music, sell artisan crafts and food and mingle with the community. If you live in Binghampton, you definitely don’t want to miss this festive gathering. And if you’re a cyclist, the new two-way bike lane is underway! The neighborhood boasts of a walking score of 50 and an even better biking score of 63.
Source: Rent./Kimbrough Towers
Median 1-BR rent: $930
Median 2-BR rent: $1,210
Walk Score: 69/100
Another historic neighborhood in Memphis is Central Gardens, which was once home to upper-class families who moved during the cotton boom. Due to the historic nature and relevance of the homes in Central Gardens, the area is a historic conservation zone.
While Central Gardens is densely populated, it’s a great option for singles as most of the households in the neighborhood are without children. The commute is nothing to complain about either with commute times averaging about 25 minutes. This area is home to several dining options, too. Residents of this area look forward to the Garden and Home Show every September.
Median 1-BR rent: $695
Median 2-BR rent: $725
Walk Score: 33/100
Nestled on the north side of Memphis, Frayser is by the Wolf River, the Mississippi River and the Lossahatchie River. In the neighborhood alone, there are 10 parks you can frequent. Try Davy Crockett Park State Park, where you can camp, explore or visit a historic museum. This is a great neighborhood for those looking to bike, hike, dog walk and generally enjoy the outdoors.
Frayser gets its name from a prominent Memphis physician named Dr. J Frayser who summered at a home near the railroad, which is to the east of the neighborhood. While Dr. Frayser could afford a summer home here, don’t let that fool you on the cost of the rent.
Walk Score: 41/100
Harbor Town is known to its residents as a little oasis located just outside of downtown Memphis. This premiere neighborhood and urbanist town sits atop a large 132-acre sand bar known as Mud Island.
While Harbor Town is known as a more upscale area, it’s also very affordable for young professionals looking to settle down near the city center. The town itself is very walkable and easy to navigate as it feels more like a mini-city. Take a walk down the main strip and you’ll pass by everything you need from a quaint grocery store to unique boutiques.
Harbor Town is home to the iconic Paulette’s where you can stop in for a one-of-a-kind Sunday brunch.
Median 1-BR rent: $1,200
Walk Score: 48/100
The High Point Terrace neighborhood is in the eastern part of Memphis. It’s close to Downtown so residents can enjoy the perks of Memphis but it also has a suburban feel. High Point Terrace is on the federal government’s list — the National Register of Historic Places. The architecture, buildings and overall neighborhood were deemed important to preserve due to its history in greater Memphis. One memorable claim-to-fame is the famous playwright, Tennessee Williams, who wrote his infamous play-turned-movie “Period of Adjustment” in the neighborhood of High Point Terrace itself.
This neighborhood tends to have younger residents, with 40 percent of residents under the age of 45. If you’re looking to plant roots and start a family, this is a great neighborhood to consider. Full of shops, grocery stores, coffee shops and bars, High Point Terrace is a small community where you’ll be surrounded by kind, hard-working Tennesseeans.
Source: Rent./Love Tunica
Walk Score: 37/100
Another great area to live in on the north side of Memphis is Hyde Park. The main focal point of this neighborhood is Hollywood and Chelsea Streets. Here, you’ll find unique shops and yummy restaurants. Some of the top-rated restaurants are The Second Line and The Hollywood Fish Market. If you live in the south, you need to try their famous catfish and you can do just that at these two high-rated restaurants.
This community is highly engaged and you’ll find your neighbors strolling the local parks or meeting at the Shasta Central community center. If you’re looking for a neighborhood near Memphis itself but with a close-knit neighborhood feel, give Hyde Park a try.
Median 1-BR rent: $660
Median 2-BR rent: $795
Walk Score: 58/100
Known as a college neighborhood, Normal Station is home to part of the University of Memphis. Due to its close proximity to the university, this neighborhood is mainly composed of young college students. As you would find in any college town, Normal Station has several student rental homes, fraternities and small rental homes at affordable rates for students.
The neighborhood itself isn’t very walkable, so a lot of the residents bike or drive to get around. If you’re a student looking for a great place to live out your college years check out Normal Station as your next home.
Walk Score: 41/100
Pinch District is a historic area of Memphis located close to the Wolf River. Originally home to Irish, Russian and Jewish immigrants, Pinch District was the first commercial city in Memphis.
During the 1990s, the famous Pyramid Arena was built in hopes of bringing new life into the neighborhood. However, things took a turn when several of its large commercial sites moved locations. Pinch District is currently undergoing a billion-dollar expansion that will surely bring new, exciting business to the neighborhood.
While Pinch District is a quieter neighborhood in Memphis, it still has a lot of charm. There are some great coffee shops that recently opened such as Comeback Coffee or Alcenia’s. The commute from Pinch District to downtown Memphis is on average 15-30 minutes, so residents will likely need a car as the walk score is only 41.
Source: Rent./The Meadows
Median 1-BR rent: $731
Median 2-BR rent: $803
Walk Score: 26/100
Raleigh is a neighborhood in Memphis located on the northeast side of the city. It’s near the Wolf River and Frayser, another one of the best neighborhoods in Memphis.
Raleigh is a neighborhood full of hard-working, kind people. The main economy is retail, however, Nike has a distribution center in this area, too. Stage Road is a popular area in the neighborhood where you can go for a walk, window shop and grab a bite to eat. Locals enjoy good food and shops in this town and a crowd favorite is Moma’s Bar-B-Q or Dindie’s Soul Food.
Walk Score: 58/100
Steeped in folklore, Sherwood Forest is a neighborhood in east Memphis that has roots in the story of Robin Hood. While you probably won’t see Robin Hood’s merry men roaming around, you will see several streets named after the story like Robin Hood Lane, Maid Marion Lane and Little John Road.
Sherwood Forest neighborhood is known as a family-friendly suburb with good schools for children to attend. The neighborhood is about a mile away from the University of Memphis, so you’ll have a good blend of college-aged students and recent grads living here. The area has a nice blend of shops and bars plus a wonderful park to get in touch with nature. Sherwood Forest Park has trails, tennis courts, a golf course and even a botanical garden.
Median 1-BR rent: $1,579
Median 2-BR rent: $1,679
Walk Score: 19/100
Southwind is a neighborhood in Memphis on the southeast side of the city. This is an affluent neighborhood with several residents having bachelor’s degrees. The schools are highly recommended and it’s a good place for families.
If you like golf, this is a great neighborhood because the Southwind Golf Course is on the PGA tour and is a World Championship Golf Course. Other outdoor activities include walks, hikes and strolling around local parks.
Source: Rent./The Helix at the District
Median 1-BR rent: $880
Median 2-BR rent: $1,021
Walk Score: 72/100
Feel like stepping back in time? The Victorian Village neighborhood is the place for you. Once known as Millionaires Row, Victorian Village is a town rich with history due to its many homes built in the late 1800s. While the neighborhood is still home to these impressive homes, the suburban area is a great place for all types of people.
Victorian Village is home to many must-see museums such as the Woodruff-Fountaine House Museum. If you’re looking for a historic and walkable neighborhood in Memphis, then renting an apartment in Victorian Village is a great choice.
Median 1-BR rent: $904
Median 2-BR rent: $1,012
Walk Score: 41
Voillintine-Evergreen is close to downtown Memphis. One of the prominent features of this neighborhood is the layout of ranch-style 78 buildings surrounding the old synagogue. It’s part of the National Register of Historic Places, in fact.
People living in Voillintine-Evergreen like their history and fight to preserve it and its aesthetic. The residents are usually retired or empty-nesters, so it’s a great place for people looking for a more quiet lifestyle. That being said, you’ll still find plenty to do whether that’s eating at local eateries, sipping freshly brewed coffee or walking throughout one of the neighborhood parks.
Median 1-BR rent: $599
Median 2-BR rent: $835
Walk Score: 30/100
You can’t help falling in love with this neighborhood. Whitehaven is most famous for “Graceland.” More than a half-million people come to visit Elvis Presley’s home-turned-museum each year and pay their respects to the rock-n-roll legend.
While this landmark is cool for music lovers, residents of Whitehaven enjoy the suburban feel and parks like T.O. Suburban State Park. This neighborhood tends to attract empty-nesters, so it’s quieter compared to neighborhoods full of families.
Find the best Memphis neighborhood for you
Whether you choose a neighborhood in the heart of Memphis or elsewhere you can rest assured that you’ll find great people and apartments in any of the best neighborhoods in Memphis. Memphis is a city full of apartments for pet lovers, park lovers, nightlife lovers or even coffee lovers.
The rent information included in this article is based on a median calculation of multifamily rental property inventory on Apartment Guide and Rent. as of November 2021 and is for illustrative purposes only. This information does not constitute a pricing guarantee or financial advice related to the rental market.
Looking to build wealth with the best income-generating assets? As you set out on the path to financial freedom, understanding the different types of income-generating assets can truly change your life. This is because you can invest in assets that will generate you income, earning you more passive income. Today’s article will introduce you to…
Looking to build wealth with the best income-generating assets?
As you set out on the path to financial freedom, understanding the different types of income-generating assets can truly change your life.
This is because you can invest in assets that will generate you income, earning you more passive income.
Today’s article will introduce you to a range of assets that reliably bring in cash, giving you peace of mind and the freedom to live life on your own terms.
From traditional investments like stocks and bonds to more creative options like peer-to-peer lending or real estate, income-generating assets give you the power to diversify your portfolio and build wealth over time.
What are income generating assets?
Before we begin, I want to talk about the basics on income-generating assets, in case you are new to the subject or if you want a background first.
Income-generating assets are investments that, as the name suggests, generate income for you. These are assets that provide you with a steady cash flow, allowing you to earn passive income and build your wealth over time.
Examples include rental real estate and dividend-paying stocks (we will go over 17 different types of income-generating assets below in more detail).
There are several benefits of the best income-generating assets such as:
Passive income: You earn money without actively working, and this can provide financial freedom and the ability to focus on other things in life. You can earn money in your sleep, while on vacation, making dinner, and more.
Diversification: You can diversify your investments so that all of your income is not coming from just one source.
Wealth building: Earning income and generating a steady cash flow can help you build your wealth over time.
Note: Please keep in mind that there is no one-size-fits-all approach when investing in any of these income-producing assets. Everyone is different and while one asset may work great for someone, it may not be the right asset for you. I recommend doing as much research as you can if you are interested in one of the asset investments I talk about below.
Types Of Income Generating Assets
There are many types of income-generating assets. Some may be more traditional such as dividend-paying stocks, and others may be more alternative income-generating assets, such as selling stock photos, and even renting out your driveway.
Today, I will talk about 17 different types of income-generating assets, but this is not a full list of the best income-producing assets. There are many, many more!
The different types of income-generating assets that I will talk about today include:
1. Dividend-paying stocks
One of the best assets to invest in are dividend-paying stocks.
Dividends are simply a payment in cash or stock that public companies distribute to their shareholders.
The amount of a dividend is determined by a company’s board of directors, and they are given as a way to reward those who have stock in their company. Both private and public companies pay dividends, but not all companies pay dividends.
How do dividends work? If you own shares of a dividend-paying stock, then a dividend is paid per share of that stock. So, if you have 10 shares in Company ABC, and they pay $5 in cash dividends each year, then you will get $50 in dividends that year. While dividends can be paid on a monthly, quarterly, or yearly basis, they are most commonly paid out quarterly — so, four times a year. In this example, the $5 in cash dividends the company pays each year will most likely be distributed as $1.25 per quarter for each share of stock.
The most common type of dividends are cash dividends. Shareholders may choose to get this deposited right into their brokerage account. Stock dividends are another common type of dividend. In this case, shareholders get extra shares of stock instead of cash.
Both cash dividends and stock dividends are great income-generating assets that will earn more money for you.
As a shareholder, you can earn income when companies distribute profits to their shareholders. Look for stocks with a history of consistent dividend payouts and a high dividend yield. Keep in mind that dividend stocks are still subject to market fluctuations, and just because a company has paid a dividend in the past does not mean that they always will in the future.
2. High-yield savings accounts and CDs
High-yield savings accounts and CDs are a great way to grow your savings, but most people have their money in accounts with low rates. Unfortunately, that means many of you are losing out on some easy money.
Savings accounts at brick-and-mortar banks are known for having really low interest rates. That’s because they have a much higher overhead — paying for the building, paying the tellers to help you in person at the bank, etc.
High-yield savings accounts offer an easy option for earning interest on your cash. Online banks often offer higher interest rates than traditional banks. As of the writing of this blog post, you can easily find high-yield savings accounts that can earn you above 4.00%.
Certificates of Deposit (CDs), another form of income-generating assets, are FDIC insured and provide a guaranteed interest rate over a specific term. Remember that access to your money is limited during the term of the CD. You will agree upon the term before putting your money in the CD. The terms typically vary in length from around 3 months to 5 years.
Money market accounts are also offered by banks and often with a higher yield than other types of savings accounts.
3. Real estate
Real estate is one of the most common income-generating assets that people think of.
Investing in rental properties is a popular way to generate steady cash flow. You can earn rental income from tenants, and properties typically appreciate in value over time.
Location and property management are important factors that can impact your return on investment.
By investing in real estate, you may be investing in residential properties, commercial real estate, short-term rentals, REITs, and more.
Recommended reading: How This Woman In Her 30s Owns 7 Rental Homes
4. Real estate investment trusts (REITs)
An REIT is a company that owns and manages income-producing real estate. They then sell shares to investors like stock.
By investing in REITs, you can make money in the real estate market without actually owning real estate.
So, if you don’t want to be a landlord, then this may be something for you to look into. This makes it much more passive than actually owning real estate and having to manage it.
You can even diversify your income stream with REITs by investing in different property types, such as residential homes, commercial office space, industrial, and retail store properties.
Bonds are fixed-income investments that are issued by governments and companies. If you own a bond, you receive interest payments from borrowers on a regular basis.
An easy way to explain this is: When you buy a bond, you are giving someone a loan and they are agreeing to pay you back with interest.
Bonds with higher credit ratings are generally a safer investment but may offer lower interest rates.
6. Mutual funds
Mutual funds gather funds from investors to invest in stocks, bonds, or other securities. Basically, the funds are pooled together and there’s a fund manager who chooses the best investments.
Income-generating assets like this have multiple types of mutual funds available for multiple types of investors. Some of these fund types include bond funds, stock funds, balanced funds, and index funds.
Mutual funds typically have higher fees because they have fund managers who are actively trying to beat the market.
With a mutual fund, you get diversification because the fund manager mixes the assets in it.
7. Index funds and exchange-traded funds (ETFs)
ETFs and index funds are popular options for those who are looking to diversify their portfolio of income-generating assets.
This is because index funds and ETFs track a specific market index and invest in a wide range of stocks or other assets, instead of picking and choosing stocks in an attempt to beat the market. This is what makes them different from mutual funds.
They often have lower fees and higher diversification compared to actively managed funds.
Annuities are long-term investments offered by insurance companies that give you a guaranteed income stream to build wealth. In exchange for a lump-sum payment or periodic contributions (such as monthly or annually), you’ll receive steady payments in the future.
The way it works is you pay premiums into the annuity for a set amount of time. Later, you stop paying premiums, and the annuity starts sending regular payments to you. Some are even set up to pay you back with a lump sum.
Annuities can be fixed or variable. A fixed annuity offers a guaranteed payment amount — which means a predictable income for you. As for a variable annuity, the payment amount does vary, depending on how the market is doing.
9. Websites and blogs
Starting a website can generate income through the money-making assets of advertising, affiliate marketing, or the sale of products and services.
Since I started Making Sense of Cents, I have earned over $5,000,000 from my blog through affiliate marketing, sponsored partnerships, display advertising, and online courses. These income-generating assets make sense for building wealth.
Blogging allows me to travel as much as I want, have a flexible schedule — and I earn a great income doing it.
Now, it’s not entirely passive, but I do earn semi-passive income from my blog.
You can learn how to start a blog in my How To Start a Blog FREE Course.
Here’s a quick outline of what you will learn:
Day 1: Why you should start a blog
Day 2: How to decide what to write about (your blog niche!)
Day 3: How to create your blog (in this lesson, you will learn how to start a blog on WordPress)
Day 4: The different ways to make money with your blog
Day 5: My advice for making passive income with your blog
Day 6: How to get pageviews
Day 7: Other blogging tips to help you see success
Recommended reading: The 25 Most-Asked Blogging Questions To Get You Started Today
10. Royalties and intellectual property
Intellectual property, such as patents, copyrights, and trademarks, can generate income through licensing fees or royalties. This particular option is good for creative professionals, such as authors, musicians, and inventors, who are looking for income-generating assets.
Royalties are a way to earn income from your creative work or intellectual property. By granting others permission to use or distribute your intellectual property, you can receive ongoing payments known as royalties.
Whether you’re a musician, author, inventor, or artist, royalties offer a passive income stream as your creations continue to generate revenue over time.
Royalties can be paid out periodically or as a lump sum on these passive income assets, depending on your agreement with the licensee.
11. Stock photos
If you have a talent for photography, you can monetize your skills by selling stock photos on platforms such as Shutterstock or Adobe Stock. The more high-quality images you upload, the more potential passive income you can generate.
With stock photography, you simply upload photos that you have taken to a platform such as DepositPhotos, turning your pictures into income-generating assets. Then, you will receive a commission whenever someone buys one of your stock photos.
Stock photos are used for all sorts of reasons by websites, companies, blogs, and more. Businesses need stock photos because they are not usually in the business of taking photos of everything that they need. Instead, they can use stock photos to make their content, website, or business more visually appealing.
Some examples of stock photography include pictures of:
Travel, vacations, landmarks, outdoor adventures
Family members, such as parents, children, family gatherings
Food and drink
Cars, boats, RVs
Businesses, pictures of people in meetings, in an office.
Sports, professional events
Animals, such as household pets or wildlife
The photo possibilities are almost endless for this type of income-generating asset.
Recommended reading: 18 Ways You Can Get Paid To Take Pictures
12. Crowdfunding and peer-to-peer lending
Crowdfunding platforms enable you to invest in real estate deals with a smaller amount of money than buying real estate up front, giving you a passive income through rental income or even a property increasing in value.
Peer-to-peer lending platforms allow you to lend money directly to borrowers. Typically you can earn higher returns than traditional savings accounts, though there’s always the risk of a borrower not paying you back.
Both of these types of assets — crowdfunding and peer-to-peer lending — use technology to connect investors with those looking for funding.
13. Renting out storage space
If you own unused land or unused space in your home, renting it out for storage can be a simple way to generate passive income.
You can offer storage solutions for vehicles or boats. If you have a smaller space, then offer it to store personal belongings. You can rent out your driveway, closet, basement, attic, and more. You can even rent out a shelf.
A website where you can list your storage space is Neighbor. You can earn $100 to $400+ each month on this platform. This depends on the demand in your area and the type of income-generating assets you are renting out. And, you can choose who, what, and when — who to rent to, what things are stored, and when it will happen.
You can learn more at Neighbor Review: Make Money Renting Your Storage Space.
14. Short-term rentals
Short-term rentals can be a lucrative income-generating asset if you own properties in popular tourist destinations or business hubs.
Websites like Airbnb provide a platform to rent out your property to travelers for short periods, potentially generating higher returns than traditional long-term leases.
Furnished Finder is another website for short-term rentals. This is a way to connect with travel nurses in need of short-term housing.
Keep in mind that rental income can be affected by local regulations, potential vacancies, or seasonal fluctuations.
15. Car rentals
Car rental platforms like Turo allow you to rent out your car when you’re not using it. Assets that generate cash flow include your own wheels, and that means no significant initial investment besides the cost of the car you already own.
Be mindful of risks such as wear and tear, insurance, and potential damage caused by renters.
It’s an affordable alternative to traditional rental car companies for customers, and it’s a good way to make money if you’re already working from home and don’t need your car, or are a two-car household.
Turo is one of a few different places to rent out your car, turning your vehicle into one of your income-generating assets. Your car is covered by Turo with up to a $1 million insurance policy. You can also pick the dates for when your car is available and set your rates.
Turo says you can earn an average of $706 per month by listing your car on their site.
16. RV rentals
Similarly to car rentals, RV rentals can provide additional income by renting out your recreational vehicle when you’re not using it. Your RV could easily become one of your income-generating assets.
You may be able to earn $100 to $300 a day, or even more, by renting out your RV on RVShare.
If you have an RV that is just sitting there and not being used, then you may be able to earn an income with it by renting it out to others who are interested in RVing. Cash flow-generating assets like RVs are a win-win for both you and the renter who wants to experience life in a recreational vehicle.
You can learn more at How To Make Extra Money By Renting Out Your RV.
17. Vending machines
With a vending machine business, you can generate income by selling a variety of products, from food to fishing supplies, beauty products to baby items, and more.
You may be able to earn $1,000+ a month by running a vending machine business. That’s enough reason to take a closer look at income-producing assets like this.
You can learn more at How To Start A Vending Machine Business – How I Make $7,000 Monthly.
Questions about income generating assets
Here are common questions that you may have about income-generating assets:
How do I start passive income from nothing?
Starting passive income from nothing requires creativity and resourcefulness. You can begin by identifying skills you possess or interests that can be turned into income-generating opportunities.
What are the assets that generate income?
The assets I talked about above include:
Dividend-paying stocks and stock market investing
High-yield savings accounts and CDs
Index funds and exchange-traded funds
Websites and online businesses
Royalties and intellectual property
Crowdfunding and peer-to-peer lending
Renting out your storage space
How do I start buying income generating assets?
There are traditional investments or more creative options. Do as much research as you can before deciding which option fits you best.
What are good assets to buy?
After deciding if you want to purchase traditional investments or more creative options, choose an asset that you can afford and best fits your lifestyle.
What are the best assets to buy for beginners?
For beginners seeking income-generating assets, you may want to look into:
Dividend-paying stocks for your investment portfolio
Crowdfunded real estate investing: Platforms like Fundrise allow smaller investments with lower risk exposure.
ETFs and index funds: They provide diversification and passive income through dividends.
What is income generating real estate?
Income-generating real estate refers to properties that produce regular rental income, such as apartments, commercial properties, or short-term vacation rentals.
How do I start passive income in real estate?
There are a few ways that you can earn passive income from real estate, including:
Buying a property, such as an apartment building or duplex, and renting it out to tenants
Using real estate crowdfunding platforms
Investing in REITs
How to make passive income with real estate without owning property?
You don’t need to actually own property in order to make money with real estate. Instead, you can earn passive income from real estate by investing in REITs and using real estate crowdfunding platforms.
This is an option for those who want to be diversified with their income-generating assets but don’t want to spend all of their money or time on a single piece of real estate.
How to make $1,000 a day in passive income?
Making $1,000 a day in passive income with assets that produce income will not be easy. If it were easy, then everyone would be doing it, after all.
Making $1,000 a day in passive income may require a large amount of money up front, diversifying into different assets mentioned above, and lots of patience from you because it will take time to make that kind of money.
You may want to start off by focusing on building multiple income streams and reinvesting your profits as you earn them.
What to think about before investing in income producing assets?
There are many different things to think about when it comes to income-generating assets. You want to find the best assets to invest your money in that will also be the best fit for you.
Remember, as I said at the beginning of this article, not everything will be applicable to everyone. Everyone is different! You may prefer to create a stock photo portfolio and hate real estate, whereas someone else may really enjoy being a real estate investor — or it may even be the other way around.
Here are some of my tips if you are interested in income-generating assets:
Do your research and talk to experts —I recommend researching as much as you can on the asset you are interested in. And, if you still have questions, don’t be afraid to talk to an expert.
Diversify — One of the important parts of building a successful income-generating portfolio is finding ways to be diversified.
Think about the risks —When making money, there’s usually some sort of risk. I recommend evaluating the risks and seeing what you are comfortable with.
What are the best books on income generating assets?
Some highly recommended books on income-generating assets include:
The Simple Path to Wealth by JL Collins
The Millionaire Real Estate Investor by Gary Keller
The Little Book of Common Sense Investing by John C. Bogle
Income Generating Assets — Summary
I hope you enjoyed this article on the best income-generating assets. As you learned, there are many different types of assets that you can invest in so that you can earn an income.
The best income-producing assets, if they’re right for you, can truly change your life.
With these assets, you can build wealth through a reliable passive income, giving you peace of mind and freedom to live life on your own terms.
Are you looking to build income-generating assets? What are your favorite ways?
It’s important to understand your rights as a renter.
The landlord-tenant relationship is complex. Each party’s responsibilities can vary by city, state and lease agreement. But federal, local and state laws secure renters’ rights.
The first step in exercising your tenants’ rights is to understand what those rights (and the laws that protect them) actually are. The second is to learn how to take action if someone violates your rights.
In this guide:
The right to fair housing
The Fair Housing Act of 1968 makes it illegal for landlords to discriminate based on race, sex, age, religion, nationality, family status or mental or physical disability. The Fair Housing Act applies to most rental units. There are exceptions for small rental properties, private clubs and religious organizations.
The law protects current renters and prospective tenants from discrimination for any of the reasons listed above. This discrimination can take many forms.
Federal Fair Housing Act protections
Sex, race, family status, age, religion, disability or national origin are examples of protected classes under the FHA. Landlords can’t refuse to rent to or negotiate with someone because of their protected status. They can’t set different terms or conditions, ask a renter to move out or force them to pay different fees or higher rent.
It’s against the law to state that only renters with particular physical and mental abilities or familial status can rent an apartment. The same goes for people of a certain age, race, sex or nationality. This applies to verbal statements and advertising, too. It’s also illegal for landlords to harass, intimidate, bribe or interfere with a renter’s right to equitable accommodation.
Definition of familial status
A landlord can’t refuse to rent to families with kids under 18 or discriminate against people seeking custody of children under 18. Landlords can’t deny legal guardians or pregnant women a home unless there’s a legal reason to do so.
Definition of sex
It’s against the law to only rent to men or women. Landlords also can’t discriminate because of a renter’s sexual orientation or gender identity. The U.S. Department of Housing and Urban Development (HUD) offers resources, especially for LGBTQ+ renters.
Other protected classes
Certain state laws extend additional protections. Some make it illegal to discriminate because a renter receives alimony, child support or public assistance. Others ban discrimination based on physical characteristics like tattoos and piercings.
Search by state to learn about the laws in your area. If someone violates your rights, contact an organization on this list, reach out to an attorney or law firm or file a claim with HUD.
Rights for disabled tenants
The FHA and the Americans with Disabilities Act (ADA) protect renters with physical and mental disabilities. Under these laws, landlords must provide safe and accessible rental homes to residents with disabilities.
The ADA requires that common spaces are accessible. The FHA requires that most apartments, rental homes and condos built after March 13, 1991, include wheelchair-accessible doors, hallways and living spaces. Homes built before that date must have grab rails, accessible outlets and light switches, TTY phone systems, visual alarms and other accessible features put in place. Learn more about your rights in our accessible apartment guide.
If a landlord won’t rent to you or refuses to make reasonable accommodations so you can live in your home, you could file a complaint. Contact a Fair Housing Assistance Program (FHAP) or file a claim with HUD. Hiring an attorney with experience in discrimination claims can increase your chance of success.
The right to a habitable home
You have the right to a habitable home. That means the home you rent is a clean, safe space with access to heat and water. It’s structurally sound and free from pests.
A habitable home isn’t a threat to your physical health. A landlord must provide working safety measures like fire extinguishers, carbon monoxide and smoke detectors and fire alarms in your apartment. Most states require landlords to tell renters about environmental hazards like asbestos or mold before signing a lease.
The Environmental Protection Agency (EPA) and HUD also require landlords to tell prospective renters about lead paint in buildings built before 1978. Both parties must acknowledge the presence of lead paint in writing before the tenants move in. Landlords aren’t obligated to remove lead-based paint, just acknowledge it.
In most other cases, the landlord or property management team is responsible for removing toxins and making the rental home safe to live in. This doesn’t apply to damage caused by the current tenant.
Tenant rights include access to timely repairs and maintenance. A landlord will often include a timeframe for completing repairs. The lease may provide additional details about timing.
The right to privacy and notice for landlord visits
This is one of the most common landlord-tenant issues. Thankfully, renters’ rights are quite clear on the subject.
A landlord or property owner might own your apartment, but they can’t just barge in whenever they want. Landlords can only enter under certain circumstances. These include making or assessing repairs and showing rental units to insurance or mortgage professionals and prospective renters.
Landlords don’t need permission to enter during emergency situations like a fire or natural disaster. They can also come in if they think a tenant abandoned an apartment.
Most states require a landlord to give advance notice before entering an apartment, usually 24-48 hours. Rental agreements may provide more details.
Tenants have the right to request another date or time for a landlord’s visit. But they can’t deny them access if they have a valid reason to enter.
The right to fair credit reporting
The Fair Credit Reporting Act of 1970 gives renters the right to know what’s in their credit reports. If a property manager or landlord rejects your application, they have to disclose where they got the information. They also have to tell you how to contact the issuer. You just need to request this information from your landlord in writing.
This protects tenant rights because landlords have to provide evidence of bad credit. They can’t just deny your application for no reason. It can also catch clerical errors and alert you to possible identity theft.
Rights regarding notice of evictions
Evictions are one of the most difficult landlord-tenant issues. Landlords can legally evict a tenant for several reasons. These include nonpayment of rent, violating the terms of the rental agreement, significant property damage and failing to move out after a lease ends. The eviction process and eviction laws vary from state to state.
A landlord must follow the law in their state. Renters have the right to receive an eviction notice that details the reason for eviction. It must also provide a time frame for the eviction process. Residents should respond in writing and offer a solution that resolves the problem, if possible. (Eviction resources are available.) Once an eviction goes to court, the process is more difficult to stop.
If landlord-tenant communication breaks down and the issue isn’t resolved, the case goes to eviction court. If bad landlords try to evict tenants without an eviction court order, renters can get damages. Contact a lawyer or law firm immediately.
An eviction can damage your credit and make it hard to find a home in a safe location. Hiring a lawyer can help.
“Nationwide, only 10 percent of tenants are able to secure representation in eviction cases, compared to 90 percent of landlords,” Emily Benfer of the Princeton University Eviction Lab explains. “Where tenants are not represented, the vast majority lose their case.”
The right to recover a security deposit
Renters also have the right to have their security deposit returned at the end of a lease. Many rental agreements require security deposits to fix damage caused by residents or a pet. Security deposits are also used to cover incomplete rent payments.
Landlords can use a security deposit to fix the damaged rental unit or to pay off unpaid rent. But they need to provide the renter with an itemized list of expenses for which the landlord used the security deposit. They also need to return the unused portion of the security deposit to the tenant.
A renter should know local laws since some states limit how you can use security deposits and how large they are. Certain security deposits (like pet security deposits) aren’t refundable. Check your lease for the details.
The right to quiet enjoyment
Residents have the right to quiet enjoyment, called “Covenant of Quiet Enjoyment” in a lease. It guarantees residents the right to enjoy their rental property without “substantial interference” from a landlord.
If a landlord starts hammering nails in the middle of the night or fails to enforce quiet hours or no-smoking rules, they could be in violation. Refusing to repair a rental unit until it becomes uninhabitable, revving engines or throwing loud parties would be a violation, too.
A renter who can prove their landlord acted in bad faith could earn monetary damages or a full or partial rent refund. A lawyer who specializes in landlord-tenant issues will be an important ally.
Protect your rights
Now that you’ve reviewed your rights, you understand the protections provided by the law and your lease. If you’re a victim of discrimination or another legal issue, there’s more work ahead.
You may need to report a renters’ rights violation or file a landlord-tenant dispute. You might need to file a claim, challenge an eviction or take legal action.
Read the rental agreement
If you’re not sure if your landlord has violated your tenants’ rights, re-read your lease carefully. It can provide evidence to support your case or clarify a legal issue.
In a perfect world, you received a copy of your lease when you signed it. Some states must provide a copy of your lease agreement after you move in and after every annual renewal.
Otherwise, you can request a copy of your rental agreement from your landlord or management company in writing. That’s a good habit to get into for all landlord-tenant communications.
Get everything in writing when documenting a legal issue. You need clear evidence and an organized system for keeping track of all the details.
“Documentation is important, whether you’re talking to a lawyer, going through the court system or going through a housing discrimination case,” says Kelly Gorz, Associate Director of High Plains Fair Housing Center in Grand Forks, North Dakota.
“Keep track of any kind of communication you have with your landlord — any emails, texts, receipts. Keep a notebook. If you talk to them in person, write down the date, what you asked for and what they said. Take pictures at move-in and walk-out. Take videos. Definitely don’t pay in cash. Make sure you have some kind of record of payment, whether that’s a check or certified mail.”
Study tenant rights in your state
Legal protections for renters vary widely by state and territory. They can even vary from city to city, so research the laws in your location thoroughly.
“Contact local fair housing offices and your city planning and development offices, too,” suggests Gorz. “They are very connected to their local community resources.”
Renters in HUD housing can call 1-800-MULTI-70 (1-800-685-8470). Assistance is available in English and Spanish. HUD also details tenant rights organizations and services by state and territory.
Some state attorney general websites also have information for renters. Enter your state to learn if yours is one of them.
Report discrimination to a partner agency
Reporting discrimination can feel overwhelming. Filing a claim with a community organization that specializes in FHA issues can make the process feel more manageable.
A renter can usually work directly with an organization in its own state. Staff members serve as advocates for renters who are filing an FHA claim, facing an eviction notice or dealing with another legal issue. Some can provide a lawyer or other legal services, while others provide free education and outreach.
Report FHA violations to HUD on the phone
Renters can also report housing discrimination complaints directly to HUD by calling 1-800-669-9777. The TTY is 1-800-927-9275. It’s always free to call.
Provide your name and address, as well as the name and address of the person who discriminated against you. Include the date the violation occurred, the address of the rental property and a brief description of the incident.
If HUD finds evidence of discrimination against a renter and the case goes to court, HUD will provide a lawyer for free. A renter can also retain their own attorney.
Report discrimination to HUD in writing
Tenants can also provide these details in writing. File an online complaint in Spanish or English on the HUD website.
Or, download this form and mail or email it to the closest regional office. The form is also available in Arabic, Spanish, Chinese, Korean, Russian, Somali, Cambodian and Vietnamese.
Retain an attorney
If you’ve been a victim of discrimination, you’ll need a lawyer that specializes in discrimination cases. If you’re challenging an eviction or you’re in the middle of a landlord-tenant dispute, select an experienced landlord-tenant attorney.
Free legal help is also available. Search by state to find a pro bono attorney or law firm in your area.
Challenge unmade repairs
If a landlord doesn’t make necessary repairs or the apartment is uninhabitable, renters have options. First, submit a request for repairs in writing and document any response.
Next, check your city and state’s maintenance laws. Information is often available at the local housing or building authority office. The health departments or fire stations might also provide help.
If the problem violates building or health codes or the apartment isn’t safe to live in, contact local authorities. Inspectors may order the landlord to fix the problem.
Knowledge is power
Every renter should know and understand their rights. That’s the first step to preserving them. And if your landlord violates your rights are violated, take the necessary steps to resolve the issues so you can enjoy a safe and happy home.
DuBois native Emily Kelley’s passion for “making a house a home” has been recognized by a national publication. A spread on her kitchen and dining room is featured in the September 2023 issue of Country Sampler magazine.
Kelley, who currently resides in Pittsburgh, graduated from DuBois Area High School in 2000 before leaving the area to finish college. She moved to Pittsburgh in 2009 after her husband, Ryan Kelley, finished his tours in the U.S. military.
After working mainly for nonprofit organizations doing social work, Kelley transitioned to being a stay-at-home mom in 2014, where she currently homeschools her children.
Country Sampler, “a resource for any country decorator,” features country-lifestyle articles, as well as a catalog of decorating products that “provide all the tips and tools you need to make your house a country home,” according to its website. The publication takes viewers inside the homes of country enthusiasts, featuring “room by room home tours,” home decorating tips and authentic and unique styling ideas.
Kelley has always loved to decorate their rental homes over the years, she said.
“When my husband and I bought our home in 2012, I could really make things ours,” she said.
Around four years ago, Kelley says she restyled their home, transitioning from a more “boho-style” to “farmhouse, leaning towards a vintage/antique” theme.
She began posting photos of her home decor work on Instagram, and was contacted by photographers with Country Sampler magazine in September 2022.
In October of last year, Country Sampler did a photo shoot at the Kelleys’ home of her fall decor. The photos feature a rustic, farmhouse-style atmosphere, with various items in autumn colors and accents.
For Kelley, decorating their home has been somewhat of a blank canvas she could make all her own.
“I absolutely love making our home a cozy space,” she said.
She also enjoys the thrill of “junk hunting,” and finding pieces to repurpose, then “styling different spots for different seasons.”
“I’ve always loved art and being creative. Our home has just turned into my canvas to create with.”
The issue featuring the Kelleys’ kitchen and dining room hit the newsstands July 25. Seeing her work in a national publication, she said, feels like a dream.
“I obviously love looking through decor-related magazines,” she said. “Never in a million years would I have expected to see our home featured. It’s an honor to have had them recognize my style and share (it) nationally.”
Visit www.countrysampler.com for more on Country Sampler.
People, on average, take about a year to decide whether or not to buy or sell a home. But when it comes to selecting a real estate agent, many people decide in just one day. That’s why agents need flawless follow-up and fine-tuned scripts in order to convert contacts into clients at a high level. On today’s show, Caleb Spears shares the systems and scripts that have brought him his biggest successes with sellers. Caleb also discusses the benefits of starting as a buyer’s agent, offers his predictions on where the market is headed, and more.
Listen to today’s show and learn:
About Destin, Florida and its exponential growth [4:57]
Caleb’s start in real estate [6:36]
Graduating college at age 19 [8:43]
Caleb’s first year and first deal in real estate [13:30]
What Caleb wishes he knew as a new real estate agent [20:15]
Where Caleb gets business today [26:10]
How to bring value when making cold calls [27:20]
Caleb’s favorite real estate script [29:17]
Caleb’s real estate market predictions [36:22]
What drives Caleb and excites him about Real Estate Rockstars [43:08]
Where to follow and find more from Caleb Spears [45:20]
When Caleb Spears was offered a job at Scenic Sotheby’s International Realty, he said what convinced him of this career path for his life was the ability to make a positive and noticeable impact on the lives of the people he’d serve. By the age of 24, Caleb ranked among the top 1% of agents by sales volume while serving on the top-producing team on the Emerald Coast, expertly guiding clients through the largest financial transactions of their lifetime and helping them to achieve their goals and dreams along the way.
An Emerald Coast native, Caleb earned a bachelor’s degree with a minor in entrepreneurship from Florida State University at the age of 20 and had an associate’s degree before he’d even finished high school. The hard work and diligence those achievements required translate well in his daily business.
On a daily basis, he makes time for prospecting for his buyers and sellers, both locally and throughout the Sotheby’s International Realty network. He specializes in high-end luxury properties including new construction and income-producing properties for his investment-minded clients.
One particular story he cherishes from his real estate career is helping a retired surgeon and military officer purchase a gulf-front home where he could share memories with his parents and adult children. Years later, that client still touches base with gratitude for the impact Caleb has had on their lives.
Caleb conducts his business with integrity and is results-oriented. To date, he has accrued more than $100 million in career sales and has personally developed multiple properties in the market including rental homes.
When he’s not working, Caleb serves in his church and at various local charity events. He enjoys playing basketball, working out and going to Colorado to snowboard. He and his wife, Madeline, enjoy spending time with their son, Liam. They frequently watch Disney movies in other languages to practice their comprehension skills. He also sings, plays guitar and is a jiu-jitsu enthusiast.
Related Links and Resources:
Thank You Rockstars! It might go without saying, but I’m going to say it anyway: We really value listeners like you. We’re constantly working to improve the show, so why not leave us a review? If you love the content and can’t stand the thought of missing the nuggets our Rockstar guests share every week, please subscribe; it’ll get you instant access to our latest episodes and is the best way to support your favorite real estate podcast. Have questions? Suggestions? Want to say hi? Shoot me a message via Twitter, Instagram, Facebook, or Email. -Aaron Amuchastegui
The American dream of homeownership is getting further out of reach for many Hoosiers.
As pandemic-era supply shortages began to return to normal, home prices fell, giving prospective homebuyers hope they could find something affordable. But those hopes were dashed for some who found they could not pay the high mortgage rates, which are currently more than double pandemic lows.
According to Paul Schwinghammer, former president of the Indiana Builders Association, markets will bounce back eventually. But when prices return to “normal,” many will still be unable to afford the investment that sustained previous generations.
“The days of a brand new home at $200,000 are probably very much in our rearview mirror,” Schwinghammer said.
As potential homeowners are pushed into becoming renters due to high mortgage rates, Schwinghammer said the thriving rental market is not the silver bullet to the housing market some think it is.
“That’s not the American dream,” he said.
Homeownership is increasingly expensive
Housing has become more expensive overall in the past several decades.
In 1950, Hoosiers made less — the median household income was $2,827, or about $30,000 in today’s dollars — now the median household income is $61,944. But housing prices have zoomed past that growth.
In 1950, the inflation-adjusted cost of the median home value was around $70,000. Today, the median listing price is $218,000, according to the state housing dashboard. In other words, the cost of housing has tripled, clearly outpacing wage growth in Indiana.
The cause of this gap is hotly debated. Some argue it is due to a decreased supply of housing — in Indiana, 16.8% of existing housing was built prior to 1940, and the percentage of homes built in the 2010s makes up the smallest slice of the housing pie at just 5.3%.
Experts point to the 2008 housing crash as a major factor in the building slowdown. After the crash, the membership of the Indiana Builders Association fell from 7,200 to 3,000, and the industry has been cautious ever since.
While building picked up pace in response to pandemic-driven demand, Indiana still has a 1.04% shortage of housing stock according to FreddieMac — the largest of all surrounding states.
Density, zoning and community opposition
At the most basic level, a housing unit cannot be cheaper than the raw cost to build it. During the pandemic, supply and demand saw timber, copper and other building materials spike in price, which was exacerbated by high labor costs. Schwinghammer argues this raw cost can be further increased by municipal regulations surrounding lot size, materials and aesthetics.
“That’s all well and good, except you’re ruling out homebuyers,” Schwinghammer said.
For affordability advocates, a relatively simple solution is increasing the amount of homes that can be built in an area by reducing lot size. This allows more homes to be built, increasing supply, all at a lower cost to builders, which are hopefully passed onto consumers.
But in practice, housing density is fiercely contested. Examples of density can range from apartment complexes to duplexes, which can be impossible if an area is zoned for single-family use. Other times, things like parking space requirements can thwart density attempts.
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But overwhelmingly, the biggest opposition to denser housing can come from neighbors and community members, whether it’s an apartment complex in Broad Ripple or a controversial zoning change to allow for multifamily housing in certain Bloomington neighborhoods. In fact, a survey of New York developers found that the majority of opposition to developments came from residents.
Ultimately, Indiana joins most of the country in having high rates of single-family detached housing, with the housing type making up 73.1% of all housing in Indiana, according to the state housing dashboard.
A shortage of affordable housing
While housing supply remains low in general, low-income Hoosiers are facing an even bigger gap when it comes to affordable housing supply. According to a Prosperity Indiana report, the state is 120,796 homes short of affordable and available rental homes, which means there are only 39 affordable units available for every 100 low-income renter households. The numbers show Indiana is performing worse than the regional average.
“Indiana is increasingly out of step with its Midwest peers when it comes to affordability and stability,” Andrew Bradley, policy director at Prosperity Indiana, said.
One method of helping low-income renters is Section 8 housing, a federal program that allows income-qualifying individuals to pay subsidized rents. But the program often fails to meet the demand — in Indiana, people are often on waitlists for three to five years before they can get housing, and sometimes the waitlists themselves are closed. There are currently seven waitlists open on the Indiana Housing and Community Development Authority website, spanning only about a third of counties.
With state and federal assistance so hard to find, some municipalities have attempted to fill the gap in affordable housing through local regulations.
In Bloomington, where housing is the most expensive in the state, local officials attempted to implement inclusionary zoning in 2017. Inclusionary zoning is a type of policy that requires developers to include a certain percentage of affordable units in their projects instead of trying to individually negotiate more affordable units through incentives.
That same year, the Indiana General Assembly banned municipalities from doing so, putting a direct halt to the city’s plans. Today, Indiana preempts municipalities from enacting four different types of equitable housing policies. In addition to inclusionary zoning, these include short term rentals, source of income nondiscrimination policies and rent regulation. Indiana is the only state in the country to prohibit all four policies.
Bradley said Indiana’s Housing Task Force is focusing too much on building new homes instead of sharing a focus on strengthening protections for tenants and improving current housing stock. He said this is partly due to a lack of representation of everyday Hoosiers on the task force.
He referenced Senate Bill 202, bipartisan legislation focused on tenant protections that was later stripped down to a study bill, as an example of the priorities of the legislature. The bill did not end up passing the House, and was not selected as a summer study topic.
“Suppliers of new housing have dominated the conversation at the Statehouse,” Bradley said.
Homebuyers suffer from high rates
Although commodity prices have decreased 10% across the board, Schwinghammer said, homebuyers are not seeing true relief due to high mortgage rates, which currently hover around 7%. Although mortgage rates have spiked as high as 16% in previous decades, the current rate is higher than pre-pandemic rates of around 4% and pandemic lows of 3%.
Part of this is due to the Federal Reserve’s sharp hikes in interest rates in order to combat inflation.
Ultimately, Schwinghammer said it would take 33% of the average person’s wage to begin homeownership — resulting in the highest debt to income ratio since 2007. Housing is effectively the least affordable it’s been in nearly two decades, he said.
As potential homebuyers are shut out of the market, builders have turned to the build-for-rent phenomenon sweeping the country in order to keep busy. BFR involves communities of single family rental homes that people can live in without making a purchase, allowing people to avoid interest rates.
Schwinghammer said BFR, which once took up 3% of the market, is now 15%.
As people struggle to afford new homes, pre-existing — and often cheaper — homes are selling less because homeowners don’t want to trade in their lower rates for the current 7% interest rate.
But the market is cyclical by nature, Schwinghammer said, and interest rates will likely be declining in a year.
“The natural ebbs and flows of the market will allow that to happen,” he said.