5 Insider Tips to Maximize Your Passive Income

Dear Money & Crisis Reader,

When Judy Benson was hospitalized with a rare blood disorder in 2008, she had a job… a home… and a mountain of credit card debt.

Her emergency hospital stay lasted just a little over a month. But in that time, her entire life was rocked to its core.

Unfortunately for Judy, her bosses were the type of cutthroat business folk who made no allowances for life-threatening illnesses.

So when she finally had the physical strength to walk out of the hospital doors, she did so without a job.

And that was just the tip of the iceberg.

In that relatively short time, her credit cards had gone to collections, her car had been repossessed, and her home was going into foreclosure

Oh, yeah, and the Great Recession had started.

With thousands of dollars in medical bills and struggling to find work in a crisis economy, Judy was forced to file for bankruptcy halfway through 2009.

Now, you could say Judy had a run of bad luck (and that would certainly be true to an extent).

Her own personal crisis just so happened to coincide with the worst post-World War recession of our time.

But the truth is that anyone with debt and no emergency fund leaves themselves vulnerable to financial disaster.

But what could she have done differently?

We talked last week about techniques for spending less and saving more. But there’s nothing quite like more money to supercharge your financial planning.

You might say that “getting more money is easier said than done.” But in today’s changing economy, there are plenty of strategies for making some extra cash without having to pull a night shift at a second job.

If you have a spare room, one of the best of these strategies is by far Airbnb.

Airbnb is an online marketplace where you can rent out rooms to guests from all over the world.

Rental times can be short term or long term. You set all of the parameters. And you can approve or decline guests based on their past reviews.

Once you’re up and running, it’s mostly a passive income. The actual work on your part is minimized. And it can be rather lucrative… if you know what you’re doing.

You can sign up for Airbnb here and use the insider tips below to maximize your earnings.

Tip #1: Detailed and Honest

When you sign up your room for rent, you’ll be asked to describe the place, the nearby area and the available features.

It’s in your best interest to be as detailed and honest as possible in this description.

Some poetic license might help you snag some extra guests at first. But if the service provided doesn’t match the description, you’re going to get bad reviews.

Your reviews will be posted on your Airbnb for everyone to see. And bad reviews will severely damage your bookings.

Be honest about what you’re offering, warts and all. A room doesn’t have to be the Taj Mahal to make money. Oftentimes budget travelers and backpackers just want a cheap, clean room to rest up.

Tip #2: Review Your Guests Right Away

According to Airbnb, guests are far more likely to post a review of their stay if you review them first. Write your review soon after they leave so the stay is still fresh in their mind.

Tip #3: Be as Accommodating as Possible

As an Airbnb host, you’re not expected to be a hotel. But you’ll definitely earn bonus points for providing a hotel-like experience.

Wi-Fi, clean sheets and fresh towels are an absolute must. And it might be a good idea to pick up a 100-pack of hotel-sized soaps on Amazon for $24.

But if you want to go the extra mile, offering coffee and a light breakfast in the morning will practically guarantee a higher rating. Likewise, free or affordable parking is always a crowd pleaser.

If you’re in an area where you expect to see a lot of business people, an iron and an ironing board or basic laundry service would be an excellent addition.

Tip #4: Professional Photographs

If you’ve ever taken photos of an indoor space, you know that it’s deceptively difficult to get an attractive, accurate photo of a room. In fact, it’s a headache you don’t need. Hire a professional photographer and you won’t regret it. According to Airbnb, rooms with professionally taken photos get more guests on average.

Tip #5: Keep Your Calendar up to Date

You’ll need keep a calendar of your available dates for guests. If you don’t keep this up to date with the room’s availability, you may be forced to cancel a booking. This is all right if it happens every now and again. But if it happens frequently, it will negatively impact your ranking on the site. Keep your calendar up to date and keep your guests happy.

Follow these simple insider tips and you could have a real money-spinner on your hands. Please note that laws on short-term rentals vary from state to state. So be sure to look them up before you get started.

All the best,

Owen Sullivan
Editor, Money & Crisis

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