Passive income. The easiest way to create passive form of income is through renting out a property whether an entire house or a spare bedroom. What is passive income? Simply define by Robert Kiyosaki, the author of rich dad poor dad, an income stream that is generated with little or no effort. It is called passive because it is effortless also known as “dumb” income that does not involve a lot of strategy compare to other forms of income generating sources.
Home owner rent out a spare bedroom for different reason. Whether your budget is stretched thin or you’re looking for a way to get ahead, renting out that extra bedroom can provide a financial boost. Add breathing room to your monthly budget. With less of your monthly income going toward mortgage payments, you can focus on other priorities like adding to your emergency savings or retirement account or paying off credit card debt.