🏠📈Side Hustles: Building Passive Income
Today, we are diving into short-term rental properties and stock market investments. I wanted to share a personal story about how my husband and I got started with our short-term rental side hustle and the lessons we have learned along the way.
Two short years after moving from Denver, CO, to Shanghai, China, we purchased a property back in Frisco, Colorado. I could never have imagined having a mountain home. And, here we were - two teachers who had just moved our 4 and 6-year-olds across the world to the dreamiest jobs (including the paycheck) ever in Shanghai, China, purchasing property in the US as an investment and second home to play in (or outside of).
It only took us two years to build $100,000 in the bank account to put 20% down on the most spectacular piece of paradise. I am so grateful that we stuck to our frugal ways in some areas of life and splurged on travel experiences and this investment for our future.
Our condo overlooks the continental divide here in Colorado. The gorgeous Lake Dillon is in front of the mountain range, surrounded by bike paths going to Vail, Keystone, and Breckenridge through forests along the lakefront. We stock the garage full of bikes, kayaks, and sleds for the winter. Five ski resorts are within 30 minutes, with the closest just 12 minutes away. A half-block from the condo is a Natural Grocers and Starbucks, and a couple of blocks later, you even have the convenience of Walmart. Check it out on Airbnb.
Why am I telling you all of this? Because investing in property and renting it can bring in a very nice passive income and long-term capital gains! It continues to do both of those for us. But not all properties are created equal. Look for nature and convenience. Those are a win! My only regret with the property is not having looked at it more seriously as a business earlier. It's always done well due to its location and view. But now that I am looking at it as a revenue stream for the next 20+ years, there are things I can do to increase my profits while not sacrificing anything for the guests. Providing higher value to the guests and ourselves instead. This side hustle has side benefits! We get to use it too! This is our family's second home and investment! Bonus!
Regarding stock market investments, I have to give credit to Andrew Hallam and his first book, Millionaire Teacher, to whom I owe my gratitude. A couple of colleagues in Shanghai (I worked with the best of the best worldwide) started a little financial club. That was the beginning that changed my life! I’m not an expert, but I know a lot more now than I did nine years ago.
I read the book, let our financial guy go, and took control of my future. I have followed his approach to have a set allocation of US and International index funds along with some safer money in bonds. At this point, I reinvest all of my dividends to keep them growing. I also have some play money, at most 10% at any one time, which is in a bit riskier individual stocks. 90% of our investment stays in its allocations in the index funds, and I beat other strategies year after year. Compound interest is what you need to understand. It's why even a little money turns into a lot over time. I've spent a lot of time learning and trying things out over the years and will continue to do so with early retirement on the horizon.
But the best part? This is all on top of our teaching income. Can you imagine having a steady stream of passive income from renting a property and smart stock market investments? It's like hitting the jackpot, and it's all thanks to side hustles. So, think outside the box and try something new. You never know what kind of freedom it may lead to. 💸💰
I've made many mistakes along the way, but I've also had a lot of success. In The Becoming an Innovative Entrepreneur Experience, I'll share my tips and tricks for replicating my success and avoiding my mistakes. And for a limited time, I'm offering a special friends discount for a limited time! https://www.sybilhall.com/becoming-an-innovative-entrepreneur
Tomorrow, I'll reveal how I turned my everyday lesson plans and materials into profitable products on TPT and how you can do the same tomorrow. 📚 It's a simple way to earn extra income.
If you missed days 1 or 2, find them here on the blog.