How to Use Free space and make money
It’s 2021 and the pandemic is still here and we need different ways of making money. There are many side-hustles one could start but today I am excited to share with you some fun methods of making money from free space you may have.
We will break it down into two different types of spaces, 1) Land space 2) Building space
Therefore, regardless of what kind of free space you may have, you will be covered in this article.
However, if you are interested in, how to make money online then we have tips for you here.
Land is one of the most valuable assets anyone can own today. Having a piece of land in prime areas can be used to generate income in various ways.
If you have a piece of land in the city or urban centers it can be used to I) Parking Space ii) Real estate development iii) Sell or lease the land iv) Build temporary structures for rental income v) agriculture
One of the biggest problems in urban centers is the congestion of cars and the difficulty of getting parking space. Congestion and the overflow of traffic are normal in urban areas. For example, in Nairobi, there is always heavy traffic getting into the CBD every single morning.
Part of the problem that leads to this congestion of vehicles is that most essential services are yet to be decentralized. The other major problem is the lack of adequate parking space.
Creating a parking space near the busiest areas would provide a good income for anyone with the land. The good thing about this idea is that it doesn’t cost that much to create a parking lot. All that it requires is some licensing because it is a business. Then simply providing some security for the area.
Most parking lots charge between Ksh.300-500. While others charge using hourly range rates. You can choose whatever works for you. Some people will prefer to park in these areas because of the perceived security of their cars, as opposed to parking along the streets. Therefore you will always have clients as long as people are going to the busy city centers.
Parking lots will easily make at least Ksh.30,000 per day or even more. They are a great way to make passive income as long as you know how to keep track of the money coming into the business daily.
Real Estate Development
In the past few years, we have seen the real estate business in Kenya booming!
Estates and apartments have been developed in several places. However, with scandals within the same industry, it has become a little bit difficult for real estate agents to sell the property.
We have witnessed willing buyers, getting into contracts and buying houses while they were still under construction for a cheap price, awaiting their completion only to get duped. Most of these scandals happen due to the misappropriation of funds by the development companies. Sometimes the companies simply underestimate the charges of completing the projects and end up stranded without extra funding.
However, this does not mean that the industry is dead and the market is nonexistent. If one can afford to develop a piece of property they will easily find a market for the same. It is a matter of reassuring the clients that the properties they buy will not bring them unnecessary issues.
Ensure when construction is going on, not to trespass on government property or anyone else’s property. This because it could lead to the demolition of the building in the future. Ensure that the building is constructed with high-quality materials. This will not only ensure you get a client but also ensure the growth of your real estate business.
Sell or lease the land
Leasing land is just like renting it out. It is a common practice among farmers. They will lease a piece of their la d to someone for an agreed period for a set amount. It is a very easy way to make money.
The rates of leasing land will usually vary depending on time and also depending on the location of the land. The more prime an area is considered the more the price. However, if the period of leasing the land is longer say about one year or more then the price of leasing that land may be considerably lowered.
The alternative to leasing land is selling it. If a person cannot find clients to lease land to, then they can just sell it. The price of land also varies depending on the location, size, and if it has been developed. Before selling land consider that it is one of the most valuable assets you can have. It will only keep appreciating over time. Selling land should always be a last resort. Never sell your land carelessly.
Build temporary structure
This is also under development of real estate but we wanted to highlight it separately.
Temporary structures are like the mabati shops you find in estates or in neighborhoods that are still being developed.
If you have a plot of land you can simply hire a contractor to renovate a few shipping containers and then rent them out on your piece of land. Alternatively, you can construct using iron sheets a durable structure that can be rented out to business people. Then you can earn passive rental income.
Agriculture is the largest economic industry in Kenya. It is also one of the most lucrative business ideas in Kenya.
Therefore it only makes sense to use an idle piece of land, to make money through framing. There are various ways to earn from farming.
Crop farming is what most people decide to do because in most cases it is less expensive and easier to do.
However, there are other agricultural activities that one can do. Like fish farming, poultry, cattle, or even goat or sheep farming.
Out of the City Get Away
This is also under real estate development. However, we will give it a quick honorable mention because it is an amazing way to make money.
This is creating a resort or construction of a house or property where people can go to just get away from the busy city life.
This is perfect for people with land just a few minutes or hours away from the busy cities.
People who work in the city and have burnout are always looking for a place to go relax and unwind. Having a peaceful place that you can host these people and offer amazing services to them, would be an amazing way to make extra money.
Even with the pandemic people are still spending on traveling to go unwind. However, with the risk of getting locked out of their home area, most people would opt for an out-of-town resort that is simply close enough for them to relax and not get locked out of their home area.
If you own a building whether it is commercial or simply your own home, there are a few ways you can use it to make money. I) Rental income ii) Airbnb iii) Flipping the property iv) storage space v)Turn it into your office space
Remember these are all business ideas, therefore you may have to do certain things before starting these businesses. Click here to read on a few things yo should consider doing before starting a business.
Let’s now explore making money from your buildings.
This is the fastest way to make money from your house or building. This will bring you passive income.
If you have a house or apartments, renting them out will bring a constant flow of money each month even if you choose not to work.
Office buildings tend to break even faster because they charge very high prices for rent.
Rental prices are determined by the location of the building and the size of the space being rented out. This applies to both residential and commercial buildings. Other factors that can lead to the prices of rent going up are added features like, security, WiFi provision, borehole water, and having a pickup generator in the event of a blackout.
This is just like renting out your house. The only difference is the tenant does not stay for too long. Additionally, they don’t move in with their furniture.
Airbnb is like the Uber of renting houses. To have an Airbnb business all you need is a house or apartment and it should be well furnished. If you don’t have one, you can rent out one that allows you to sublet the property then you can use it as an Airbnb.
If you are from Kenya, then starting an Airbnb is now under serious scrutiny from the government. Ensure you obtain the necessary licenses from the ministry of tourism to ensure you can operate without interference from them. Failure to do so can lead to being shut down permanently and possible fines.
Flipping the property
House flipping is an amazing way to make money. This is for people who have houses or people with money to buy houses.
It requires you to have the capital to acquire a piece of real estate, repair it if it’s not repaired then selling it at a profit. Profits from this kind of industry are easily in the millions.
This industry has become overpopulated in the United States buy in Kenya it’s mostly done by real estate companies and not individuals. This is because the amount of money required to do this business is hefty for most citizens. There are also no financial companies offering loans for house flippers like in the US. Therefore, this business is very unusual to see individuals do, especially in Kenya.
We already touched on agriculture under the land section. However, it’s possible to do indoor agriculture and make some little money. In Kenya, we have seen people innovate and start planting in sacks.
It’s a very space-effective method of doing agriculture and it can be done indoors. Or along your balcony if you have one.
This may not bring a lot of money like farming on acres of land but it can bring in a few thousand per month if done well.
All it needs is a few sacks full of good soil and seeds. From there all one has to do is take care of the crops as they grow. Or one can use containers instead of sacks. Indoor farming may not be as popular as outdoor farming, but it is a good way to make few extra bucks.
These are just a few ways in which one can make money from free space.