How to Turn Unused Assets into Cash

Do you have a storage shed that’s sitting empty? Or a mountain bike hibernating in your garage? You may be able to rent out underused assets around your house (or even your house itself) to create a viable income stream.

In the modern marketplace, a preponderance of apps and websites help connect you with potential borrowers who might be looking to rent items that you already own.

Of course, selling unused assets is another way to pull in extra cash, but renting items carries different benefits: you don’t have to permanently part with your belongings, plus you can rent the same thing again and again, possibly netting a greater profit than you would have made by selling the item.

What can I rent out?

Online rental listings range from a $1-per-day book rental to a $3,000-per-night vacation home. Some platforms focus on specific categories, like RVs or boats, while others let you list just about anything.

Consider how the item or service you are thinking of renting out might be received by would-be borrowers. Would it be cheaper or easier for them to buy the item? Is there a cost savings or convenience incentive for them to rent the item instead?

Here are five items that you could consider renting out:

1. Extra Space. Offer up your extra square footage as rentable space. An empty garage, spare bedroom, storage shed, garage or attic could be the answer to someone else’s storage needs. Even a vacant parking pad or driveway can be turned into rentable space. Before renting out your space, you should always review state and local laws regarding short-term property rentals.

2. Recreational Transportation. Let someone else take a spin in your RV, camper, ATV, or boat on weekends when you’re not using them. Some rental sites offer insurance coverage to help protect these high-value assets.

3. Sports and Outdoor Equipment. Casual adventurers who don’t own outdoor gear of their own may be interested in paying to borrow your camping equipment, bicycle, paddleboard, kayak or skis. To make for easy exchanges of equipment, look for an app or website that draws in users from your area.

4. Miscellaneous Items. Have a hobby or a niche interest? There may be a rental market for your specialty stuff like costumes, camera equipment or musical instruments.

5. Personal Skills. Dust off your hidden talents and market your skills to rake in some extra cash. You can “rent” yourself part-time as a photographer, handyman, dog walker or driver.

Think Green

Sometimes referred to as collaborative consumption or a sharing economy, renting underused belongings not only helps your bottom line, but it can also help the environment. That’s because borrowing, rather than buying, reduces overconsumption.

To save money and further reduce your impact on the environment, consider becoming a borrower as an alternative to buying items you don’t necessarily need to own.

Be Careful When Getting Started Renting Out Items

Before you put your belongings out into the world, carefully research the platform you will be using. Is it reputable? Does it offer any protections for the assets you are renting? Does it draw enough users to allow would-be borrowers to find you?

Also make sure you understand fees and charges that may offset your rental income. Many rental platforms charge a listing fee or take a cut out of rental fees in return for their services.

Prior to entering into a rental agreement, make sure you have a contract in place with the borrower and that the item you are renting is properly insured.