Categories
Make Money

How to Make Money from Your Home

If you own your house, then you will have costs associated with this. There will be the mortgage to pay for many people, as well as insurance and general maintenance and decorating. You will also have other costs which anyone who is owning or renting will have to pay such as council tax and utilities. Then of course you will have the costs of looking after yourself as well such as food, clothes, travel etc. These costs will add up and a home owner may have more costs than others as well. However, it might be possible for a home owner to make some extra money from their home and this could really help them to cover those costs that they have.

Rent out a Room

Most people would immediately think about renting out a room for a lodger. This can work really well, especially if you are on your own and you would like some company. Some people would rather share with someone they know and may therefore have to wait a while to find someone they know that needs a place to rent. Of course, there are others that do not like the idea of sharing a house with someone else, they would rather ne on their own. Also, if people have a family they may not want another person around the home as well. It can depend on the way the house is set up as well. If there is a big spare room with a bathroom then the lodger will have enough space to spend a lot of time on their own or you may even have a basement where they could have all the facilities they need and live self-contained without having to share any rooms with you. It all depends on the size and lay out of your home.

Run a Bed and Breakfast

If you do not want people in your home all of the time and you like entertaining and want to earn a bit more then you could consider setting up as a bed and breakfast. Doing this will enable you to be able to be able to earn some money and you can decide when you want to take on guests. Of course, if you restrict things too much, then people may not want to come as you do not have the available slots that they need. You will have to do more, because you will have to clean sheets and rooms between guests as well as provide breakfast for them. However, if you like meeting lots of new people and want to earn extra, then this can be a good idea. You will ideally need at least one spare double room with its own bathroom though.

Rent out Attic or Garage Space

If you have spare space in your attic or garage then you could rent it out for people to use for storing things in. You will not be able to charge huge sums of money as there are self storage companies and you will need to make sure that you are cheaper than them. However, even if you cannot charge too much, you should still be able to make some money this way and if you have space that you are not using then it would seem well worth doing.

Rent out the Driveway

Some people also rent out their driveways. If they live near to a town centre or offices, then they may be able to offer parking on their drive at a lower price to the local car parks. This is usually done through a website where someone will offer their drive on a long term basis for a fee. You will need to make sure that you are never parked on the drive during the time that they are allowed to park there. If you work and use your car, then it is likely that the drive will be available in the day, however, if you take holiday form work, you will still to move the car so that they can park there.

Categories
Savings

Should I Tie up my Savings?

Many of us have some savings and it can often be difficult to know what to do with them. With interest rates so low, it is easy to think that we should do everything we can to make more from our savings. However, in order to get higher rates it is likely that we will need to tie our money up. This could mean in a notice account or in a bond where the money has to stay in for years. It is worth considering whether this is a good idea.

Advantages

  • By putting your money into an account where you do not get instant access, you will get a higher interest rate. This rate could be more than twice and in some cases ten times more than you get in an instant access account which means that it is well worth considering.
  • Getting higher interest could encourage you to save more and build up your savings pot even higher. You could think that it is more worthwhile saving rather than spending if you are building up a decent sum of money that will earn you a good bit of interest in exchange for your efforts.
  • When the money is tied up you will not be able to get hold of it and spend it. This means that it takes away the temptation of having the money there, easily able to access and spend. If you are the type of person that does get tempted to spend money when you know that it is there, then it can be a good idea to tie it up somewhere where spending it is not an option.
  • If you have a savings goal, perhaps you are saving up towards something specific or you want a certain sum to fall back on if you need to, then tying up the money can help. Not only will the higher interest mean that you get more of a sum in the account, but you will also be able to more easily reach the goal as you will not be able to take money out of the account.

Disadvantages

  • Once the money is in this sort of account, you will not be able to easily get it out or not be able to get it out at all. This means that you could have a problem if you need the money really quickly and you just cannot get hold of it. This means that it would be wise to keep some money in an instant access account so that you have got some to use in an emergency.
  • If you tie your money up in a fixed rate bond then you will have a fixed interest rate for the whole term of the bond. It could be a year or perhaps up to five years. If it is a long period of time, then the base rate may have gone up and there might be other savings account which have better interest rates. You will not be able to move your money to an account with a better rate and you may wish that you were able to do this.

Whether tying your money up is a good idea will depend on your situation and whether you want to take a risk with the interest rates. Often a fixed rate savings account will be a favourable rate so it is probably unlikely to fall below the base rate, but more competitive products may appear with better rates. You will have to decide whether you are happy to take this risk bearing in mind that if you keep waiting to see if a better rate is coming you may just never put your money into this sort of account at all.

Categories
Loans

How to Choose the Best Loan

If you need to borrow some money, then you may be rather overwhelmed by the amount of options there are available for you with regards to loans. It is important though, to make sure that you do use the right one. This is because you could end up with one that is totally unsuitable for your needs. You might think that it will not really make much of a difference, but you could find that it really will so think about what you are looking for in a loan and match it up carefully.

How Much Money do you Need?

To start with you need to think about how much money you need to borrow. This is because loans will vary in how much they will lend you. It can be tempting to just borrow a large amount so that you can treat yourself. However, you need to be aware of the fact that this will cost you more money and you should consider whether you are prepared to pay this.

How Much are You Prepared to Pay?

Loans vary in how much they cost. If you have a quick glance at some different types, you will see that the interest rates can vary widely. It is better though, to wok out how much it would actually cost you in pounds, as that is easier to compare. Also, some loans will have additional fees as well as interest which may not be included in their interest rates. So be careful to make sure that you are comparing them properly. Once you know how much the loan will cost you, you will be able to work out whether you think that it will be worth borrowing the money or whether you think that it will just be too expensive.

What Do You Need it For?

Think about what the loan is for as there are some loans which will be designed for specific purposes. Although most are available for general use, if you are borrowing to go to university or study a course or to buy a home, then you will need a specific type of loan.

How Much Can You Afford to Repay?

It is really important to find out how much you will be expected to repay. This is because you will find that this will vary a lot between lenders. You will need to come up with a repayment when required or else you will have to pay more fees, so you want to make sure that you are happy with that and confident that you will be able to manage those repayments.

Do you Want Flexible Repayments?

Some loans have more flexible repayments than others. Some will require that you repay a certain sum of money every month but others will just need a minimum amount and you will be able to repay anything you want on top of that or nothing at all. It is good to think about whether a flexible one will suit your lifestyle better, but do think about the fact that while you are not repaying it, it will be accumulating interest and costing you money so you will need to make sure that you are careful that it is not costing you too much money.

These are just a few things that you should think about and you can see that already it is quite a long list. Once you have established these things you will want to start to think more specifically about what you are looking for in a lender and choosing the specific lender that will suit you the best.

Categories
Mortgages

How to Repay Your Mortgage Early

There are many people that manage to repay their mortgage early and this could be an attractive idea for many people. Many might like to have a go as they may wish to be able to be free of those mortgage repayments each month and also feel like they properly own their home. It can be something that can make a big difference. However, it is not an easy thing to do as most mortgages are a high amount of money, so you cannot just get it done in a few months or even a few years. However, even if you pay it off a few years early, this will make a big difference to the amount of interest that you have to pay on it. Therefore, it is well worth a go.

Check if There are Costs of Repaying early

It is wise to check first to see whether there are any costs with repaying the mortgage early. Some lenders will have a fee for doing this and you will need to check to see if yours does. You will be able to find out if you contact the customer services department and they should be able to let you know whether there is a fee and if so, how much it is. Sometime sit is just a small fee which covers the admin charges but sometimes it is a large amount and if it is, then you will need to calculate whether it is still worth repaying if you have to pay this much.

Consider Remortgaging

Remortgaging is when you swap your lender to a different one. This could be useful if you find one that has a much lower mortgage rate. The rate will vary between lenders and so you will be able to compare them and see whether you are paying significantly more than you would with a different lender. It is a good idea to check this regularly as it could be worth switching every so often so that you can get a better rate. By paying less interest you will end up having to pay less which will free up more money that you can pay towards repaying the mortgage early.

Consider Where you Will Put the Money

It is good to think about where you are going to put the money that you are going to use to repay the mortgage. You could put it straight into the mortgage account and then this will reduce the amount fo interest you are charged as you owe less. However, do check to make sure that this will be the best thing to do. This is because you will find that there might be savings accounts that you can use that will pay out more interest than you can save on your mortgage. Compare the rates and see.

See if you Can Cut Down your Spending

It can be a good idea to see whether there are any way that you can cut down the money that you are spending. It is hard buying less things, so it can be good by starting by seeing whether you can pay less for the things that you are buying. Then you will be able to start paying out less. Once you have started getting into the habit of comparing prices, then you can look at whether you are buying too much. Just ask yourself whether you really need the items that you are buying and that should help you to decide whether you should buy it or not. You might be able to delay making big purchases until the mortgage is paid off or just cut down how many items you are buying to make more money available for the mortgage.

Categories
Make Money

How to Make Money Doing What You Love

Many people have a job that is not something that they really enjoy. They do not really enjoy having to go to work each day and do the job that they do, but do it because they need the money. This is a shame and it can make them feel miserable or stressed. They might even feel that they are being forced to do it because they need the money. There could be things which can be done though which could help you to make money and do what you really enjoy.

Change Jobs

Changing your job could mean that you will be able to move to something that you enjoy more. It is probably something that someone who is not enjoying work has thought of a lot but has not tried out. It is a risk as it could be the case that the new job could be even worse than the job that you are in, but if you do not try you will never know. You could always return to what you were doing before if you do not like the new job that you try. You may think that there s nothing around, but do have a look again and think hard about every job that is being advertised as you never know what might work for you. Even if you feel that you will not get the job because of a lack of skills or experience, if it is something that you really want, then enthusiasm could really help you.

Start a Business

Some people think that starting out of their own will be the answer and will allow them to get enough money and do something that they like. This is certainly something worth thinking about but it is good to realise that a business may not necessarily make you lots of money. There are lots of people that start a business and sadly do not manage to make any money for lots of different reasons. It is also hard work and you will have to do everything yourself including the accounts, marketing etc and so you may find that you have to do lots of jobs that you are not keen on.  

Monetise Your Hobby

If you have a hobby that you enjoy doing then trying to make some money out of it could help you to bring in an income in an alternative way. Perhaps selling things that you make or producing a website, writing a book or recording a video with instructions on how to do what you do could be very handy. There are lots of things that you could try to do. It is wise to experiment though. Have a go in your spare time and then if things do well, then you might be able to afford to reduce the hours in your main job and concentrate more on that. You may eventually be able to swap to full time.

Do Freelance Work

It could be possible to do some freelance work instead of your job. This could allow you to pick and choose what you do rather than having to do what you are told to do. Obviously, whether you can do this will depend on whether you will be able to find work that will pay you enough money and that you will enjoy. There are lots of places that you can look, mainly online and so it is a good idea to find out what is available and you will then be able to decide whether there is something that might suit you really well.