One of the things I aspire to do is create a passive income revenue stream. Attaining that goal will probably be contrary to becoming financial independent in the short-term, but will help me get there in the long-term.
My Top 5 Ideas for passive income:
- Rental Properties
- Dividend Investments
- Ladder Certificate of Deposits (CD’s)
- Creating content online
The main reason creating a passive income stream can be counterproductive, at first, is the need leverage my investments. More to the point I want to start buying rental properties but I will need home loans to do it. The rentals themselves will be used to pay of the principal loan of the investment until the loan is repaid. Eventually the homes will be paid for, I will have built equity, and will have created a pure passive income stream from renters.
My wife and I are currently saving now for our second home to turn into our first rental property. Hopefully we get there in the next 2 years and I can start writing about that experience. In the mean time I have already started a high dividend investment portfolio. It’s main goal, for now, is to re-invest the returns in order to take advantage of compound interest. You can read about my initial post here: Dogs of the Dow.
Creating content online is something I have obviously started as well. I don’t know that this blog will make any money as financial blogging is a very saturated market. Once I find my niche then their might be potential.
Until next time, happy investing!