Adding secondary revenue streams???

Question

I know the common ones:

-coin op laundry

-rent storage space

-rent parking space

What are some other one's that have worked well, and some that have not?

Account Closed · Answer

It wouldn't be a consistent secondary revenue stream, but I have a number of referrals set up to generate extra revenue. When I rent to a new tenant I refer them to my insurance agent for rental insurance and also to the local moving company for help with their move. It doesn't add up to much, but if the tenant is going to use those services anyways I might as well try and get a few dollars out of it.

Also if any of my tenants are getting ready to purchase a house I have a referral fee set up with my realtor as well. So far that one hasn't paid off, but at least that means my tenants haven't moved out due to buying their own place.

Paul Ewing · Answer

I sold a storage building on payments to a tenant.  Two year note with moderate interest rate won't get me much, but better than an average mutual fund return and ties them to the property they love a bit more.

I rent access to my pasture behind a rental to a tenant to run a beef calf with my herd.  Again not big bucks, but it ties them to the place.

Account Closed · Answer

Having a real estate license is a HUGE stream of revenue for me for referrals!  I'm also licenesed with a national company wherein I receive profit share every month when my dowline is profitable.  If you'd like to know more, send me a PM.  Cheers!

Dwight Crocker · Answer

Depending on what state you are in, you can essentially act a the electric company in some states where they have deregulated the electric or gas markets.  By acting as an affiliate you get a small commission each month when they pay their bill and over time it can really add up if you have several units.

John Santero · Answer

When there are laundry hook ups _I am in SFH and a few duplex and triplex properties, I provide stove and refer and dishwasher when available but the laundry units I rent. I purchase used units and have a few as spares - so if one does go out- I just replace them and take the broken one back for repair or parts

Roy N. · Answer

@Chad Urbshott

We provide "complimentary" Internet in our Student rentals (we use the Internet connection for building monitoring, but only require a fraction of the bandwidth).

We looked at billing for access, but concluded that the regulatory and contractual (with our bandwidth providers) hoops were simply not worth the additional revenue.

Al Williamson · Answer

@Chad Urbshott thanks for listing your ideas. I'm always  on the hunt. I just love pouring gasoline on the idea fire.

@Roy N. I completely agree with you.  Strengthening the interconnections between your tenants and local businesses sets the stage for a stronger community. It's the business every buy-n-holder should be into.

@Paul Ewing your tactics are outstanding. You're wringing out your income potential. Tip of the Stinston to you.

Chad U. · Answer

Maybe Al's list has covered this.  These were set up in my student apartments, providing internet service, and charging an access fee per student was profitable.   I've also seen others set it up for entire multi unit complexes, and charge tenants much less than the standard fee by local cable companies.  Granted there would be a strain on the broadband which limited speed, but is generally better than paying full ticket price as an individual.

Roy N. · Answer

In addition to Al's endless flow of income streams, there are also community building things you can do which come back to you in the end.

Viz. We provide our tenants with a "welcome" basket containing a few things for their new home.  Amongst these we provide coupons to local, and locally owned, businesses: cafés, a pilates studio, even a depanneur.  We co-create these coupons with the owners of those businesses, so they are aware the new faces are our tenants.

While we see no {immediate} monetary income from these exchanges, these other local business owners do refer {potential} tenants to us regularly.

Al Williamson · Answer

@Marcia Maynard Thanks for tagging me. I love these conversations.

@Max Tanenbaum can you imagine your rental property as a transportation hub? If you have a place  to park a car on your rental property, then you may be able to tap a new profit center - car rentals.

Philadelphia has an active RelayRides.com community. This carsharing site helps car owners make $250 per month on average. They provide $1M in insurance and allow for a turnkey way to make some extra dough.

You can rent a car (that has less than 100K miles on it) to your tenants, the neighbors, or anyone.

We landlords don't have to limit ourselves to laundry and soda machines. Our tenants need transportation as well.

I've identified 12 category of profit centers for landlords and outline them in my upcoming  book 40 Ways - check me out in BP's Market Place.

Adding secondary revenue streams???

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