When the common individual hears “aspect hustle,” they consider common gig work like driving Ubers. However you’re not common, and you may earn way over the common gig work pays. Contemplate these actual property aspect hustles that may generate $100,000 or extra in further annual revenue to doubtlessly show you how to ditch your day job.
1. Actual Property Images
Skilled actual property photographers cost anyplace from $150-$500 or extra to shoot properties. They’ll earn much more by together with aerial drone pictures or nearly staging the images after capturing.
By doing even just a few shoots every week, you might earn an additional $50,000-$100,000 every year. And if you happen to additionally put money into actual property, the talents {of professional} residence pictures will show you how to promote or lease properties quicker and at larger worth factors.
2. Flipping Cell Properties
When folks take into consideration flipping actual property, they instantly bounce to flipping homes. There’s definitely been no scarcity of TV exhibits about it.
However no one’s capturing TV exhibits about flipping cellular properties, which is exactly what makes it so profitable.
“Flipping cellular properties has develop into my favourite area of interest in actual property,” Cody Dover, proprietor of Little Rock Property Consumers, tells BiggerPockets. “The entry price is a lot decrease than conventional properties, and the margins are simply pretty much as good, if not higher. I’ve purchased cellular properties for as little as $10,000, put $5,000 into them, and resold them for $30,000 or extra. It’s an area the place there’s actual demand however means much less competitors.”
3. Flipping Homes
If flipping cellular properties is simply too unsexy for you, you possibly can stick to the tried-and-true aspect hustle of flipping homes. Flippers can simply make $30,000-$100,000 on a single flip and do a number of in a yr with the identical working capital.
“I began flipping and wholesaling homes in my early 20s simply to make some extra cash,” my buddy Austin Glanzer at 717HomeBuyers instructed BiggerPockets. “I didn’t have a giant finances or fancy instruments—only a willingness to knock on doorways and make provides. The secret is discovering properties in any market which have good fundamentals and fixing the vendor’s drawback rapidly. Even now that I’m full-time, I inform folks this is without doubt one of the greatest methods to construct wealth if you happen to’re keen to place within the work.”
In actual fact, my co-investing membership has partnered with home flippers to speculate passively in flips. As an funding membership, we supplied the funds, and the flippers then went and flipped as many homes as they might with it, over an 18-month interval.
4. Flipping Land
The co-investing membership has additionally invested with land flipping firms, with wonderful outcomes.
Like flipping cellular properties, flipping land isn’t attractive. This is exactly why it generates such excessive returns.
For instance, final yr, we invested in a land flipping fund that pays out a 16% annualized distribution each quarter. They purchase parcels for 30 to 60 cents on the greenback and cut up it into two to 5 buildable parcels to resell. Their common maintain time is round 4 months.
A number of months in the past, we partnered with a land-flipping firm with a special area of interest technique. They purchase parcels, set up a manufactured residence on the lot, after which promote retail to first-time homebuyers. Out there the place they function, they promote these properties for 50% of the common residence worth. That creates recession resilience, as there’s all the time demand for reasonably priced starter properties.
5. Actual Property Wholesaling
A well-known actual property hustle, wholesaling entails placing a property underneath contract for a deep low cost, then flipping the contract to a different investor for a finder’s charge.
For instance, say you discover a distressed vendor with a fixer-upper price $200,000 as-is. You place it underneath contract for $160,000 after which provide the contract to a flipper for $170,000. You make a tidy $10,000 because the deal finder, and also you by no means should take out a mortgage or swing a hammer.
Tyler Vinsand at 757 Property Options began out wholesaling on the aspect of a full-time job. “The wonderful thing about this aspect hustle is you don’t want money or credit score to get began,” he instructed BiggerPockets. “You’re primarily connecting motivated sellers with buyers and getting paid for fixing their issues.
“I used to be closing five-figure offers simply by making cellphone calls and driving for {dollars} on weekends,” Vinsand added. “As soon as I obtained constant, it was a reputable six-figure revenue stream.”
It ought to be famous, nevertheless, that wholesaling has develop into a controversial observe, and a few states have taken legislative motion towards it, so be sure you sustain with the legal guidelines in your state.
6. Proudly owning Quick-Time period Leases
By this level, everybody and their mom understands the short-term rental Airbnb technique. But, in lots of markets, it stays way more profitable than renting to long-term tenants. That proves very true in markets with considerable tourism or with tenant-friendly legal guidelines that make landlording onerous and dangerous.
I’ve a buddy in tenant-friendly Baltimore who rents short-term leases. He managed to get in earlier than the lodge foyer threw sufficient cash on the metropolis authorities to get them to ban Airbnbs, with solely the tiniest loopholes for exceptions. Immediately, he earns 1000’s of {dollars} every month in web money stream from simply two properties, partially as a result of he has so little competitors.
In actual fact, the featured deal we’re vetting collectively on the co-investing membership this month is a boutique lodge in a market that banned Airbnbs. The operator, just like my buddy in Baltimore, obtained grandfathered in for his current portfolio on this space. And he’s successfully cornering the market by shopping for the one commercially zoned hospitality property in a 30-mile radius.
7. Managing Quick-Time period Leases
After all, nobody says you need to purchase with the intention to earn cash from short-term leases.
You would begin a property administration service specializing in short-term leases. As a result of they require extra labor, Airbnb managers can command considerably larger charges. Assume 15% to 40% of the gross rental revenue, versus 7% to 10%. Most of that labor you can outsource to maids or advertising and marketing VAs for minimal hands-on labor your self.
8. Subleasing Versatile Workplace House
It’s been a tough 5 years for conventional workplace buildings making an attempt to lease tens of 1000’s of sq. ft at a time. However the rise of distant work has created loads of demand for versatile workplace area and coworking. I’m actually writing these phrases from a coworking area in Lima, Peru.
Some entrepreneurs have taken the arbitrage mannequin to coronary heart for workplace area. “I began by leasing just a few non-public places of work and renting them out individually,” Tom Troccoli of Regency Govt Suites instructed BiggerPockets. “With the rise of distant work and small enterprise startups, there’s an actual demand for short-term, skilled area. Just some rooms in the correct space can simply generate $5,000 to $10,000 per thirty days in recurring revenue if you happen to provide flexibility and maintain overhead low. It’s probably the most underrated actual property performs on the market.”
From Aspect Hustle to Monetary Freedom
To this present day, I work a aspect hustle as a contract author. It began when an unscrupulous net developer ran off with half of my seed capital for our co-investing membership, and my accomplice and I ran out of cash earlier than it turned worthwhile. However I found that I take pleasure in freelance writing, and continued doing it lengthy after the membership turned worthwhile.
That further revenue freed me to take better dangers in each my enterprise and in my investments. Lengthy earlier than I turned an knowledgeable on passive actual property investing, talking on the podcast circuit, I experimented with my very own cash in it. I made errors, a few of which proved costly. Immediately, I arrange an funding membership with nearly 350 members, which meets each month to vet passive investments collectively.
Your path will look completely different, in fact. However constructing aspect hustles may help you attain monetary freedom quicker, not simply from the additional revenue but in addition by serving to you construct high-value abilities and doubtlessly give up your day job to go full-time as an entrepreneur.
See you on the opposite aspect, my buddy.
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