We could all do with a few extra pennies. Hence why side hustle is one of the most used words on the internet. If it makes us extra money, we want to know about it. Most commonly mentioned are options such as blogging and taking part in surveys. At the other end of the scale, becoming a landlord also makes its fair share of appearances in the side hustle world.

On the outside, it’s easy to see why. After all, you can make money this way without doing much at all. But, there is some debate about whether home buying actually does build wealth. While you might dream of accumulating millions, it’s possible the reality won’t match up. In truth, more of your monthly rental income will go back to your property than you think. That’s not to say you won’t still see substantial profits. But, it’s worth considering these costs before you imagine the thousands you could have spare each month.

Mortgage payments

The majority of us don’t have the money to buy a sideline house upfront. But, that doesn’t mean this isn’t an option. Buy-to-let mortgages allow you to take out a mortgage on your rental property. But, if you follow that path, you’ll need to use your rental income to cover mortgage payments. In some cases, that might mean using the entirety of your rent. Even if your mortgage payments are low, they could take a significant chunk. What’s more, interest rates on mortgages like these are high, so the more you can pay back each month, the better. Before you know it, that extra grand you were expecting will look a little depleted.


You’ll also need to insure your rental property. Rather than opting for general home insurance, look out for landlord-specific options. To gain some idea of how much that would cost, click here for rental property insurance cost quotes, or do some research online. The monthly premiums will vary, but you may end up paying more than you expect. Many landlord policies protect against everything from property damage, to tenant medical fees. Some such insurance also compensates any rental income lost through renovations and repairs. So, you’d be mad not to spare the money from your rent to cover this cost.

What’s left for repairs?

You aren’t going to need to spare rent for repairs every month. But, it doesn’t hurt to set aside a certain amount each time your tenants pay. That way, you can be sure to deal with any repairs as soon as they’re needed. And, you won’t have to put yourself in debt to do it.

As you can see, this option isn’t as simple as sitting back and making money. As with any business, you need to take care of outgoings before you can count your profit. And, your outgoings may be more than you expect. But, by accounting for that and keeping on top of things, there’s no reason this can’t still be the ultimate side hustle.

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