While earnings are rising and joblessness is falling, it remains that many families are struggling to make ends meet.
According to Federal Reserve research, 40% of Americans have no emergency savings, an indicator of how strained it can be for many people. While taking on more work is often impossible when juggling responsibilities, it is possible to have a look at your home and find ways that it can make money for you.
Assessing your equity
Wages and disposable income may be squeezed, but homeowner equity is not. According to CNBC, American homeowners have, on average, $113,900 of equity available to draw. With an expanding range of home equity release mechanisms available to homeowners, releasing some value from the house is a viable way for many to cover expenses, look to make higher yield investments, and build up an emergency fund. It’s important to hone in on exactly how much you need and to manage it wisely.
Utilities are one of the biggest drains of household funds and leave a sizable dent, especially in non-temperate climates. There’s no questioning their necessity, but many people could be doing better. Solar panel advocates Solar Reviews estimate that Americans overpay by $27.6bn every year on electricity alone. Apart from checking your utility provider is supplying you with the best deal you can get, you can look at improving your home to make it sustainable. Solar panels are cheaper to install every year, and composting can be conducted to save on food in the future.
Opening up your home
Many families will be uncomfortable with the idea of renting out their house to lodgers or don’t want the instability of having different people moving in and out of the home. However, renting the home out is a very different affair today. According to a New York Times report, many homes now rent out by the hour. That means functions, traveling business people with the need for internet access, or daytime events can use your home when you don’t need it. Most of these arrangements are done via smartphone apps, too, making the entire process simple and low cost.
The home is full of value, but it can sometimes be hard to realize – especially when money is tight. Taking some time out to look at where you can make some extra cash from the home is important, however, especially as information suggests that there are plenty of savings to be made.