Are you searching for information on how to create passive income? If so, you’ve come to the right place.
Creating passive income is something that most investors of all generations are thinking about on a daily basis because, the more passive income streams that you have, you can count on having more security and the freedom to live life on your terms.
Thanks to the internet, there are a wide variety of passive income streams that are available to you today. Many of these forms of passive income take little to no time to set up and they will be bringing in income for you on a monthly or an annual basis.
In this article, I’ll provide you with information on 12 strategies for creating passive income in 2020.
How To Create Passive Income In 2020
#1 – Dividend Stocks
One of the oldest and time-tested methods for earning passive income is by investing in dividend stocks. With dividend stocks, you can earn passive income streams on a monthly or annual basis and what’s best of all is that dividend stocks require no work.
#2 – Real Estate Investment Trusts (REIT)
As with dividend stocks, real estate investment trusts are another time-tested way to earn income without having to do any work.
A real estate investment trust pays out dividends on the money or income that’s earned from the Real Estate Investment Portfolio so it’s also a great option for getting involved in real estate without actually having to own or manage the property yourself.
#3 – Mortgage Notes
Another excellent tip for How To Create Passive Income is by investing in mortgage notes. With a mortgage note, you technically will become the bank, and the borrower will pay their principal and interest payments to you. The great thing about this method of earning passive income is that it also gives you the ability to be invested in real estate without actually having to do any work yourself when it comes to managing the property.
Before investing in mortgage notes, always remember to do your due diligence and take the time to understand the borrower’s financial situation including the value of the property, state of the local jobs market, and the crime rate for the area as well. Doing your due diligence is going to save you the hassle of investing in a property that could potentially be in a bad location.
#4 – Affiliate Marketing
Since the start of the internet, we have a wide variety of ways to make passive income including affiliate marketing. With affiliate marketing, you get paid commission anytime you send traffic to another company’s offer.
The great thing about affiliate marketing is that you don’t have to know anything about sales to profit from this form of passive income. All you have to do is choose a High converting offer, then find a company that can send traffic to that offer.
#5 – Display Ads
Besides affiliate marketing, the next way for succeeding at How To Create Passive Income on the internet without doing a lot of work yourself is by running display ads.
To run display ads, you have to have a website that’s getting a ton of traffic every month. If you don’t currently have a site set up, one of the things that you may want to consider doing to profit from this method right away is to purchase an expired domain name.
An expired domain name is a website URL that’s already receiving traffic every month. The great thing about this method is that once you point that expired domain name to your server and then add a website to it, you can instantly have a website that’s receiving traffic without having to do the hard work of building up that traffic yourself.
Once your site is online, the last step is to find companies that would be interested in running their display or banner ads on your site then charge them a monthly fee to keep their display adds on your site.
#6 – Cost Per Click Offers
Yes, affiliate marketing is awesome but, promoting cost-per-click offers are even better because, with a CPC offer, you’re going to get paid anytime somebody takes an action on a website that you’re promoting.
Some of the most common CPC actions include filling out an email opt-in form, clicking a link, opting in to an email list or calling a phone number.
#7 – Local Business Lead Sales
If you’re interested in getting started with passive income generation that has little to no competition, you may want to consider selling leads to local businesses. To get started with this method, you’ll have to set up a search engine optimized website that’s specifically targeted towards one niche or industry.
For example, HVAC, Automotive, Roofing, electrical, or any type of Industry that has to go into the home would be a good niche to be involved with when it comes to selling leads to local businesses.
#8 – Create A Digital Product
If you spent any amount of time on the internet over the last 10 years, you know that digital products are huge.
The reason why digital products continue to be top sellers in the 2020’s is most eBooks and other digital products are affordable and if your digital product teaches people a skill, or solves a problem, most people won’t hesitate to spend a small amount of money on a digital product if that product solves an immediate need.
You may be thinking that you don’t have any skills or knowledge for creating a digital product. The great thing is that you don’t have to be an expert at creating an eBook.
One of the best ways to get started is to think about the skills that you already have or the things that you may know that other people possibly could want to know then get started with creating an eBook that’s based on that knowledge.
#9 – Create An E-Course
If after creating a digital product like an eBook, you may find out that there is more demand for the knowledge that you have than you previously thought. In this case, you should take your digital product a step further and create an e-course.
Creating an e-course is simple because all you have to do is take the concepts that you teach in your eBook and break them up into multiple chapters. This will give you a better opportunity to fully explain your methodology and provide your readers with a deeper dive into the niche or skill that you have mastery over.
The great thing about creating an e-course or an eBook is that you can master How To Create Passive Income from these digital assets for years to come especially if you keep them updated on an annual basis with the fresh information.
Many marketers make the mistake of not updating their digital content and they wonder why their product stops selling within 12 months.
This is because the internet is always constantly changing and the digital tools or resources that were in use one year ago may not be used today.
It’s always best to take the time to research the latest Technologies online the add them to your e-course or e-book because this will make your digital products more valuable to your readers.
#10 – YouTube Ads
Once you have an eBook, or an e-course created, the next thing that you should focus on setting up our YouTube ads to promote your digital products.
With YouTube ads, you’re going to be sending traffic to your e-course, or digital products, from YouTube’s Network.
YouTube offers by far one of the best forms of traffic on the internet because it’s niche-specific and converts a whole lot better than traffic that you can get from Facebook or any other company online.
#11 – Purchase An Existing Business
Let’s say that you’re the type of person who doesn’t want to create digital products or invest in real estate investment trusts, if it’s the case, you may want to consider purchasing an existing business.
By investing in an existing business, you have the benefit of being able to profit from the work somebody else but, the key to success is finding a business that’s continuing to do well in this day and age because, since the pandemic, many local businesses are no longer enjoying the profits that they once had.
Before investing in an existing business, keep in mind that for that business to qualify as a passive income stream for you, you should not be spending more than two 5 hours per month working on it because anything that requires a greater time commitment than that it’s going to turn into a second or third job for you instead of being a passive income stream.
12 – Rental Properties
Last of all, but most important, another great way to earn passive income in 2020 is by investing in rental properties.
Rental properties will always be an excellent way to earn a passive income because people always need a place to live.
This is especially true in the 2020’s when buying a home for most people has a higher barrier to entry than any other previous generation and some are giving up on the go a buying house because they just cannot afford to save tens of thousands of dollars for the down payment that’s required for them to get into their first property.
The key to How To Create Passive Income with investing in rental properties is of course to decide if you want to invest in single-family homes or multi-family properties.
Depending on who you follow on the internet, there’s always going to be somebody who advocates investing in single-family vs. multi-family. Since you’re reading this blog, you know that my preferred method for investing in rental properties is multi-family.
Multifamily properties are in my opinion the most ideal form of real estate investment in this day in age because you have all of your tenants Under One Roof and this means that if one of your units is vacant, you can always count on earning income from the other units in your property that are occupied.
As with any other form of investment that you choose to create a passive income, before investing in a multi-family property, you should thoroughly research the area where the property is located to verify that it’s an area that’s thriving economically, has a low crime rate and a great school district for your tenants who may have children.
Besides researching the basics, you should also verify that the multifamily property that you’re interested in buying is in a walkable neighborhood that’s close to shops, stores, restaurants, and jobs in the area as well.
Let Trier Capital Help You Get Started With Multifamily Investing
Are you interested in getting started in multifamily investing but, you don’t have the time or energy to do everything yourself?
Trier Capital is a private equity firm that makes it easy for you to passively invest in lucrative apartment building syndications.
Our simple step-by-step process allows you to accelerate your wealth creation so you can live a magnificent life on your terms, whether that means traveling the world, spending more time with family and friends, or making an impact.
For more information about the benefits that come from partnering with our company, contact me today by calling (630) 229-2383 or click here to connect with me online.