5 Best Investments For Passive Income 2022

It’s 2022 and up until this point, the only way you’ve been cashing checks is by busting your butt at work day in and day out. However, you’ve heard there’s another way. You’ve heard about this thing called passive income and you want your piece of the “make money while you sleep” pie. Well, you’re in luck because we’re about to go over the 5 best investments for passive income in 2022!

Investment #1: Real Estate

Look up any list of the top passive income investments and real estate is almost guaranteed to be there. This is for good reason. If you ask me, real estate is one of the most practical passive income investments you can put your money into. Let’s talk about why that is and also go over some of the downsides of this investment option as well!

However, before we begin, when I am referring to real estate in the context of making passive income for the average person, I am referring to leveraging a residential property to generate passive income. Now, of course there are other types of real estate like commercial properties and land but chances are those aren’t assets you have the means or the desire to own and as such we won’t address them.

Now that that’s out of the way, if you ask me, residential real estate is one of the most practical passive income investments you can sink your money into for a few reasons. First, we all need a place to live. Whether you live in the nicest condo building in your city or you are still stuck in your Mom’s basement, we all need a roof over our heads. This means that there will be a perpetual need for the service you provide and with home prices skyrocketing in the past year, there will naturally be a higher amount of renters on the market which is a financial externality that you should be excited to be cashing in on!

Next, let’s talk about sustainability. There are a million and one ways to earn passive income but quite honestly some are more reliable than others. What’s great about a real estate property approach to earning passive income is that the business model never changes. Whether it’s 2022 or 2052, the process of making passive income in this way will always be to acquire a property, find a tenant and exchange your service for money. It’s that simple.