Discover how you can break away from the traditional 9-5 and fund your dream of a digital nomad lifestyle! Find out about creative ways to sustain yourself while traveling.
Do you dream of traveling the world but can’t yet quite figure out how to fund it? We’re here to help you with a few unique ways to fund a nomadic lifestyle. These investment and income-producing strategies can help you build a nice nest egg that gives you the financial security you need to travel or pursue other personal ventures.
You don’t necessarily have to stop working to travel the world. Many employers offer remote work options in today’s times. Depending on your experience, you may be able to find a position that offers a full or part-time salary without any in-office requirements. If you’re unsure if you’ll be able to attend virtual meetings, you might even consider working remotely as a freelancer or contractor instead.
The income of a contractor isn’t as consistent, but this may be an option for those with fluctuating schedules. Pursuing entry-level remote work positions may be an even better option since most don’t require any previous work experience. Of course, you could also use the work experience that you earn through contractual work to apply for higher-paying positions.
Invest in Real Estate
Investing in real estate is one of the best ways to earn passive income. Purchasing a home, making any necessary repairs or renovations, and then selling it can help you increase your savings as you plan to travel. You might also invest in a property and then rent it out to short or long-term renters for a consistent monthly income.
Some real estate investment lending options require you to show proof of income before they’ll give you a loan. However, alternative lenders, such as Visio Lending, offer other loan options that may be more suitable to your financial situation. A debt-service coverage ratio (DSCR) loan, for example, is based on the projected cash flow of the investment property rather than your current income level.
Underwriters consider how much money a potential investment property will likely earn rather than how much you earn now. You can use a DSCR loan for various real estate property types, including single-family, multi-family, luxury, and commercial.
Sub-Let Out Your Home
If you plan to travel for an extended period of time, why not earn money on your current residence? By sub-letting or renting out your home or apartment, you’ll have someone to take care of the lawn, maintenance, and security while helping cover your bills. You may need to move your furniture into a storage facility for this option, or if you’re not attached to it, include it with the rental.
If you plan to sublet your home, make sure you check with your property manager first. Not all apartments or rentals allow tenants to sublet their homes. You’ll definitely want to check your contract or lease before signing a new one with your own tenant. Make sure you also have a good lease agreement in place that defines the move-out date and any upkeep the current tenant is responsible for covering.
Pay Down Debt
Paying down debt before traveling can help you more easily cover your costs. If you pay off all student loans, credit card debt, and any other loans you might have before leaving, your monthly costs will be much more manageable. Rather than spending your savings on travel costs and monthly bills, you can focus solely on your trip.
Paying down debt now in preparation for your travels also allows you to invest any savings you have into opportunities that provide you with passive income. Investing in real estate is an excellent way to earn extra money each month to cover your travel expenses. Reducing your debt can put you in a better financial position to travel freely.
Work Odd Jobs on the Road
If you’re handy or have any specialized skills, you may be able to work while exploring the world. Online sites can connect you to farmers, property owners, and other employers worldwide, many of whom may be willing to offer room and board in return for a few hours of work each week. You may find odd jobs like childcare, farm work, waitressing, and front desk or bookkeeping duties. Specialized skills, like teaching or mechanical, can help you find even more odd jobs on the road.
With so many remote work opportunities and real estate investing opportunities, you can finally fulfill your travel dreams. Implementing these strategies now can also give you the freedom you need for other goals, whether that means retiring or moving. Paying down debt and investing in opportunities that offer passive income can help you enjoy more financial freedom.