Long-term rental as a passive income source

This is the absolute classic of building passive income. A stable tenant means peace of mind, a secure cash flow, and the systematic repayment of your mortgage by someone else. Although Return on Investment (ROI) is usually lower here than in aggressive short-term rentals, you gain time and security. The secret to the highest yields in this model is the ability to purchase a property below market value – which is achieved mainly through direct negotiations with motivated sellers.