12 ways your home can be a cash cow

By Bankrate.com

Want to earn some extra cash? Turn your home into a moneymaking machine.

If you're like most people, you've never made a dime off your dwelling (aside from appreciation), even though your house and yard likely represent your largest asset.

What's up with that? You've got tons of extra space in that spare bedroom, garage or basement that you're already heating, cooling and paying taxes on. And don't forget the idle front and back yards.

Why not make the old homestead earn its keep?

"There's something very positive to be said for becoming self-sufficient through assets you already own," says Katina Z. Jones, the author of "The 200 Best Home Businesses." "With gas prices being what they are these days, there's a huge financial advantage to keeping your overhead low with a home-based source of income. The tax deductions associated with operating a business from home help on the back end as well."

Barbara Brabec, the author of "Handmade for Profit!," agrees. She says: "Every dollar you can cut in expenses is a dollar you don't have to bring in. The need for extra income right now is so severe."

Of course, local ordinances and homeowners association rules may prohibit or restrict your moneymaking plans. Always check first with local authorities, and be sure to ask about licenses, fees and other requirements. And whatever you do, don't forget to report your earnings on your income-tax return.

Disclaimers aside, you're sitting on a gold mine, friend. What are you waiting for?

Here are 12 ways to get your home a part-time job:

Attract a crowd with yard sales

Yard sales have one built-in advantage over garage sales or indoor sales: curb appeal.

"One crafter who had steady traffic in front of her house decided one day to put several items out in her front yard," Brabec says. "She had a big shade tree and made it very festive with an umbrella and a couple of eye-catching items, and she sold up a storm that day. She didn't have to advertise or anything."

In addition to gently used clothing and household items, consider selling homemade jams, jellies, cakes and breads, but only where local and state laws allow it. Also be aware of local zoning and homeowners association restrictions pertaining to yard and garage sales.

No product? No problem. Rent out your attractive front yard to apartment dwellers or other yardless folks looking to clean out their storage units. Craigslist is a great place to advertise your own sale or to farm out your yard to someone else who wants to sell.

Fire up a bakery or production kitchen

Do you have an unused mother-in-law apartment or an industrial-size kitchen that sits vacant all day? Rent it out as a food-production facility.

Custom cookies and cupcakes, delivered gourmet meals and birthday-party catering are popular services that don't require a storefront but may need additional ovens and kitchen space.

"Food-oriented businesses tend to be very successful," Jones says.

Make room for renters

Renting that spare bedroom or mother-in-law apartment to a college student or a quiet single can be a great way to turn empty space into cash, as long as local ordinances permit it.

For homeowners with the skills, taking in elderly roomers on a room-and-board basis can generate even more income.

"For someone who is a retired nurse or who has experience in geriatric care, this could be a good option," Brabec says. "You don't want just anybody taking care of your mother, but this could work for a nutritionist or somebody with experience in the field."

Continued: Art studio

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