Heading into 2024, the economy has been a great big question mark. Namely, will it bounce back or stumble further?
But one trend has weathered the recent storm and become not only a great side income for some–but a profitable business model, too. And that trend is rentals. (And we aren’t just talking about rental properties).
Spanning dozens of industries– equipment, storage space, vehicles, anything really– renting is more popular than ever before.
But what are the most profitable things to rent out? That’s where this guide comes in.
The 10 Most Profitable Things to Rent Out In 2024
Online, you’ll find quite a few lists of items you can rent out, but they’re huge lists with very little depth.
Below, we’ll get straight to the point and cover only those rental options worth your time without the fluff.
Here are the most profitable things to rent out in 2024:
Cameras and Streaming Equipment
Average Earning Potential: $25 -100 per day (most modern cameras)
This is a great option if you’re:
- A videographer with a surplus of equipment you’ve built up over the years
- Someone who owns a nice camera or other camera equipment (that you had planned to use but is now sitting there, collecting dust).
Even if you don’t own this equipment quite yet, it’s never too late to explore this business venture. If you have a preliminary interest in videography, you can use this equipment to establish two channels of income. First, a thriving videography business, and second, a thriving photo/video equipment rental business.
If you’re willing to invest in the gear, you can make quite a bit– with great margins– by renting out your camera(s) and other related equipment when you’re not using it.
Your target customers can include:
- Students shooting a video for a project
- Businesses shooting a marketing promo or a set of videos for ads
- Production studios needing additional equipment for a particular shoot
By using sites like ShareGrid, you don’t need to go out and look for customers or pay for advertisements to get exposure, making it a great side income if you have the equipment sitting around.
Party Rentals
Average Earning Potential: $100 – 250 per day, per item (depending on the item)
A party rental business can be hugely profitable in suburban markets where the average family has a backyard fit for parties.
Typical rental items include:
- Bounce houses / Jumpers: Typically cost in the range of $400-500, rent out for $100-250 per day
- Tents and canopies: Easily rent out smaller party tents anywhere from $250-500, while larger tents for weddings and similar events can rent for $4,000 – 5,000
- Tables and chairs: Each individual table and chair typically only go for around $5-10, but the average party typically rents several tables and a few dozen chairs. That makes the average rental amount per party typically around $100-150
The great thing about party rentals is that the initial investment is low with most equipment, while margins remain high (Not to mention that you can make back the cost of the equipment very quickly).
The average bounce house can be paid off in 2-5 rental days, after which you’ll pocket several hundred per rental. The only business costs you’ll have to cover are the delivery and pick-up fees, along with monthly storage.
Vehicle Rentals
Average Earning Potential: $40-50 per day, per vehicle
Have an extra car that you don’t use much?
If the vehicle is no more than 10 years old, you can make quite a bit renting it out via sites like HyreCar.
The average revenue is around $40-50 per day, depending on the vehicle. Because renters typically rent vehicles out for several days in a row, the potential for profits is stellar.
The one thing to keep in mind is that you’ll be using a high-value asset that wears down over time.
That’s the case for all rentals, but it’s uniquely challenging here because of how much it can cost to keep up maintenance on a vehicle.
You’ll need to factor the cost of maintaining the vehicle into your calculations to get a clear idea of how much you’re actually profiting.
With that said, if you have an extra vehicle that’s just sitting around, you could make quite a bit of extra cash each month renting it out.
Some even turn this model into full-blown rental businesses, purchasing vehicles specifically to be rented out full-time to rideshare drivers (aka, the primary users of peer-to-peer vehicle rental sites like Turo).
RV Rentals
Average Earning Potential: $100 – 200 per day
RV ownership has increased by an incredible 62% over the past 20 years, but that doesn’t mean it’s for everyone. For some, renting an RV (over buying) is the far more practical option–and it’s not just retirees renting RVs.
According to the same study by Go RVing, in particular, RV ownership by Millennials and Gen Z has surged.
With RV rentals, you have a few options, but they’re virtually the same as with vehicle rentals:
- Rent out your current RV and make money while it would be otherwise sitting in your RV storage or driveway
- Or purchase an RV and rent it out to pay it off while you’re not using it
The second isn’t something to take lightly due to the upfront cost, but it is worth thinking about if you’re already strongly considering purchasing an RV.
Just keep in mind that the same conditions apply; the RV you rent out will incur some wear and tear, so you’ll need to have the proper insurance in place (and consider that cost within your revenue calculations).
Similarly, you can consider boat rentals if you have a boat you’re not using regularly or you’re considering purchasing one. But before you start a boat rental business, note that you’ll want to be located near a major lake where boat rentals are common.
Trailers
Average Earning Potential: $100-150 per day
Another great rental business idea: trailers. Most people don’t need a trailer often enough that they can justify purchasing one–but they’re incredibly useful when you do need them, so consumers are willing to pay the steep rental costs.
The great part about trailer rentals is that the trailers themselves are relatively affordable, typically costing from $5,000 – 6,000.
However, it’s usually advised that business owners invest in the three standard sizes before launching their own rental businesses. That way, your customers have options (and you don’t lose anyone to a competitor).
At the average rental rate, you’ll typically be able to pay back the cost of each trailer after around 40-50 rentals (1 year of rentals maximum), with several more years of continued use after that translating to pure profit.
It’s also possible to turn around and sell the trailer a few years down the line if you decide you no longer want to rent it out (and don’t have a general need for it).
Short-term Property Rentals
Average Earning Potential: $100 – 300 per day
Rental property has consistently been a stellar investment and highly profitable, and the rental industry continues to grow.
Plus, the short-term rental market– whether for vacation or another use– is bigger than ever, thanks to Airbnb.
Short-term rental rates average around $100-300 per night, with guests typically reserving for several nights in a row, meaning you’ll be able to easily offset the mortgage costs if you’re consistently booked.
Of the opportunities featured on this list, this is the hardest of the passive income sources to establish because you need to own a property available to rent. However, it’s also one of the best rental business ideas in terms of potential profit.
If you have an extra property, you’re in a great position to make a hefty passive income by renting it out.
Recreational Gear
Average Earning Potential: $20 per hour, per rental
Most types of recreational gear are frequently rented. That includes:
- Skis and snowboards
- Kayaks and canoes
- Camping
- And hiking gear
It’s important to note that with recreational equipment rentals, the format is typically hourly, and there is currently no peer-to-peer marketplace for it.
So, if you’re interested in renting recreational gear, you’ll need to go the business owner route and start up something in your area that’s in close proximity to ski resorts or frequented hiking trails.
If you live near a major lake, river, or similar recreational outdoor setting, this can be a highly profitable venture (and a fun business idea if you love the outdoors).
Baby Gear
Average Earning Potential: Varies
If you’re a parent, you know what traveling with young children is like.
Did you take a plane? Then, you’re likely renting a vehicle. If that’s the case, then what about car seats? Stroller?
Yeah, those are likely a problem. A problem you can solve while making cash.
Similar to camera gear or tool rentals, baby gear marketplaces like BabyQuip allow you to rent out the extra baby gear you have to families traveling in your area.
Never thought you’d be able to make money using your old baby gear, did you?
According to BabyQuip, the income potential is in the $1,000 per month range for its quality providers renting multiple items on a regular basis.
Specialty Tools
Average Earning Potential: $50 – 150 per day, per item
Power tools are another one of those items you don’t need very often (plus they can be costly), so they’re not typically owned.
But when you need one, they’re necessary to get the job done– and people will pay.
This includes:
- Home repair and construction tools
- Auto repair tools
- Landscaping equipment
There are several sites where you can rent your unused tools, such as RentMyTool and Sparetoolz, making this a great side gig for DIYers with a big collection of tools.
Storage Space
Average Earning Potential: $25-500 per month (for self-storage)
Have some extra space in your home or warehouse?
If you have an extra bedroom or garage space that you’re not using (or you’re locked into a commercial lease for a space you no longer use), you could be making passive income from it each month by renting that space out.
The self-storage space is booming across the U.S., as both families and businesses need extra storage space for a variety of reasons:
- Downsizing
- Retirement travel (i.e. retirees who are selling their homes but still need storage for the belongings they’re not taking with them)
- A product-based business expansion
- Not enough space in their home (but can’t yet purchase a new one)
You can invest in a full-blown self-storage facility (or build a facility from the ground up) if you’re looking for your next major investment. The initial investment is high but margins are as well.
Or, if you’re just interested in generating passive income with what extra space you already have on hand, you can use Neighbor’s peer-to-peer storage marketplace to make the most of your extra space easily.
Some Neighbor hosts earn up to $298 per hour worked.
Jump on the Most Profitable Rental Business Ideas of 2024
Chances are, there’s something you own that you can rent for extra cash–or there’s a profitable rental business ideas that make sense for you, based on your knowledge and interests.
Before choosing which to invest your time in, consider the most profitable niches available to you as well as the demand and upfront investment.
One of the easiest and most profitable things to rent out is the extra storage space you have, either in your home, garage or the warehouse of your business.
You already have the storage space, so it costs you nothing to get started.
Plus, as we mentioned, the demand for self-storage has exploded over the past decade. So, there’s no shortage of customers who want to use your space.
With Neighbor’s peer-to-peer storage marketplace, you can connect with customers in your area who will pay you to use your extra storage space.
No upfront investment, no need to pay for advertising, and no studying or learning how to build a new business.
Learn how to become a host with Neighbor and start profiting from your extra storage space today.
