I bought my first brand-new car a few years back. That new car smell was pretty sweet, and it was awesome having a paint job that was just one color. What wasn’t awesome were my monthly car payments. I had no trouble with my payments for the first few years. But with my other expenses getting higher, it became harder and harder to make those monthly payments.
I didn’t want to risk having my car repossessed, so I did something drastic: I rented out my car. I found a bunch of companies online, such as GetAround and JustShareIt that let you do this. I wasn’t so sure about this in the beginning, but I actually made good money this way. My usual customers were travelers who didn’t want to deal with major car rentals.
It got to the point where the rental money was covering my car payments! At times, the money I made exceeded my monthly payments.
If you want to earn good money renting out your car, read on! I’ll be providing some useful tips, as well as recommending some rental platforms you can try out.
The “Sharing Economy”
Renting your car to strangers seems like a new idea, but it’s actually part of a bigger movement called the “sharing economy.” Basically, the sharing economy encourages exchanges between private individuals. But don’t let the term “sharing” mislead you. Most of these exchanges involve money and are for profit.
A number of apps function as the middleman and facilitate the deal between people. These apps also function as a sort of gatekeeper, making people deal with each other respectfully. In the case of car-renting, they can veto members. If a member has a bad rep, they can get banned from the service.
It’s a proven business model… and a lucrative one, too. Companies like Uber and Airbnb are part of this movement.
How to Start
First, head over to any of the sites listed below, then apply to become a member renting out a vehicle. Be prepared to provide proof of ownership (usually registration or deed of sale), as well as various info about your car, such as make, model, and year.
Most companies will have a model cut-off for cars. This means if your car is older than the specified age, you can’t rent it out. It may seem snobbish and annoying, but don’t take it personally. Companies simply do this to maintain a good driving experience for renters.
For obvious reasons, these companies will also require your car to be properly maintained. These are general guidelines; the specifics change from company to company. So check first and see if your car is eligible.
Set Your Own Schedule
One of the great things about this setup is that you can set your own schedule. This means that you’re don’t have to deprive yourself of using your vehicle. You can simply make your car available during days off, or days when you don’t actually need your car. Since you wouldn’t actually use your car during those times, you lose nothing!
Most companies provide these benefits and features:
- Free Listing.
- Flexible pricing schemes. You can set the rental price of your vehicle, and can charge hourly, daily, weekly, and even monthly rates.
- You can accept or veto rental requests.
- $1 million insurance coverage per rental.
- Companies usually charge a 25% commission from your list price.
- Background checks for both renters and car owners.
- The company facilitates payment between you and the renter. No haggling, or reminding the client to pay you.
Companies You Can Try
Link: Link: https://turo.com (Receive $25 in travel credits with this link)
I recommend you try Turo first. Their services are available in over 4,500 cities in the US, so there’s a big chance you’ll be eligible to rent out your car through the site.
The company was founded in 2009, and is one of the pioneers in the scene.
Link: https://www.getaround.com (Receive $20 in credits with this link)
GetAround launched their on-demand car-sharing business in 2013. They’re one of the upstarts in the scene, but they’re pretty legit. (They even count Ashton Kutcher as an investor)
JustShareIt tries to provide a premium experience to both users and car owners. It prides itself on its top-notch experience for everyone who uses their service. The app is no longer available for Android, so take note.
How much you can earn will depend on the make and model of your car (the fancier the car, the more you can charge) and location. Naturally, car owners living near airports can charge more for the convenience and easy access.
Turo says their average car owner earns $720 per month. Owners of three or more cars can make over $3,000 per month.
During the times I tested all three companies (not just Turo), I made around $600 a month. A bit lower than average, but I only made my car available for about four hours a day. So that reduced my potential clients. But I’m actually pleased with that amount. I started renting out my car to offset my car payments, and I definitely achieved that!
The Verdict: Legit or Scam?
All these sites are legit! They provide a great opportunity to earn a bit of money by renting out your car. On good months, I actually exceeded my monthly car payments! If you’re looking to offset your car payments, give this a try!
This review is based on my own experiences renting out my car on Turo, GetAround, and JustShareIt. Now it’s your turn to share. Have you also rented out your car? Which sites did you use, and how much did you earn?
Let’s hear your stories!