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7 Hidden Costs Of Renting An Apartment In Dubai

Renting An Apartment In Dubai

The hidden costs of renting in Dubai can add up, so it’s important to be aware of them before signing a lease. This will save you lots of quarrels with your agent or the landlord or the government offices.

1. Agency Fees

Agency fees are equal to 5% of the annual rental price plus VAT. This means that if you are renting a property for AED2,500 per month, the agency fee would be AED2,500 x 12 months x 5% = 1,500 + VAT.

2. Security Deposit

The security deposit is a very important part of renting an apartment. It is required for unfurnished apartments (5%) or furnished apartments (10%). This deposit is intended to protect the landlord in case of damage to the property or if the rent is not paid on time. The security deposit is usually equal to one month’s rent but may be more depending on the landlord and the type of apartment.

3. DEWA Set up fees

Dubai Electricity & Water Authority (DEWA) has announced that set-up fees for utility connection will be AED2130. The new price is applicable for all new customers who apply for water and electricity connections from DEWA.DEWA has clarified that the new price is for the standard connection and does not include any additional charges that might be required for special cases. The authority also stated that customers who are already using DEWA services will not be affected by the new prices. This announcement comes as part of DEWA’s commitment to providing quality service at a fair price. The Authority is always striving to find ways to improve its services and make them more affordable for customers.

4. Chiller Charges

There may be a chiller charge that applies to your area depending on the climate. This charge is generally for areas that require extra cooling due to high temperatures. The chiller charge helps to maintain the proper temperature for your area and ensures that your air conditioner is working properly.

5. Housing Fees

Housing fees are 5% of the annual rent split over 12 months. This means that if you’re renting an apartment for AED120,000 per year, your housing fees would be AED9000 per year or AED750 per month. These fees go towards things like building maintenance and repairs, insurance, and property taxes. While they may seem like a small amount in the grand scheme of things, they can add up over time, so it’s important to be aware of them when budgeting for your rental property.

6. Ejari

It is important to register your lease with the Dubai Land Authority (DLA) through Ejari, which costs AED220. This will ensure that your tenancy agreement is valid and enforceable under UAE law. The registration process is simple and straightforward and can be completed online. Once your lease has been registered, you will be able to obtain a Certificate of Good Standing from the DLA, which is required for many purposes, including renewing your visa.

7. Parking Fees

If you are renting an apartment that comes with reserved parking, you can expect to pay additional parking fees. These fees can vary depending on the complex, but they are typically a few hundred dollars per month. This is in addition to your rent and any other associated costs (utilities, cable, etc.). While having reserved parking can be a convenience, it does come at a price. Be sure to factor this into your budget when considering a rental unit with reserved parking.

Please note the fees listed above are as of the writing of this article. Please make sure to check the exact rates.

Conclusion

There you go. Now you know it all and you’re prepared in advance for unpleasant surprises. Though renting in Dubai may seem like a more affordable option than purchasing a home, there are hidden costs that can add up and you must make sure to learn about them in advance. 

Talk to us today to learn which option is more feasible for you.

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How To Buy Or Sell Property In The UAE: A Guide For Beginners

Buy Or Sell Property

Purchasing or selling a property in the UAE can be intimidating for those who are new to the process. 

In this article, we will provide tips and advice on navigating the property market in the UAE so that you can ensure a smooth and successful transaction. Whether you’re buying your first home or searching for an investment opportunity, read on to learn all you need to know about purchasing or selling property in the UAE.

Introduction to Property in the UAE

If you’re thinking of buying or selling property in the UAE, there are a few things you need to know. Here’s a quick guide to help you get started.

The first thing you need to know is that the process is different depending on whether you’re a local or an expat. If you’re a local, the process is relatively straightforward. However, if you’re an expat, there are a few additional steps you need to take.

The second thing to keep in mind is that the market can be quite volatile. Prices can fluctuate quite drastically, so it’s important to do your research and consult with an experienced agent before making any decisions.

Finally, it’s important to be aware of the fees involved in buying or selling property in the UAE. These can include transfer fees, registration fees, and stamp duty fees. Make sure you factor these into your budget when considering any purchase or sale.

How to Buy or Sell Property in the UAE

The United Arab Emirates offers many opportunities for those looking to buy or sell property. The process, however, can be confusing for beginners. This guide will outline the steps you need to take in order to buy or sell property in the UAE.

The first step is to find a reputable real estate agent. There are many agents to choose from, so it is important to do your research before making a decision. Once you have selected an agent, they will help you with the rest of the process.

The next step is to determine what type of property you are interested in. Are you looking for a home, an investment property, or commercial real estate? Each type of property has its own set of rules and regulations. Your real estate agent will be able to advise you on the best option for your needs.

Once you have found the perfect property, it is time to make an offer. Your agent will help you determine a fair price for the property based on recent market trends. If your offer is accepted, the next step is to sign a contract and pay a deposit.

Once the contract is signed, it is time to finalize the sale by transferring ownership of the property and paying the remaining balance owed. Your real estate agent will be able to help you with this process as well.

Legal Requirements for Buying and Selling Property

The process of buying or selling property in the UAE is subject to numerous laws and regulations. These legal requirements are designed to protect the rights of buyers and sellers, and to ensure that transactions are conducted fairly and transparently.

For buyers, the most important law to be aware of is the UAE Law of Property, which sets out the rules governing the purchase and sale of property in the country. This law requires that all property transactions must be carried out through a licensed real estate agent. The agent must provide the buyer with a written contract detailing the terms of the sale, including the purchase price, any deposits paid, and any other fees or charges applicable.

Once both parties have signed the contract, the buyer must then pay a deposit of 10% of the purchase price to the seller. The balance of the purchase price is typically due within 30 days from signing the contract. If paying by cheque, it is advisable to make sure that this is done through a bank draft in order to avoid any potential issues with bounced cheques.

For sellers, there are a number of legal requirements that must be met in order to successfully sell your property. Firstly, you must obtain a No Objection Certificate (NOC) from your developer or landlord if you are selling an off-plan or leased property. Secondly, you will need to obtain an up-to-date valuation report from a registered valuer in order to determine an accurate asking price for your property. Finally, you

Tips for Finding a Good Real Estate Agent

There are a few key things to look for when finding a good real estate agent in the UAE. 

First and foremost, you want to find an agent that is experienced and knowledgeable about the area in which you are looking to buy or sell property. The agent should also be able to provide you with a list of recent transactions they have completed in the area so that you can get an idea of their success rate. Furthermore, it is important to find an agent that you feel comfortable working with and who you can trust to provide you with honest advice throughout the buying or selling process. Finally, be sure to ask around for recommendations from friends or family who have recently bought or sold property in the UAE, as they may have some great insights into which agents are the best to work with.

What Documents Should You Have Ready When Buying/Selling?

When you are buying or selling property in the UAE, there are certain documents that you will need to have ready. These include:

  • Your passport or Emirates ID
  • A No Objection Certificate from your employer (if applicable)
  • Your bank statements for the last three months
  • Proof of income (salary slips, tax returns, etc.)
  • Your current visa status
  • A letter of offer from the seller/buyer
  • The title deed of the property
  • A recent utility bill in your name
  • A signed sales and purchase agreement

Financing Options and Mortgage Rates

If you’re looking to buy or sell property in the UAE, there are a few things you need to know about the process. Here’s a guide for beginners:

The first thing you need to do is find a good real estate agent. They will help you with the paperwork and also give you advice on how to get the best price for your property.

Once you’ve found an agent, you need to start looking at properties. They will usually have a list of properties that are for sale and will be able to show you around.

When you’ve found a property that you like, the next step is to negotiate the price with the seller. Once you’ve agreed on a price, it’s time to start looking at financing options.

There are many different ways to finance your property purchase, but the most common way is through a mortgage. Mortgage rates in the UAE are relatively low, so it’s a good idea to compare rates from different banks before deciding on one.

Once you’ve found a good mortgage rate, the next step is to apply for the loan. This can be done online or through your bank. Once your loan has been approved, it’s time to start thinking about moving into your new home!

Closing the Deal on Your Property

Once you’ve found a property you like and negotiated a price with the seller, it’s time to close the deal. Here’s what you need to do:

  • Get a mortgage pre-approval. If you’re taking out a mortgage to finance your purchase, you’ll need to get pre-approved for the loan. This involves submitting your financial information to the lender and having them review your creditworthiness.
  • Hire a real estate lawyer. It’s important to have legal representation when buying or selling property in the UAE. Your lawyer will help to ensure that the contract is fair and that all of the necessary paperwork is in order.
  • Pay the down payment. Once everything has been finalized, you’ll need to pay a deposit on the property (usually 10% of the purchase price). This deposit is typically paid in cash or by bank transfer.
  • Sign the contract. The next step is to sign the sales contract, which legally binds you to purchase the property. Make sure that you understand all of the terms and conditions before signing anything!
  • Complete the transaction. The final step is to complete the transaction, which usually takes place within 30 days of signing the contract. This involves paying the remaining balance of the purchase price (minus any deposits already paid) and transferring ownership of the property into your name.

Pros and Cons of Buying/Selling in the UAE

The UAE is a renowned global business hub and as such, offers many opportunities for those looking to buy or sell property. However, as with any major business transaction, there are pros and cons to consider before making your decision.

On the plus side, the UAE boasts a strong economy and is home to a large number of multinational corporations. This provides plenty of opportunities for buyers to find lucrative investment properties. The country is also well-regulated, providing reassurance to both buyers and sellers that the transaction will be carried out smoothly and efficiently.

On the downside, the UAE property market can be quite volatile. Prices can fluctuate rapidly, so it’s important to do your research before making any decisions. Additionally, the process of buying or selling property in the UAE can be complex and time-consuming, so it’s important to seek professional advice if you’re unsure about anything.

Conclusion

Purchasing or selling property in the UAE is a complex process that requires considerable research and preparation. Thankfully, this guide has provided you with an overview of the legal requirements, market conditions, taxes and fees associated with transactions in the region. With these details in mind, we hope that this article has been helpful to those who are looking to buy or sell real estate in the United Arab Emirates.

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Your One-Stop Guide To Finding The Perfect Home With Kingdom Properties Real Estate

Are you in the search of your dream home? Kingdom Properties Real Estate can turn that dream into a reality. Learn more in this guide on how they use state-of-the-art technology to make the home buying process easier and more efficient than ever before.  So, if you’re looking for a stress-free and efficient way to find a new property, then this one-stop guide is what you need!

Introduction to Kingdom Properties Real Estate

Looking for a new home can be a daunting task, but with the help of Kingdom Properties Real Estate, it doesn’t have to be! We are experts in the field of real estate and we know exactly what it takes to find the perfect home for you and your family. We will work with you every step of the way, from finding the right property to negotiating the best price possible. With our years of experience and dedication to our clients, you can rest assured that you are in good hands when you work with us.

So what are you waiting for? Give us a call today and let us help you find the home of your dreams!

Benefits of Working with Kingdom Properties

If you’re looking for a new home, you may be wondering if it’s worth working with a real estate agent. At Kingdom Properties, we believe that the benefits of working with a real estate agent far outweigh the cost. Here are just a few of the benefits of working with us:

  1. We have access to exclusive listings. Because we work with such a large number of sellers and developers, we have access to listings that aren’t available to the general public. This means that you’ll have a better chance of finding your dream home by working with us.
  1. We know the market inside and out. Our real estate agents are experts in UAE’s real estate markets, especially Dubai districts and can help you find the perfect home at the right price.
  1. We’re here to help you every step of the way. From finding the right home to negotiating the best price, our goal is to make sure that your home buying experience is as smooth and stress-free as possible.
  1. We offer a wide range of services. In addition to helping you find and purchase your new home, we can also help you with things like mortgage financing, homeowners insurance, and more.
  1. We have an experienced team who will fight for you. When you work with Kingdom Properties, you’ll have an entire team of experts fighting for you – from our experienced real estate agents to our in-house legal team. We’ll do everything we can to make sure that you

Setting Your Home Search Criteria

When you’re ready to start looking for a home, it’s important to have a clear idea of what you’re looking for. Kingdom Properties Real Estate can help you find the perfect home, but first you need to know what your search criteria are.

Some things to consider when setting your search criteria include:

-Location: What area do you want to live in? Do you want to be close to downtown, or are you looking for a more suburban or rural location?

-Size: How many bedrooms and bathrooms do you need? Do you want a single-family home, or would an apartment or condo suffice?

-Style: What style of home do you prefer? Are you looking for a traditional home, or something more modern?

-Budget: What is your budget for a new home? Keep in mind that there are additional costs associated with buying a home, such as closing costs, so be sure to factor those into your budget as well.

What to Look for When Viewing a Home

When you are viewing a home, there are many things to keep in mind. First, you want to make sure that the home is in good condition and that all of the features are working properly. You also want to pay attention to the layout of the home and see if it would work for your needs. Finally, you want to make sure that the neighborhood is one that you would feel comfortable living in.

Steps in the Home Buying Process

The home buying process can be a daunting one, but with the help of Kingdom Properties Real Estate, it doesn’t have to be! Here are the steps that our team of experts will take you through in order to find your perfect home:

  1. Define Your Search: The first step is to sit down with one of our experienced agents and discuss your wants and needs in a home. We will then use this information to create a custom search for you.
  1. View Properties: Once we have a list of homes that fit your criteria, we will set up appointments for you to view them. This is an opportunity for you to get a feel for the property and see if it could be the right fit for you.
  1. Make an Offer: If you find a property that you love, the next step is to make an offer on it. Our agents will work with you to negotiate the best possible price for the home.
  1. Get Inspected: Once your offer is accepted, it’s time to get the home inspected. This is an important step in order to ensure that there are no hidden problems with the property.
  1. Close on the Property: The final step is to close on the property and officially become its new owner! Kingdom Properties Real Estate will be there with you every step of the way, ensuring that everything goes smoothly.

Tips on Negotiating the Best Price

Kingdom Properties Real Estate is always here to help you get the best deal on your next home. Here are some tips on negotiating the best price: 

– First and foremost, do your research! Know what similar properties in the area have gone for recently so you have a good idea of what to expect. 

– Don’t be afraid to ask for what you want – chances are, the seller will be open to negotiation. 

– It’s important to be flexible – be willing to compromise on things like the price, closing date, and other details in order to reach an agreement that works for both parties. 

– Have a loan pre-approval in hand so you can show the seller that you’re serious about buying the property. 

– Be prepared to walk away from the deal if you can’t come to an agreement – there’s always other homes out there!

Final Advice on Choosing the Right Property

When it comes to finding the perfect home, there is no one-size-fits-all solution. However, there are some general tips that can help you narrow down your search and make the best decision for your specific situation.

Here are a few final pieces of advice to keep in mind when choosing the right property:

Think about your long-term needs: Are you looking for a forever home or something that will suit your needs for the next few years? This will help you decide on things like size, location, and amenities.

Don’t rush into anything: Take your time touring different properties and really get a feel for what each has to offer. It’s important to find a place that you’re truly comfortable with and doesn’t just meet all of your basic requirements.

Get expert help: Working with a knowledgeable real estate agent can make the entire process much easier (and less stressful!). They can provide insights and guidance based on their experience and expertise, which can be invaluable when making such an important decision.

If you follow these tips, you’ll be well on your way to finding the perfect property for you and your family. Kingdom Properties Real Estate is here to help you every step of the way – contact us today to get started!

Conclusion

Fortunately, with the help of Kingdom Properties Real Estate, finding your dream home has never been easier. Whether you’re looking for a spacious apartment in the city or a cozy cottage near the beach, their team of experienced agents and comprehensive database of properties can help you find what you need quickly and effectively. With our tips, we’re confident that you’ll be one step closer to enjoying a new place to call your own!

 

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Investing In Dubai Real Estate: The Top 10 Mistakes That Beginners Have

With the real estate market in Dubai continuing to expand, it’s important to know what mistakes beginners and seasoned investors alike can make when investing in Dubai property. That’s why we’ve compiled a list of the top ten mistakes that you’ll want to be sure not to make so that your investment is secure.

Introduction to Dubai

Dubai is a city located in the United Arab Emirates that is known for its luxury lifestyle and booming economy. In recent years, Dubai has become increasingly popular as a destination for real estate company services, as it offers many opportunities for growth and development. However, there are some common mistakes that beginners make when investing in Dubai real estate.

The top 10 mistakes people make in investing in Dubai real estate

  1. Not Doing Their Research

The first mistake that many people make when investing in Dubai real estate is not doing their research. There are a lot of things to consider when investing in any property, and it is important to have all the facts before making a decision such as location, future projects in the targeted region, traffic data, infrastructure, transport options, median income levels, service charges, etc…

  1. Not Hiring a Professional

Another mistake that people make is not hiring a professional to help with their investment. While it is possible to find good deals on your own, working with a professional can help you avoid potential pitfalls and get the most out of your investment.

  1. Investing Without a Plan

Many people make the mistake of investing without having a plan in place. This can lead to making impulsive decisions that may not be in your best interests. It is important to have a clear idea of what you hope to achieve with your investment before you start so that you can make informed decisions along the way.

  1. Failing to Consider the Location

When investing in Dubai real estate, it is important to consider the location of the property carefully. The location will play a big role in determining the value of the property and how easy it will be to rent or sell in the future.

  1. The bank loan

Investment entails working out the loan payment program if you’re not planning to buy the property in cash. First, you must consult your bank if you’re eligible for a loan. This is an equation that depends on many factors including your salary, loans percentage of your income and your company’s reputation. If you get a preapproval for the loan prior to hunting for property, it would help you a lot land a good deal since you can finalize the deal quickly if the price is lower than the market value.

  1. Overpaying for a Property

One of the biggest mistakes that people make when investing in Dubai real estate is overpaying for a property. It is important to remember that properties in this market can be highly volatile, and prices can change rapidly. As such, it is important to get a good deal on the property you are interested in so that you do not end up overpaying in the long run.

  1. Connectivity

How easy it is to reach the places of interest to you is a major consideration in Dubai. For example, a tricky feature of Dubai is traffic as you might get stuck for hours during rush hour due to limited access to your property. Further, reaching ancillary services if you select a flat that is not in a community might cause huge headache when reaching out to a technician or asking for delivery of your furniture.

  1. Not Considering the Maintenance Costs

Another factor that many people fail to consider when investing in best real estate companies in Dubai is the maintenance costs associated with the property. These costs can add up quickly, and they can eat into your profits if you are not careful. As such, it is important to factor these costs into your investment plans so that you can budget accordingly.

  1. Ignoring the Legalities

Investing in Dubai real estate also comes with a number of legalities that you need to be aware of. These include things like zoning regulations and building codes. Ignoring these legalities can lead to problems down the road, so it is important to make sure that you are up to date on all of the relevant laws before making an investment.

  1. Failing to Diversify Your Investments

One final mistake that many people make when investing in Dubai real estate is failing to diversify their investments. This means investing all of your money in one property or one area. This can be a risky strategy, as it leaves you more exposed to market fluctuations. As such, it is important to spread your investments out so that you are not putting all your eggs in one basket. 

The Dubai real estate market is a complex one, and there are a number of different factors to consider before making an investment. By avoiding these common mistakes, you can increase your chances of success in this market.

How to invest in Dubai property

When it comes to investing in Dubai real estate, there are a few things that you need to keep in mind. First and foremost, you need to understand the market. The Dubai property market is ever-changing, and if you’re not keeping up with the latest trends, you could end up losing a lot of money.

That’s why it’s so important to work with a reputable real estate advisors who know the ins and outs of the Dubai property investment company. They’ll be able to guide you through the process and help you avoid any common mistakes that beginners make.

Another thing to keep in mind is that Dubai is a global city, and its real estate market is influenced by events all over the world. That means that if there’s an economic downturn in another country, it could have an impact on the value of your property here in Dubai.

Finally, you need to have an agent that can handle your property if you’re not in Dubai. Although it is relatively easy to do transactions online, sometimes not having an agent to run the property might cause major inconvenience.

Conclusion

If you’re thinking of investing in Dubai real estate companies near me, it’s important to be aware of the potential mistakes that beginners make. By being mindful of these mistakes, you can avoid them and increase your chances of success. Do your research, work with a reputable agent, and don’t overstretch yourself financially. With careful planning and execution, investing in real estate companies in dubai can be a great way to secure your financial future.

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Ways To Make Money From Renting Out A Home

We all know the old trick of getting a home and buying it for yourself, and then renting it out to provide income. However, there are other ways to go about this endeavor. And while they can be complicated, they can also be more lucrative.

Ways to Build Equity by Owning

There are a number of ways to build equity by owning a rental property. One way is to add value to the property through improvements and upgrades. Another way is to increase the rent over time, which will increase the value of the property. Finally, paying down the mortgage will also increase the equity in the property. 

Some common improvements that add value to a rental property include:

  • Adding a deck or patio
  • Updating the kitchen or bathroom
  • Installing new flooring
  • Painting the interior or exterior of the property
  • Landscaping the yard

Increasing the Rent Over Time

Another way to build equity in a rental property is by increasing the rent over time. As the rental market grows, you can slowly increase the rent on your property. This will cause the value of your property to increase as well. Eventually, you can sell the property for more than you paid for it.

Things to Consider before Investing in Rental Properties

The first thing to consider before investing in rental properties is your financial situation. Can you afford the upfront costs of purchasing and rehabbing a property? Do you have the ongoing expenses of insurance, taxes, and maintenance?

Another thing to consider is the location of the rental property. Is it in an area that is in high demand by renters? Is it close to amenities and public transportation?

You also need to consider your time commitment. Are you prepared to be a landlord, dealing with tenants and repairs? Or would you prefer to outsource those tasks to a professional property management company?

Once you’ve considered these factors, you can start researching specific properties and neighborhoods that fit your criteria. With a well-thought-out plan, investing in rental properties can be a great way to generate income and build long-term wealth. 

Here are some important aspects to consider before investing in rental properties:

Location of the Rental Property

One of the most important things to consider when investing in rental properties is the location. The property should be situated in an area with high demand from renters. It should also be close to amenities and public transportation.

Income Potential of the Rental Property

Another key consideration is the income potential of the rental property. You’ll need to research the local rental market to determine how much rent you can charge. You’ll also need to factor in the ongoing expenses of operating a rental property, such as insurance, taxes, and maintenance.

Time Commitment Required

Investing in rental properties requires time and effort. You’ll need to screen tenants, handle repairs and maintenance, and deal with other landlord responsibilities. If you’re not prepared to handle these tasks, you may want to consider hiring a professional property management company.

Safety and Security as a Landlord

As a landlord, it is your responsibility to ensure the safety and security of your tenants. There are a number of ways you can do this:

  1. Conduct background checks on all prospective tenants. This will help you weed out any potential troublemakers.
  1. Install security devices such as alarms and cameras around the property. This will deter criminals and help you keep an eye on your tenants.
  1. Be responsive to any maintenance or repair issues that arise. Tenants will feel safer in a well-maintained property.
  1. Keep the property well lit, both inside and out. This will make it more difficult for criminals to operate unnoticed.
  1. Get to know your tenants and build relationships with them. This will make them more likely to trust you and report any suspicious activity to you.

By following these tips, you can create a safe and secure environment for your tenants, which will ultimately lead to happier, longer-term renters.

Lease Income (Up Front Cash) or Tenant Homestead Lease Income ?

Leasing your home can provide you with a reliable source of income, whether you choose to lease it up front for cash or through a tenant homestead lease. Upfront cash leases are typically shorter in term, but can provide a larger lump sum of money upfront. 

No matter which option you choose, leasing your home can be a great way to supplement your income and help you reach your financial goals. When considering either an upfront cash lease or a tenant homestead lease, be sure to weigh the pros and cons carefully to decide which option is best for you and your property.

Hiring a Management Company to Invest in Property – The Good, the Bad, and the Ugly

There are a lot of things to consider when hiring a management company to invest in property. The good, the bad, and the ugly all play a role in the decision making process. Here are some things to keep in mind when making your decision.

The Good:

A good management company will do everything they can to maximize your investment. They will screen tenants, collect rent, provide customer service, and take care of any maintenance or repair issues that may arise. All of this can free up your time so that you can focus on other things.

The Bad:

There are some downsides to working with a management company as well. First of all, they will typically charge a percentage of the rent collected each month as their fee. This can eat into your profits if you’re not careful. Additionally, you’ll have less control over who rents your property and how it’s being maintained. If problems arise, it may take longer to get them resolved since you’re not dealing with them directly.

The Ugly:

Of course, no investment is without risk. There’s always the chance that something could go wrong, regardless of who is managing your property. Tenants could damage the property, fail to pay rent on time, or create other problems that would need to be dealt with. No matter how good a management company is, there’s always potential for problems – so be prepared for anything!

Conclusion

There are a lot of different ways to make money from renting out your home. You can choose to rent out a room, an entire apartment, or even just a portion of your home. You can also decide how long you want to rent it for – it can be a short-term rental or a long-term lease. No matter what you decide, there’s sure to be a way to make money from it!