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Karl purchased a second, larger home in which to live. He has decided to rent his first home out for $1,500 a month. His mortgage on the first home is $1,250. Is this an example of passive income?.
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14 votes
14 votes
Karl purchased a second, larger home in which to live. He has decided to rent his first home out for $1,500 a month. His mortgage on the first home is $1,250. Is this an example of passive income?.

User Jerry Tian
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2 Answers

20 votes
20 votes
Yes it would be because he’s gaining 250$ from renting out his original home
User Denise Mauldin
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16 votes
16 votes

Yes, this would be an example of passive income

User Zmilan
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3.0k points
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