Unlock Passive Income: How Your Possessions Can Earn You Money in the UAE

Sarah Silsbury, a stylist and personal shopper, initially hesitated about renting out her extensive wardrobe, describing it as “getting out of hand.” She found the idea of renting her clothes a potential “faff” but was pleasantly surprised by how straightforward the process is. “Once your pieces are listed, there's very little to worry about and my wardrobe is basically earning its own keep now,” she shared. Silsbury has experienced consistent rentals, earning thousands of dirhams in passive income from garments that would have otherwise remained unused. “My wardrobe has developed its own little side hustle, which rather conveniently helps fund my next fashion obsession,” she added.

An increasing number of individuals in the UAE are adopting a similar approach, leveraging a variety of rental platforms that facilitate turning underutilized possessions into a steady income stream. These platforms, covering items from high-end fashion to household equipment, simplify the process significantly.

The rental economy thrives on intermediaries. Endless, a Dubai-based fashion rental platform founded by Rosie Gunn, manages logistics comprehensively. Gunn describes it as a “low-effort additional stream of income for the financially savvy modern woman,” noting that top lenders on her platform have earned tens of thousands of dollars, enough to cover holidays, weekend plans, or weekly grocery shopping.

Best Kept Shared, co-founded by Sophie Kjoller, operates on a similar model, connecting lenders, referred to as “keepers,” with borrowers seeking designer pieces at a fraction of the retail price. Kjoller states that with curated items and moderate effort, lenders can earn hundreds or thousands of dirhams monthly, with some reaching tens of thousands from items that would have otherwise been unworn.

Neighbr, founded by Natalie Malhas, extends this concept beyond fashion to household equipment, electronics, and practical items within residential communities. Malhas believes that “some of the best income opportunities are hiding in things we already own,” emphasizing that starting to earn doesn't always require launching a new business, but rather looking around one's home.

For instance, a baby stroller listed at Dh60 per day could yield Dh840 if rented for a fortnight. Malhas points out that an item rented out multiple times at a lower daily rate can generate more revenue than a higher-priced item rented infrequently. She advises that “an item listed at Dh20 a day that gets booked 10 times can generate more rental revenue than the same item listed at Dh100 that only gets booked once.”

The founders of these platforms agree that successful earning hinges on a few key decisions: desirability, visibility, and availability. Desirability involves listing items that are in demand, such as “standout dresses, jumpsuits and occasion wear, particularly trending styles and cult pieces.” Visibility is achieved by promoting listed items, perhaps through social media, showcasing styled looks and linking to available rentals. Availability requires ensuring items are clean, well-presented, and ready for quick handover, as many bookings, especially for fashion, are for same-day delivery or short notice.

Gunn suggests presenting a wardrobe like a “mini boutique” with great imagery, accurate descriptions, competitive pricing, and a good selection. Malhas advises against overpricing based on original purchase cost, instead focusing on a price that incentivizes rental. The shift in mindset should be from “How much can I charge for this?” to “What price would make someone want to rent this?”

For fashion rentals, an emotional aspect exists. Silsbury's initial concern was lending cherished pieces to strangers, but she realized “they're meant to be worn, and I'd much rather see them out having fun than sitting in my wardrobe.” Rawan Kasir, who has earned thousands of dollars renting through Endless, is selective, choosing sentimental or personal items to keep private. She rents out pieces she loves but doesn't wear often, particularly occasion and holiday items, noting a shift in fashion consumption towards less single-use and more shared-use.

Malhas advocates for a broader shift in how people view possessions, especially in urban settings like Dubai. She questions the necessity of multiple individuals in the same building owning items used infrequently, suggesting peer-to-peer rental as a more sustainable and economical alternative. The goal is to encourage people to ask, “Can I rent this from someone nearby?” instead of immediately searching to buy, recognizing that the person with the needed item might be just next door.