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I am trying to find out what are some of the passive income opportunities available in chennai - where one can invest some amount and it produces and produces some more of constant stream of income over several years.
E.g., build a lodge and then the rents become your income streams over years.
I am looking for more feasible ideas.

buy autorickshaws and rent them out. buy call taxis and rent them out to a call taxi company. financing and lending at a local level for high interest rates is another income stream. these are all high risk though.

moreqa;70262I am trying to find out what are some of the passive income opportunities available in chennai - where one can invest some amount and it produces and produces some more of constant stream of income over several years.
E.g., build a lodge and then the rents become your income streams over years.
I am looking for more feasible ideas.[/quote]

medical tourism is getting bigger, buy a house near any big hospital, furnish it and rent it out on a day to day basis.
some out of state/country patients will rent it out even for months.

Is it possible to find an apt/house in Chennai (or suburbs) so that the rent covers the mortgage?

I know it may not be easy to find. But if can find such deals, it will be a good investment. Even though, it may not produce any passive income now, it will surely do so in 5 years(assuming rent increases). In addition, this will build wealth as well.

>>Is it possible to find an apt/house in Chennai (or suburbs) so that the rent covers the mortgage?

The apt/house prices are rising faster than real wage growth. You can get bank loan for buying RE which is fueling this escalation. Banks dont lend money for paying rent. It comes from the monthly wages and can not grow faster than average wage increase. With the recent spurt in RE prices, I doubt if rent will cover mortgage in any metros.

Agreed, it is a real challenge in all metros in India. Again, our investments need not be confined to metros alone.

A rough calculation is that if you get 9% rental yield (i.e. 9% of total price as rental per Annum), then this is possible. In Chennai city, the rental yield is typically 4-5%(not a scientific number but just calculated based on few properties that I know like my friends').

RE is very location specific. I have found the rental yields to be around 5-6% in a small town in TN(where my relatives live). But even that doesn't cut it; rent is less than the mortgage.

The factors that influence the balance

1. Rental yield(higher the better)
2. tenure of the loan(longer the better)
3. interest rate on the loan(lower the better)
4. price of the property(lower the better)

The challenge is in finding the right balance. It is definitely not easy, but not impossible either.

Commercial Real Estate is a very profitable one if one can afford it. Within main chennai its impossible to buy CRE now, unless one already has a land. But in Tier 2 or outside city limits one can buy land and wait for a year or 2. And then build shops or office complex depending upon the land and area.

Just reviving the thread. Any more ideas to generate passive income?

Another flavor of a RE investment idea.
https://www.growvc.com/talks/ideas/15769

vaduvur;328925Another flavor of a RE investment idea.
https://www.growvc.com/talks/ideas/15769

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