Should my little bro buy a NEW car to rent on Turo

[Gregory Schwartz]

My younger brother is looking for some passive income. He happens to live in Maui (no he hasn't met @Brandon Turner, not that he'd know who Brandon is. No offense Brandon he just doesn't love real estate like the rest of us). Back on topic, Maui is in some sort of car shortage and cars are renting on Turo for $150-300 per day. He wants to buy a new car and put it up for rent so he can make some extra money. Keep in mind my advice was to; A. get a better-paying job and/or B. learn a new skill and get a side hussle.

So would you recommend taking advantage of what, at least for now, looks like a great way to turn a liability into a cash-flowing asset?

Anyone currently doing this in Kahului, Maui? Please DM me

[Gregory Schwartz]

@Janice V. thanks for that. Why would you recommend not getting a Jeep Wrangler? Seems like an ideal island car.

@JD Martin It took a while but I finally think I have him convinced that if he does buy a car it should be a used one. I told him it has to meet the 1% rule. Daily rent has to be 1% of the cars price tag.