What is the best asset to invest in? Self-Storage of course.

Self-storage is one of the best assets there is to invest in. The properties continue to appreciate. Even in bad economies you have renters. Sometimes, the worse the economy, the better your occupancy rates. They are a great source of cashflow. They have minimum maintenance, and they are easy to manage.

So how do you start investing in the best asset out there? First, you need to understand the self-storage business. If you don’t understand what you are buying, then it will be difficult to keep your property running at maximum occupancy.

When you are transitioning into self-storage, you should spend some time behind the counter. You need to know how the business operates. Once you understand how the business operates, then you can create standard operating procedures to make sure that your managers do things the exact same way.

You need to really get to know the self-storage software that your business is going to use. There are several choices out there. Once you choose one, make sure that you learn it. This will prevent your managers from embezzling funds from you. You will better understand what reports are available so that you can track your investment. By knowing how to use and access your software, you can make sure that things are being done the way that you need them to be.

You also need a mentor to help you avoid the pitfalls that can arise from owning self-storage. How can you have any lawsuits from self-storage? You might be surprised. You can have people trolling you to find out if you have handicapped units available. If you say no, you will end up with a lawsuit. You can have someone get injured on the property. Make sure you have enough insurance coverage.

Finally, you can get into a lot of trouble if you accidentally auction off the wrong unit. In order to avoid any clerical errors that might result in locking out the wrong tenant, you must make sure that things are done the correct way each time. Your manager must show each property and verify that they are renting the correct unit. They must make sure that they are getting all the paperwork signed. Finally, they must follow the correct paper trail before you auction off someone’s unit.

A mentor can help you understand what areas you may run into problems and how to avoid those problems before you even start. If you are new to self-storage, find someone to help you transition. There are a lot of self-storage investors out there. Find someone who is willing to take you under their wing. Make sure that you understand what you are doing so that you have a facility that is as profitable as possible. As always, happy investing.