Why Invest in Self-Storage?

Self-storage is one of the most profitable commercial properties that you can own. If you find a property with a better CAP rate, will it have the same ease of management and low maintenance that self-storage does?

Self-storage is a very simple property to maintain. Depending on what your facility is made of, there may be almost no maintenance. You don’t have to worry about plumbing issues, you don’t have to worry about the HVAC breaking. You don’t need to constantly prep the property for the next renter. The last renter swept it out, so it is ready to go. When you are working with apartment complexes, you have all of the worry for a similar or lesser return.

Now this doesn’t mean that you shouldn’t maintain your property. You need to do annual maintenance and you may be in an area where you have to maintain your asphalt or cement. You might need to repair the occasional door or even paint your doors if they are weathered. Deferred maintenance happens on every property.

Managing your self-storage facility can also be very straightforward. You need someone who can rent the units to potential renters and get those potential renters in the door. There are a lot of management programs out there that make it easy to track who is paying rent and who isn’t.

When you are managing rental properties, you often have to deal with painful evictions, vacancies while you prep the unit to be rented again and vacancies. While all of this happens in self -storage too, it is not as prevalent with a great manager.

When you are deciding on buying commercial property, keep self-storage in mind. It is one of the easiest assets to own. As always, happy investing.