{"id":11872,"date":"2024-01-12T12:21:38","date_gmt":"2024-01-12T19:21:38","guid":{"rendered":"https:\/\/blog2.neighbor.com\/storage-blog\/?p=11872"},"modified":"2025-02-25T15:11:31","modified_gmt":"2025-02-25T22:11:31","slug":"pros-and-cons-of-owning-storage-units","status":"publish","type":"post","link":"https:\/\/www.neighbor.com\/storage-blog\/pros-and-cons-of-owning-storage-units\/","title":{"rendered":"The Pros And Cons Of Owning Storage Units"},"content":{"rendered":"\n

Over one-fifth of renters in the U.S. are using self-storage<\/a>, according to an analysis by RentCafe. That’s a massive market that’s only getting bigger. <\/p>\n\n\n\n

In addition, investing in storage units<\/a> yields unique benefits that other rental investments can’t offer. <\/p>\n\n\n\n

So, is investing in a storage business right for you? <\/em>In the guide below, we’ll lay out the pros and cons of owning storage units to help you decide.<\/p>\n\n\n\n

Pros of Owning Storage Units<\/h2>\n\n\n\n

First, let’s talk about all the reasons why you should consider starting a self-storage business.<\/p>\n\n\n\n

Owning storage units comes with lots of advantages, from a growing market<\/strong> to a relatively simple and easy-to-streamline business model<\/strong>. <\/p>\n\n\n\n

These are the pros of owning storage units: <\/p>\n\n\n\n

Pro #1: Flexible Hours<\/h3>\n\n\n\n

A rarely mentioned benefit: If your goal is to run your own self-storage business, you’ll be happy to hear that you can essentially set your own hours.<\/strong><\/p>\n\n\n\n

Want to open at 10 A.M. Monday? Or 12 P.M. on Wednesdays and Thursdays?<\/em> You can do that. <\/p>\n\n\n\n

But before you do, you’ll want to confirm that these operating hours are a convenient time for your customers to access their storage. Remember, when<\/strong> and how often<\/strong> you’re open may impact your <\/em>customer acquisition<\/em> strategy<\/a>. <\/p>\n\n\n\n

Some customers may be looking for 24\/7<\/a> access. If you limit your storage facility to standard business hours, for example, <\/em>you may lose out on customers shopping for storage with late-night access. <\/p>\n\n\n\n

Pro #2: Great Lifetime Value<\/h3>\n\n\n\n

Easily, one of the biggest pros of claiming a stake in the storage industry is the high LTV,<\/strong> also known as the “lifetime value.”<\/p>\n\n\n\n

The average customer rents a storage unit for a span of 10 months<\/a>,<\/strong> according to one report, with roughly half of self-storage customers renting for more than one year. <\/strong><\/em><\/p>\n\n\n\n

That means massive lifetime value and the chance for incredible margins, with the typical customer paying you for roughly a year (on average). <\/p>\n\n\n\n

Pro #3: High (and Growing) Demand<\/h3>\n\n\n\n

In addition to high LTV, there’s also incredibly high demand for storage<\/em>.<\/p>\n\n\n\n

Earlier, we touched on how one in five renters are using self-storage. The industry has far from plateaued, however. <\/p>\n\n\n\n

Over the course of the next decade, the industry is expected to grow massively<\/strong>, with 2024 alone seeing an expected 7.5% growth in market size<\/a>. <\/p>\n\n\n\n

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Can we pay you to store vehicles?<\/h2>\r\n <\/header>\r\n
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List your unused space<\/h3>\r\n

People are earning $1,000s per year from their garages and outdoor space.<\/p>\r\n <\/div>\r\n

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Approve your renters<\/h3>\r\n

You're in control. Approve who rents and the hours of access.<\/p>\r\n <\/div>\r\n

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Get paid monthly<\/h3>\r\n

Sit back and collect automatic payments each month.<\/p>\r\n <\/div>\r\n <\/section>\r\n