High Demand
Storage units are in high demand for a variety of reasons, and this trend will likely stay the same for a while. People use storage units to help them declutter, relocate, organize inherited possessions, and store more oversized items such as boats and tools. College students also frequently use storage units to keep hard-to-transport things. Furthermore, with the convenience of online shopping and delivery, more people are likely to require storage space for their purchases. It is rare to come across someone who feels like their home has too much storage.
Less Maintenance
Investing in storage units has a significant advantage over multi-family investing. While homes are essential, they tend to require maintenance and can get dirty. On the other hand, self-storage units are less prone to wear and tear and require minimal cleaning before renting them out to the next tenant.
Low Turnover
Transporting heavy goods or bulky items from one location to another can be a daunting task. Most people prefer to avoid it as much as possible. Additionally, storing and organizing numerous possessions typically requires a long-term solution. These two factors often result in a small percentage of individuals only renting storage units for a few months. More than half of them tend to keep their units for over a year, regardless of rent increases.
Consistent Cash Flow
Cash flow refers to the amount of money you have left after covering expenses such as mortgage payments and maintenance on your commercial property. When investing in property, aiming for a positive cash flow is critical. Fortunately, storage units typically generate a positive cash flow of around ten percent. Additionally, you may be eligible for tax benefits, making it an even more attractive investment option.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook and Linkedin.