Could this be your next CRE investing venture? If so, we can help!
If you want to start a business, one way you can do it is by investing in one of the most stable forms of wealth: real estate. You could go with residential properties, but you could also go with commercial real estate, which is even more secure than residential. Among the types of commercial real estate out there, self-storage rentals are one option you might not want to overlook. Are self-storage rentals profitable?
Why Self-Storage Rentals Are Profitable
Steady Demand
Self-storage rentals are profitable because there is always a demand for storage space. Office spaces have risen, fallen, and risen again in demand, and retail stores have faltered somewhat because of online shopping, but the need for physical storage space remains constant, whether for personal or commercial needs.
Recession-Proof
Even in economic depressions, people need storage for business, moving locations, events, and more. Life goes on, and with that come belongings that sometimes need another spot besides a home or office to stay safe.
Low Maintenance Costs
Self-storage rental properties do need some maintenance, such as cleaning out between occupancies, building maintenance, and landscape maintenance. Even so, the costs of maintaining self-storage rentals could be more affordable than some other commercial property types.
Qualities of a Profitable Self-Storage Rental
Variety of Unit Types at Reasonable Costs
For a self-storage rental to truly be successful, though, it will do best if it offers a variety of units at competitive rental prices. It’s beneficial for the property to feature units with different square footages and features, such as temperature control. All units should have commercial-level security.
High-Quality Maintenance
The property itself should be very well-maintained. It should be kept professionally clean, structurally sound, mold-free, and well-landscaped. A property in great condition will attract many more customers and give you a higher occupancy rate.
High Demand, Low Competition Location
Your self-storage facility should be in a strategic location. Successful self-storage properties are often located on busy roads for easy access.
How to Invest in Self-Storage Properties
Saving up for a mortgage on a self-storage property is the first step. The second step is to understand how to set up the business. The third step is to reach out to a qualified commercial real estate agent, such as Clagett Enterprises, to help you along your real estate investing journey. If you need property management services, we can offer that, too.
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.