Buying a self-storage facility is a lot harder than you think, particularly if you want to make money with it. Over the years, there are some basic traits that separate winning facilities from losers. And that genetic code is hard to break.
There are many people who will tell you all about how to buy a self-storage facility, in order to sell you a book, course or boot camp. But they really have either limited or no experience. The concepts we’re going to tell you here are based on real-life information and plenty of it from operating one of the largest websites devoted to the industry. And it may be a lot different from what you’ve heard before. Continue reading
There is urban legend going around, created by some gurus trying to sell their books, that you can manage an entire self-storage facility from a kiosk basically a walk-up automated teller like an ATM machine. Although the concept of having a robot manage a self-storage facility is attractive from a cost-savings and low management perspective, it is, unfortunately, a fantasy with about as much practicality as the photon torpedo out of Star Trek.
The reasons you cannot manage a self-storage facility from a kiosk are numerous: Continue reading
There is a ton of bad information out there on the self-storage or mini-storage industry. Contrary to what you may read, there is virtually no money in building new facilities or buying them at a 7% cap rate. If you really want to make money in self-storage, you have to put in significantly more work, and follow a different game plan entirely. Buying an established facility with good occupancy at market rents will not lead to great riches only endless concern over making the note payment. The way to success is much more basic. Continue reading
One of the first things I ask a client during our initial conversation is how much is the loan amount and what is the NOI on the property?
Most of the time this separates the first time buyers from the seasoned pros by whether or not they know what I am referring to. When they hesitate, hem and haw with crickets resounding in the distance, I know they have no idea of what I’m talking about but 9 out of 10 will chirp up.
Well, it grossed $300,000.00 last year! Continue reading
Self Shortage Units are attractive to both buyers and lenders. Operating and maintenance costs are low and the ROI (return on investment) is comparable or higher than multi-family units and mobile home parks, which we also finance. The initial investment is 1/4 to 1/3 of other investments, and ongoing improvements are minimal. With our economy constantly evolving and the job market constantly changing due to jobs being eliminated, Self Storage Units are in demand because people are having to relocate in order to seek new opportunities. Continue reading
Self Storage companies provide storage space to home users where they can store personal items like furniture and other belongings to make space at home. Self storage facilities can also be used for commercial purposes by businesses and offices to store extra equipment, machinery and furniture lying around the office. Storing stock on your commercial premises can make your office look more like a warehouse instead of business premises. This is when you need to contact a storage company that can take care of your storage needs. Continue reading
Self storage companies provide storage space to residential and home users who look for extra storage space to store their belongings. Personal self storage companies can take care of all your storage needs, whether you want to store your sporting good, seasonal possessions, valuables, old piece of furniture or a piano, student storage possessions or belongings and furniture at home which you need to clear to de-clutter your home for a sale or for moving to a new house. Continue reading
I was beginning to think I would never hear that 90% financing would return until I received an email last Friday.
90% financing on Self Storage Continue reading
I’ve often said that if I had a dollar for each time I am asked during the year…
‘So…what’s your lowest rate?’ A mortgage professional can tell that a client is shopping rate only. Since we work with clients all over the country and can’t see you on the phone, we can tell by the questions you ask and the answers you provide.
Is it a purchase or refinance?
How much did you invest?
How long have you owned the property? Continue reading
It seems all we talk about these days is ‘the competition’ and how to beat them. From board games to reality TV, the concept has never been more prevalent in modern culture. But when does quality come into play? Sure…we’ve all seen those ‘Coupon Queens’ fight it out to the last nickel over the one thousandth roll of bargain brand tissue but really now…who would ever need a 1000 rolls of anything much less cheap toilet paper?? Which brings me to the point…when do quality and experience trump the competition? Continue reading