If you are considering joining the industry of self storage, then you are not alone. Currently, the industry is experiencing a boom and according to the research forecast, the compound annual growth rate and the return on investment on self-storage properties will continuously increase over the next few years, making it an attractive investment.

Additionally, small business association loans can easily enter the self-storage market compared to their residential counterparts. Here are some of the reasons why the future of self-storage in 2022 continue to grow and be interesting to a lot of investors.

Four Reasons Why Investors Are Looking At The Future Of Self Storage Facilities

1: Strong Return Of Investment

Between 2020 and 2025, the compound annual growth rate when it comes to the self-storage industry is projected to be at 134.79%. The demand is steady at 9.4%, while the price per unit size depends per facility, suggesting that the opportunities at self-storage for investors are endless.

ROI in Self Storage

The return of investment annually can be at 16.9% based on the years 2009 to 2018. This number is higher than apartments, retail, industrial or office during that time.
Because of the high return of investment and compound annual growth rate, the self-storage industry is one of the most sought-after forms when it comes to real estate. All you must do is to know where to find and discover opportunities in your respective areas.

2: Financing Is Accessible

Financing has also become easier to achieve because of small business association loans and passive investing opportunities. The said loans let buyers put down as small as 10% toward the projects, which is easier for investors to enter the self-storage marketing business. Typically, the loans will have a certain set of interest for roughly 25 years instead of five to seven years. The rates may vary depending on the market rates, which ensures that the payments will remain low.

3: Maintenance Is Easy

Another great thing about the future of self-storage is that a lot of people want to invest because of its ease of maintenance. There is less to maintain compared to other types of real estate investments. Currently, there are now software programs that can assist you with the everyday operations of the property.
Specialized surveillance, kiosks, and the ability to read and sign documents online let people manage the facility without having to be on the site itself. With the many self-storage technologies today, people can remove check-ins, reducing the need for a full-time manager of the property.

4: Always Have Room To Expand

Just like other self-storage facilities, there is a lot of room to expand. Besides the usual storage units, there are now added services and products that can be added alongside. This may include boxes, locks, dust covers, lifting straps, trailer lock kits, furniture slides, and more.

These things can be a reliable source of income together with self-storage. More and more self-storage facilities are offering added services because of the opportunity to earn more.

Self Storage Packaging Materials

These things can be a reliable source of income together with self-storage. More and more self-storage facilities are offering added services because of the opportunity to earn more.