Self-storage ownership is a good investment for many reasons, including the fact that increasing profits can be simple. With creativity and attentiveness, self-storage facility owners can boost profits and cut expenses while also increasing value.

Cut Costs

There are many strategies you can consider that might significantly cut expenses for you, as a self-storage facility owner, including the following:

Marketing

Print advertising is expensive, and it doesn’t produce the same results that  Internet strategies can yield. If you haven’t put much into your self-storage website, shifting marketing dollars to your online presence should pay off nicely. Look at your competitors’ websites to see what you may need to win over local customers. Many self-storage owners have discovered that advertising costs per new tenant are dramatically less expensive with online marketing, compared to outdated methods.

More Ways to Cut Expenses

Increasing your bottom line is worth all the effort you put into cutting costs. Although adopting a more up-to-date advertising strategy could significantly cut expenses, no need to stop there. Look into the following possibilities for lowering costs at your self-storage facility:

  • Switch to energy-efficient light bulbs indoors and LED lights for exterior lighting.
  • Strategically reduce the hours your facility is open, such as on Sundays, when few tenants access their self-storage.
  • Offer an option to pay rental fees online. This reduces the cost of having a manager on the property to assist in receiving monthly payments.
  • Invest in more efficient office equipment. Laser printers, for example, are far less expensive to operate than ink-jet printers.
  • Replace standard phones with cost-saving voice over IP (VoIP) technology. This means calls would be made through the Internet instead of a telephone network.
  • Research shows that self-storage facility owners often overpay on property taxes. If you haven’t protested your property value that resulted from re-assessment by the county when you bought the property, don’t delay in protesting the amount. It’s possible to save thousands annually by disputing the higher property value that generated higher taxes.

Raise Self-Storage Rents

You will increase your profits and the value of your self-storage property at the same time if you raise rents on some of your tenants who have been at your facility for less than a year. If a tenant has multiple units, avoid raising their rental costs. More tips follow:

  • Rental increases should be between 5% and 7%, though you may be fine going higher on the most in-demand units.
  • January 1 and July 1 are recognized as the best months to raise self-storage rents because tenants are typically preoccupied with either New Year’s Eve celebrations or preparations for the 4th of July.
  • If tenants complain about the increase in rent and they are renting a unit size that has many vacancies, cancel their rate increase.

Contact Weaver Realty Group Today

Weaver Realty Group offers expert self-storage brokerage services and a free and accurate real-time valuation and performance analysis of your self-storage property. With this information, you are equipped to make the right decisions regarding your investment. Weaver Realty is an Argus affiliate, which provides distinct advantages when an investor is buying or selling a self-storage facility. Argus is a nationwide network focused on the sale and purchase of self-storage investment properties. For more information, contact Josh Koerner of Weaver Realty Group at (904) 591-0140 today.