Buying vs Renting: Are Storage Units a Good Investment?
Did you know that nearly 10% of all households in the United States rent a storage unit to deposit various goods? This is possible because there are more than 2 billion square feet of rentable space in the US alone.
But are storage units a good investment? Is it better to rent a storage unit or to buy one altogether? There are pros and cons for each situation, especially if you have a business and need extra space for your products. Keep reading this article to find out if renting a storage container is a good idea!
Are Storage Units a Good Investment? 5 Things To Consider
Whether you’re relocating to a new place or you just need some space to deposit your old collection of vinyls, you’re stuck with a dilemma – to rent or to buy? Here are 4 things to consider before making this decision.
1. For How Long You Need the Container?
Families that relocate to a new place might need a storage unit for just a couple of weeks or months. In such cases, a storage unit is ideal to deposit goods such as kitchen appliances, electronics, furniture items, old clothes, etc. These items are stored in a special container until you have enough time to move them to your new place.
If the storage period is around 4-6 months at most, it’s probably a good idea to just rent a storage unit. You pay a monthly fee for this space and when you’re done, you just give back the keys to the storage unit. There are no hidden charges, the fee you pay is determined by the size of the unit you rent, and you’re not stuck with a container at the end of the renting period.
2. Consider the Nature of Your Business
If you’re interested in more storage space to serve the needs of your business then you need to carefully consider your decision. For example, people in the retail business need extra space to store surpluses of goods and products for a few months each year. In this case, renting a large storage unit is probably a more cost-efficient solution.
On the other hand, if you’re in the construction business and you work with heavy machinery or building materials on a regular basis, buying a storage container might be a better option. That’s because the construction industry always needs to store extra materials or goods, regardless of the time of the year.
3. Consider Your Initial Budget
Most startups don’t have a lot of money to play with in the beginning. The initial budget of a company is usually limited and it needs to be channeled into multiple departments or projects. If you’re in this situation as well then renting a storage unit might be a better idea at the moment.
It depends on various factors, but most storage units in the US can be rented for around $100 or less per month. This is a small cost to pay and you get to store almost any type of goods in your container. On the other hand, buying a container might leave a substantial hole in your initial budget, so consider this option only if you really have to.
Although renting might be more accessible for new businesses, keep in mind that you need to avoid payment delays at all costs. Storage facilities will not wait for you to pay back several months’ worth of fees and they will simply sell your stuff or throw it away to reuse the container. It’s paramount for you to keep up with the monthly payments to reap the full benefits of a storage container.
4. Take Into Account the Types of Goods You Store
As mentioned earlier, storage units can accommodate a plethora of goods and you are allowed to store almost anything, except flammable and perishable items. However, certain products require special storage conditions. For example, if you want to deposit an old and valuable car in a safe space, you might need a tougher and more durable container. There are storage units specially designed for valuable items, so you might want to use those if necessary.
Similarly, what if you want to store items made from wood such as pianos? Wood is a material that expands or contracts, so you might need a climate-controlled storage unit. These containers are slightly more expensive and depending on the total storage period, renting might be a better solution instead of buying.
5. Consider the Transportation Options for Your Storage Unit
In most cases, you deliver your goods to a certain storage facility that has multiple storage units. However, it’s also possible to have the storage container delivered to you! This is very useful if you need to store valuable products on-site and always have an eye on them for security purposes.
If you work with a reliable provider and rent a storage unit, you will have the container delivered to your door. You use it for a certain period of time and when you’re done with it, you call the specialists to carry it back. You don’t need to worry about having a truck transport your container to your place.
On the other hand, if you buy a storage unit then you’ll eventually have to find a way to get it delivered to your place. If you don’t need it for a short period, it will occupy space in your property because you own it and you can’t send it back. Buying a container is more feasible if your storage needs extend for years.
Ready to Order Your First Storage Unit?
Hopefully, this article provided sufficient answers to your original question – are storage units a good investment? Keep in mind that renting a storage container is an important decision. We hope that the aforementioned aspects inspired you to make the right choice.
If you’re ready to rent, feel free to give us a call today! We have a plethora of containers in different sizes and they can be rented for an affordable monthly fee.