Sunday, December 8, 2019

Storage Shed vs. Self Storage Rental

December 15, 2010 by  
Filed under Buying a Shed

It amazes me how many people spend $125, $150 or more per month renting a self storage unit. It makes sense for those who live in apartments, condominiums, rental properties or who need a very short term storage solution but for those who own a home and simply need more space it is cost prohibitive.

Let’s take a 10′ wide x 15′ deep x 8′ tall or 1200 cubic feet of storage space. Locally, this unit goes for $179 per month. This unit is not climate controlled.
The cost per year is: $2148.00

Compare that to a 10′ wide x 16′ long x 10′ tall Highwall or Dutch barn with approximately 1500 cubic feet of storage space for a one time purchase price of $2795 and renting an off site storage unit just doesn’t make any sense.

Of course this requires that you have an extra $2795 to spend on a shed and do not have a credit card and the storage shed dealer you are purchasing from does not have any financing options.

Even if you only need the shed for 1 year it is the better option!

How? You will own the shed and can easily sell it for 50% or more of the purchase price. The company who sold it to you would probably buy it back if you can’t sell it to a neighbor or via an online message board such as craigslist. I am picking up a 4 year old shed Monday for which I paid more than 50% of their original purchase price. Think of how

Using the above example your out of pocket for the year you used the shed would be about $116.00 per month as opposed to $179.00 per month for the off site storage unit. It would be easily accessible. No driving to the storage place to get something you need.
What about 2 years?

Using the same specifications above renting an off site storage unit for 2 years is far more expensive than owning a shed.

Storage Unit $2148 per year x 2 = $4296.00

One time purchase of larger shed = $2795.00

The cost of the shed doesn’t change. If you want to factor in painting or maintenance in say year 7 (probably won’t be needed until year 10+) then add another $500 to the cost but but at 7 years, assuming there is no price increase, the storage unit rental has cost you more than $15,000.00 or the cost of more than 6 larger storage sheds.

Take into consideration that most storage shed retailers offer some type of financing. You may even opt to use a credit card or your own bank or credit union. The bottom line is if you own a home and rent an off site storage unit for more than a year you are throwing thousands of dollars out the window.

Note: I decided to post this after speaking to a customer who has been renting a 10×20 storage unit for years. It took about a minute for me to show her that buying a shed would save her a lot of money.

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