Retirement: Self-Storage Retirement Vs Stock Market Retirement.

Self-storage can allow you to invest 2/3 less and make double the income.  Wow!

Wealthy people know that owning a real estate business,  such as self-storage, can provide monthly cash flow that will outperform the stock market many times over. Real estate makes more multi-millionaires than any other business. 

Let’s compare the Stock Market vs Self Storage investments to obtain a $250,000+ annual income.

Stock market:   

Have you heard of the 4% rule?  If not, check it out online.  It basically says that when you retire, you can safely sell 4% of your stocks each year to live on. If you wanted a $250,000+ annual income, you would need to have $6.3 million in the stock market.  Not an easy task.

Self-Storage:

In comparison, with $1.5 million of your own cash (or proceeds from selling stocks) along with a $7 MM bank loan, you should be making a $300,000 to $500,000 yearly retirement income after your facility is full at premium rates.

With self-storage, you would keep substantially more of your income due to the tax laws that favor real estate development. And your real income would increase as you raised your rates every year. 

I am not an artist or athlete so I chose self storage

You would also have a significant self-storage asset that you could sell down the road or refi and pay no taxes since it is a loan.  And your tenants would pay the loan back. 

This begs the question: If self-storage so much better than stocks, why isn’t everybody building self-storage.  The answer is that self-storage takes more work.  Stock investing takes next to no effort.  Put your money in index funds and leave it there for many years. But If you like the average stock investor and trade in and out of stocks, your stock investing profits are greatly reduced to well under 5%

The Choice is yours: invest 2/3 less and make twice as much with self-storage or keep investing in the stock market.  But we know that is not the real choice.  The real choice to work Saturdays until one day every day is a Saturday or keep on scrolling, enjoying your Saturdays, and be committed to your 9-5 job.

Storage Authority Franchise has the support you need.

The good news is you can earn an absentee income in self-storage once you learn the business and implement technology and proven systems to help you run the business for a 4-hour work week.

Cheers,

Marc Goodin

As CEO of Storage Authority Franchising, Marc Goodin shares his passion, expertise, and unconventional wisdom with busy professionals to help them develop their own self-storage while they continue their careers. He owns 3 self-storage facilities that he designed, built, and manages. He can be reached at marc@StorageAuthority.com or directly at 860-830-6764 to answer your franchising, development, marketing, sales, and operations questions.  His best-selling self-storage books are available at Amazon.