Is your rental property overflowing with items that don’t have their own space, such as lawnmowers, rakes, and more? A storage shed may be the solution.
A storage shed can be a useful addition to a rental property, but keep in mind that it can also be a liability. Installing a shed to a single-family home can provide your tenants with extra space, but may also be unwanted in certain markets.
Benefits of Installing a Storage Shed on Your Rental Property
#1 Extra Storage Space
A storage shed is a great way to free up space in your rental property, especially the garage. Store tools and equipment in your shed so your tenants don’t have to step around a leaf blower or a box of Christmas decorations every time they need to get to their car. It also reduces the risk of injury, as hanging up work tools like clippers, rakes, etc. can be dangerous. You’ll be surprised at how much space is left in your rental property.
Keep hazardous materials such as fertilizers, weed killers, pesticides, and more away from children and animals. Many homeowners tend to keep these substances in the garage, which isn’t the best idea since they’re still accessible to kids and pets. Having a shed allows your tenants to safely put these items away. You can even lock it for additional safety.
#3 Enhanced Curb Appeal
When people think of a shed, the most common image that comes to mind is an old shed that looks like it’s about to fall apart. This doesn’t always have to be the case. Custom sheds can upgrade your rental property’s curb appeal, especially if it features quality woodwork. By growing roses along its sides or by painting it an eye-catching color, a storage shed can greatly enhance the aesthetics of your rental property.
#4 Increased Property Value
There are several ways to boost your rental property’s value. While building a storage shed may not be the most common way to do it, the reality is that a well-built shed is desirable to most potential renters. Constructing a storage shed is a cost-efficient way to boost your rental property’s value. The best part is that you can enjoy the convenience that it offers when you decide to turn your rental into your primary residence. It’s an upgrade that provides practical benefits.
#5 Multi-Purpose Shed
A shed doesn’t have to be a place where you store your hedge trimmers, shovels, buckets, lawnmowers, and more. Your tenants can use the shed for other purposes. As long as the shed is clean, well-maintained, and free from harmful organisms such as mold growth, it can be transformed into a kids’ playroom or an outdoor office. If your tenant plays an instrument, you can offer them the option to turn the shed into a rehearsal space so they don’t disturb the neighbors. The possibilities are endless!
Are Storage Sheds a Good Investment for Rental Properties?
While a storage shed may offer practical benefits such as extra storage space, the real question is whether or not your current and future tenants will appreciate having it in their backyard or lawn.
Single-family homes typically attract long-term renters who plan to reside in that area for a long period. In this case, providing extra space where they can store their belongings, season after season, may be an appealing feature to this demographic. This is particularly true if the main house has a tiny garage or if it doesn’t have that many closets. Tenants with many personal belongings will still be willing to pay a slightly higher price for additional storage.
However, if your rental property is located in an area that embraces the minimalist lifestyle (e.g. tiny living), the storage shed may end up being an unwanted feature. An increasing number of tenants are choosing a more simplified lifestyle where personal belongings are kept to a minimum. In addition, if the rental market in your area attracts mostly young adults, they may not find a use for the storage shed, and will therefore be unwilling to pay extra.
Storage Sheds Require Maintenance
From a landlord’s point of view, building a shed on the rental property may bring a few challenges. A storage shed requires heavy maintenance, adding to the time and money spent on property upkeep. Sheds are typically filled with dirty, old, and rusty items that can cause structural damage. Another thing is that tenants may fill the shed with too many personal items, attracting rodents and other insects to the property. Your property managers will have to stay on top of scheduled inspections to ensure that tenants aren’t misusing the shed.
Should You Buy or Build Your Own Shed?
If you’ve decided on installing a storage shed on your rental property, you can choose to build one yourself or buy a pre-made one. Building your own shed lets you save a significant amount of money since you won’t have to pay for labor. In addition, you can customize the shed to the smallest detail and use any type of material that you want. If you aren’t 100% confident in your skills, you can always get help from an experienced contractor.
If you don’t have the time to build a shed yourself, buying a pre-made storage shed is the best option. Pre-designed sheds come in a variety of sizes and are made of different, high-quality materials such as steel, wood, and plastic. Just make sure that you buy one from a reputable company.
A Practical Investment
A storage shed is a practical investment that can provide you and your future renters valuable storage space. Installing a quality shed can boost your property’s value. As a result, you can increase your monthly rental rate or your asking price if you decide to sell the property down the road.
Before building a storage shed on your rental property, it’s best to have professionals assess the local real estate market to determine if it is a smart investment. Depending on your location and target demographics, a storage shed may or may not attract as many tenants as you had hoped for.
Luxury Property Care can help you decide if building a storage shed is the best move for your rental property. Get in touch with us today by calling (561) – 944 2992 or filling out our contact form to schedule a free evaluation.