As of September 16, 2014 the top 4 Self Storage REITs have a combined 2014 YTD Return of 13.77%. The bad news is just a few weeks ago that combined return was nearly 20%. Perhaps prices are starting to fall due to the fact that 4th Quarter of the year is typically the slow period for most self storage operators.
Clearly, there are fears about increased interest rates in the 1st quarter of next year 2015, which would have a negative impact on prices. However, just yesterday, the Federal Reserve just announced that they will keep interest rates at historic lows and re-evaluate its stance sometime in the middle of next year – click here for more information about the Federal Reserves Recent Stance on Interest Rates.
Perhaps, the fall in prices is nothing more than profit taking, the fact is the self storage operators are seeing historic highs in occupancy rates. Since the summer is always the busiest time of year for self storage companies, here in the Fall it is a good time to consider renting a storage unit. If you are interest in renting storage space in South Orange County CA – give San Clemente Self Storage a call at 949-366-1133.