Tag Archives: #Self-DirectedIRA

It Only Just Appears Not To Be The Most Exciting

 Introduction…Renting rooms with no lights, toilets, showers, or kitchens appears not to be the most exciting. But, when you look at the dynamics of the Self-Storage industry’s growth today, it may be the most exciting of all the real estate market segments.
I attended a networking group in Colleyville, Texas hosted by a real estate broker. She recommended that if you were planning on selling your house in the near future and needed to put extra stuff in storage, then you better lease the storage unit right away because it might not be available when the you need it.

Here are just a few headlines from today’s Inside Self-Storage news: Metro Storage To Build New Self-Storage Facility in Wood Ridge, NJ

  • Metro Storage To Build New Self-Storage Facility in Wood Ridge, NJ
  • Firehouse Self Storage Development Moves Forward In Longmont, CO
  • Self-Storage Expands in Plano, TX
  • StorageVault Acquires 3 Self-Storage Facilities In Canada for $6.7M
  • Lexington Road Self-Storage Planned for Former Piggly Wiggly Site in Athens, GA
  • UHaul Transforms Abandoned Dairy to Self-Storage in Sioux Falls, SD

Why all the excitement in Self-Storage today?  Most facilities are nearly 100% leased with increasing rental rates and when new properties are opened, lease-up is at all time record speed.

The demand for new Self-Storage is so strong, that it is driving developers to look for existing commercial or industrial buildings to convert.

Click here to watch the above video.

In conclusion…One of my personal reasons why Self-Storage is so exciting is that it may be the easiest of all types of real estate to manage and lease. This is a quality of life choice to participate in Self-Storage ownership today.

As a result, many investors use their Self-directed IRAs and 401Ks retirement money in self-storage properties purchases.

Forget New Year’s Resolutions!

 Introduction…Every year Americans fail to keep their New Year’s Resolutions.

But, somehow we think if we just try harder, this year will  be different.

There are scientific and spiritual reasons why we should “Forget New Year’s Resolutions and Instead Prepare Our Minds For Success.”

Click here to watch this powerful 5 minute video.

Click to get 9 Little Known Secrets For Steady Real Estate Income…Free

What Does A Hollywood Music Composer, A Retired BP Executive, And A Self-Directed Retirement Expert Have In Common?

Sunday I drove 250 miles to Yellow Brick Road In Sealy, Texas.

What doest a Hollywood music composer, a retired BP executive, and a self-directed retirment expert have in common?  But, first let’s discuss how the composer got to Sealy, Texas with a population of 6,200.

The Yellow Brick Road Winery (YBR) announced the opening of a piano winery in Sealy, TX.  Partners Gerry Math and Denyce Hobgood  joined together to create a one- of- a- kind wine venue described as an intimate concert hall, a piano bar and wine tasting room- all in one.

Math’s musical accomplishments include composing for 14 motion pictures, 4 of those 12 received Academy Awards (Titanic, Forrest Gump, Legends of the Fall and Last of the Mohicans). Math played Phantom of the Opera on Broadway for four years, toured in Russian with the Bolshoi Theatre, and played at the Royal Albert Hall in London for the Queen’s birthday.

Gerry Math, said: “The inspiration for creating the Yellow Brick Winery was partly due to my desire to share the beauty of music and how music is created for Hollywood movies.  I hope it will be a place people will leave inspired to pursue creativity in life as well as establish Sealy, TX as a destination for performing arts.”

Yellow Brick Road Winery is located at 3587 Ward Bend Road Sealy, TX 77474

So, now you now how Math, the composer, and Hobgood, the retired BP exeutive got togehter to start a winery.  But, that still does not answer our first question.

Before we can answer that question, a self-directed RA or 401K with check-writing privileges was the subject of our meeting. Many firms offer self-directed retirement (that means you make the investment decisions based on your experience, rather than a limited menu offered by many brokerage firms.)

I have been speaking at civic groups, chambers, and 68 Rotary Clubs concerning the power of self-directed IRAs and 401Ks.

However, our speaker Sunday, Rick Pendykoski, has added a new dimension to this retirement strategy. Pendykoski sets up these plans so that the owner has check writing privileges. Especially those owners who are writing many checks benefit greatly. It’s not just the cost of $25 to $50 per check written by the administrator, but sometimes it can take 10 days or more to get the check sent.

This is a detailed subject that requires future discussion.

You may have guessed by now that Hollywood music composer, a retired BP executive, and a self-directed retirement expert all have self-directed IRA or 401Ks with check-writing privileges.

But, you probably did not guess that all three are investors with their retirement money in self-storage properties.

Small world. We are onto a new wave of investing for the individual investor/owner.

 

Five Questions To Ask First About RV/Boat Storage

RV/Boat Storage

Introduction...Ask any boat or RV owner and they’ll tell you: Finding a place to store those vehicles can be tough. Homeowners’ associations hate seeing them in driveways; cities ticket them when they’re parked on the street; and apartment-complex managers don’t take kindly to sacrificing their limited parking.

There is a great opportunity for self-storage business owners to expand our business thanks to the growing demand in RV and boat storage and the low supply thereof. There are five questions one should ask when adding these storage units to our new or existing self-storage business.

1. Why Should We Offer Boat/RV Storage?

The first thing we’ll want to ask ourselves when considering the addition of boat/RV storage is whether it’ll be profitable. In most markets, it will. The main reason is the scarcity of the service.

2. What Type of Boat/RV Storage Should We Offer?

The great thing about adding boat/RV storage to your facility is it won’t necessarily cost a fortune. Besides tailoring it to the needs of future consumers, you can modify it to fit your budget.

There are essentially three types of boat/RV storage, ranging from simple to luxurious. The most basic form is a simple parking lot with spaces available for rent. If we have land you can pave or an existing parking lot that rarely fills up, converting it to storage should be easy. Simply use paint to designate rental spots and number them accordingly.

One step up from parking-lot storage is canopy storage. This type features a roof only or a roof and walls on two or three sides. It’ll cost a little more, but it’s a worthwhile investment if you live in an area where it snows or you get excessive sun; tenants will be happy to know that a canopy is protecting their vehicle from the elements.

If we want to cater to customers who expect luxury, you can offer fully enclosed units. These feature high clearance for even the tallest of vehicles as well as roll-up doors, dependable locks and even unit alarms. If you live in an area where you see many high-end boats and RVs, this type of storage will guarantee you business.

3. What Basic Features Do I Need?

Installing boat/RV storage won’t require you to change everything about our facility, but it will necessitate a few tweaks. The most important thing you’ll want to offer these tenants is space—not just to park but also to drive. We’ll need drive aisles that are at least 35 feet wide to accommodate large motorhomes and vehicles that are towing boats or a fifth-wheel trailer. By giving vehicle owners that extra room, you’ll not only improve their storage experience, you’ll prevent them from potentially damaging your property.

4. What Amenities Should We Offer?

If we really want to go the distance, there are a number of additional features and services we can offer. Wash and dump stations, propane sales, vacuums with long hoses and even air pumps are outstanding amenities that are likely to result in consumers choosing your facility over another. Providing electrical hookups in units will wow tenants as well.

5. How Do We Attract These Tenants?

They’re probably already looking for us! All we have to do is let them know we exist. Prioritize Web-based marketing over older techniques such as print advertising. Use our website by including quality photos of your property as well as a detailed list of amenities you offer specifically for boat and RV owners. Use the same terminology on our website that boat/RV owners use, as this will help your facility place higher in online searches.

In conclusion...With increasing numbers of people eager for a taste of life on the road (or sea), RV and boat storage is more desirable than ever. Fortunately, supply hasn’t caught up with demand—that’s where we come in and can create great cash flow.

Source: Interested in Embarking on Boat/RV Storage? Insider Self-Storage, July 14, 2016

Where Would You Place $5,000,000?

where-would-you-place-5000000Where Would You Place $5,000,000?

Bill Moist, MS, CPA

For many years a partner told me his goal was to accumulate $5,000,000 in cash.  When successful he would not have to work anymore.  I would often ask, so where would you invest that cash?  He did not have a good answer until yesterday.

So, I ask you… How much money do you want to accumulate in your lifetime?

First a word about accumulating cash.  It disappears.  I was shocked how fast a seven figure payment to me disappeared.

One investment manager had a client who won the $60,000,000 lottery.  After taxes he had $40,000,000 left.  A lot of money. Right?  Everyone at the firm was surprised how fast the principal disappeared. If cash disappears, what else may we want to seek?

Here are four items that may be of interest to you:

  1. We want our return on our assets to be greater than inflation and taxes even though the ‘average investor’ does not reach this goal over the long-term
  2. We would want to receive substantial cash flow to keep us in the lifestyle we are accustomed to.
  3. We would want our asset base to grow with time
  4. We would not want to have to sell our net worth to get cash flow

Click here to watch Where Woud You Place $5,000,000?

The above goals are not commonly achieved.  For the age group 55-65, for example, the 50th percentile have accumulated less than $150,000.  How long will that?

In conclusion…It appears that we will have to do better than ‘average’ to achieve the above average lifestyle we desire.

Click here to get FREE 9 Little Know Secrets For Steady Real Estate Income.

This is Bill Moist, MS, CPA speaking today Where Would You Place $5,000,000?