In keeping with, you may make cash turning your further area into into storage.

However is it a legit aspect hustle? How does Neighbor work — and the way a lot work does it take?

On this evaluation, we’ll discover the professionals and cons of, so you may resolve if it is smart to monetize your unused space. Evaluate

  • Signal-Up Course of

  • Incomes Potential

  • Ease of Use

  • Buyer Help Abstract is a legit technique to flip your further area into passive earnings. However how a lot you may realistically earn is dependent upon demand.

What Is is actually “Airbnb for storage.” It’s an internet market that connects individuals with further stuff to individuals who have further area.

For renters, Neighbor is a substitute for conventional storage models. With month-to-month agreements and your choose of close by places, Neighbor goals to be extra versatile, reasonably priced, and handy.

neighbor storage homepage

When you have further area, that’s the place the aspect hustle alternative is available in.

As a Neighbor “host”, you may checklist your area — storage, attic, closet, shed, and so forth. — title your worth, and earn comparatively passive income storing different individuals’s stuff.

become a neighbor host

And in contrast to Airbnb, you don’t have to fret about houseguests!

Is Legit?

Sure, is a authentic self-storage market.

The Lehi, Utah-based firm has been round since 2017 and has raised over $65 million in enterprise capital to fund enlargement. Amongst its buyers are Andreessen Horowitz and Tony Xu (co-founder of DoorDash).

Neighbor and Storage Trade Statistics

  1. 1 in 10 Individuals has a standard self-storage unit
  2. The typical month-to-month lease for a storage unit is $150
  3. Self-storage is a $50 billion a year industry
  4. There are greater than 2 billion sq. ft of conventional storage services
  5. Self-storage has been one of many fastest-growing classes of business actual property for the final 40 years
  6. “Conventional” storage services are working at 95% of their capacity
  7. 1,290 new self-storage services had been in-built 2021.

All of those are good indicators for and for you, when you’ve got further area. Review: Make Extra Money Renting Out Your Space

What Varieties of Storage Area Can You Get Paid to Hire Out?

The commonest forms of storage areas individuals are itemizing on Neighbor embrace:

  • Garages
  • Driveways
  • Carports
  • Basements
  • Backyards
  • Attics
  • Closets
  • Sheds
  • Aspect yards (good for RV parking)
  • Spare bedrooms
  • and extra

You may even discover warehouses, self-storage models, delivery containers, and avenue parking. Simply ensure that to verify together with your metropolis or home-owners’ affiliation earlier than making any commitments on that final one!

What Are Folks Storing?

What do individuals retailer on the Neighbor platform?

A few of the commonest objects are:

  • Vehicles and bikes
  • RVs
  • Boats
  • Bikes
  • Enterprise stock
  • Keepsakes
  • Home goods
  • Sporting items (golf golf equipment, skis, kayaks, and so forth.)
  • Clothes
  • Furnishings

As a bunch, you have got the best to approve and examine every thing being saved in your property earlier than you settle for it.

And for what it’s value, sure objects are straight-up prohibited on the platform, together with:

  • Fireworks and explosives
  • Medication
  • Firearms and ammunition
  • Perishables (like meals)
  • Waste
  • Animals
  • Harmful chemical compounds, toxins, and pesticides

How Works for Renters

Setting your self up on is easy for each hosts and renters.

For renters, search your native Neighbor listings to discover a viable area close by. For instance, I discovered dozens of listings close to me with a variety of sizes and costs.

neighbor listings in seattle

One factor you’ll discover is that most of the listings are half-off for the primary month. It is a approach for the hosts to make their itemizing stand out and entice new tenants.

After you choose a list, you’ll get a extra detailed view of the area and a breakdown of the pricing.

neighbor listing and fees

When you hit “Reserve area”, you’ll be prompted to create an account and begin a storage request with the host.

How Works for Hosts

To start earning money as a Neighbor host, you’ll observe a free 3-step course of:

  1. List your space(s) – Clear, {photograph}, and worth your space for storing.
  2. Reply to renters – Evaluate incoming requests (you at all times have the best to say no if not an excellent match)
  3. Schedule a move-in

how neighbor works

When you obtain a reserving request, you may message backwards and forwards together with your renter to be taught extra about their objects and prepare a drop-off time.

In the event you don’t approve the reservation inside 24 hours, it is going to be routinely declined.

You’ll receives a commission each month till the rental is canceled. (Funds are direct deposited to your account by Stripe.)

Enjoyable truth: Even when your renter stops paying, Neighbor nonetheless pays you!

Find out how to Create Your Neighbor Itemizing

Step one is to list your space.

This course of is fairly simple, so long as the area is already clear and clear. You’ll must take correct measurements and a few footage together with your telephone.

First, the Neighbor web site or app will ask you for some primary property info.

neighbor listing process

For instance, you’ll be capable of verify in case your area:

  • is local weather managed
  • is smoke free
  • has smoke detectors
  • has a non-public entrance
  • solely accepts objects from one renter
  • is locked
  • is pet free
  • has a safety digital camera
  • requires stairs

In my case, I used to be itemizing some attic storage, so I simply chosen smoke free and that it was a non-public area with only one renter.

(Regardless that our canine would by no means go within the attic, I didn’t wish to over-promise, so didn’t choose “pet free.”)

Subsequent, you’ll enter your tackle.

Essential Notice: This isn’t publicly seen and is just shared with renters after you approve their reservation.

After that, you’ll enter an outline to your area. Neighbor recommends being as detailed as you may about what’s going to match and what entry to the area is like.

Present some persona and promote it!

From there, you’ll reply a number of extra questions and enter the measurements to your area.

I added a few footage (lighting was just a little tough within the attic), a profile image for myself, and a brief bio.

Pricing Your Neighbor Storage Area

Earlier than your itemizing goes dwell, you might want to resolve how a lot to cost. Neighbor will current you with two choices:

  1. Good Pricing
  2. Mounted Pricing

When you have a particular charge in thoughts, you may set your personal worth with mounted pricing. The problem is in the event you worth too excessive, you’ll by no means get booked, and in the event you worth too low, you’ll be leaving cash on the desk.

Since I’d by no means run a storage operation earlier than, I opted for Good Pricing. That is Neighbor’s algorithm-driven pricing mannequin to maximise host earnings.

neighbor host smart pricing

For my unfinished, non-climate managed attic area, Neighbor steered a beginning month-to-month worth of $55. 

If I had 100% occupancy that might imply $600+ a yr for storing anyone’s packing containers — I’m cool with that!

Subsequent, Neighbor will ask if you wish to provide a 50% low cost in your first month to draw renters. I selected sure.

Inside 24 hours, my area was accepted on the positioning. In keeping with Neighbor, most hosts obtain their first storage request inside 30 days.

Find out how to Make Extra Cash with

I needed to share a number of greatest practices to maximise your earnings with Neighbor.

Add At Least 4 Photos

Since renters can’t see the area in individual, the extra footage you may add, the higher. Neighbor recommends including a minimum of 4 footage from completely different angles to showcase your area.

Listing A number of Areas

When you have a storage, RV/boat parking, attic, shed, and a spare bed room, create separate Neighbor listings for every of them.

Having extra choices on the positioning will increase your odds of getting booked.

Be Responsive

Neighbor’s inside rating algorithm favors hosts who reply rapidly to messages.

Be Personable and Skilled

In your itemizing description and bio, you may share extra about your area, your dwelling state of affairs, and your objectives.

Are you saving for a visit? Placing your child by faculty? Embrace that in your bio as a result of it personalizes your itemizing in comparison with a generic conventional storage facility.

Ask Associates for “Vouches”

A brand new Neighbor itemizing is loads like a product on Amazon with none evaluations. Individuals are hesitant to purchase as a result of they don’t know if it’s any good!

The workaround Neighbor has in place is to ask mates to “vouch” for you that you just’re an excellent neighbor and host.

neighbor vouch system

Obtain the Neighbor App

The free Neighbor app (iOS | Android) is the simplest technique to talk with renters and handle your listings. At press time, the app had a 4.5-star ranking in each app shops from over 1000 evaluations in every.

Refer Your Associates

Lastly, Neighbor pays you $50 in the event you refer a good friend who additionally lists their area. The corporate is aggressively attempting to extend its stock of accessible storage, and incentivizing hosts to unfold the phrase is a technique they’re doing it.

Security and Safety on

Like Airbnb, Neighbor requires a stage of mutual belief on each events. Fortunately, has a number of security and security measures to guard each renters and hosts.

First, each renters and hosts must full a primary id verification earlier than they’re allowed to work together on the platform.

When a reservation request comes by, hosts can view the possible renter’s profile and decide based mostly on the checklist of things they’re requesting storage for.

Hosts and renters can trade messages to get to know one another and work out in the event that they’d be an excellent match.

Legal responsibility Safety

Each Neighbor reservation contains $1 million value of private legal responsibility safety for the host. It’s essential to notice that is secondary protection that might kick in after your house owner’s insurance coverage.

Property Safety Plan

Throughout the reservation course of, renters have the choice to buy a Property Safety Plan. The charges depend upon what you’re storing, however covers “affordable restore or substitute prices” in case your objects are broken or stolen whereas in storage.

(Previous to December 2021, Neighbor included a $25,000 “Renter Assure” with each reservation. This has since been changed with the elective Property Safety Plan.)

How A lot Can You Make With

Relying in your location and area accessible, Neighbor might be value anyplace from $0 to $1000s of {dollars} a yr. The easiest way to search out out is to create your listing and see what storage requests you get.

Prime hosts earn as much as $10,000 a yr with Neighbor, however the outcomes differ extensively based mostly on a variety of components.

  • How a lot area it’s important to lease — the larger the world, the higher potential earnings.
  • The place you’re situated — hosts cost extra in larger price of dwelling areas.
  • Premium options — safety programs and cameras, local weather management, and personal entry may command premium charges.
  • Occupancy

Looking the native listings, you will get a way for what individuals are charging. The most costly listings close to me are for parking areas in Seattle, which run $200-300 a month on Neighbor.

In a dense city space, it makes whole sense — parking is tough to return by. However in the event you’re renting out a small closet within the suburbs, your incomes energy might be loads decrease.

To present you an concept of how a lot you may make, listed below are some pattern charges for varied areas:

  • Garages – $150-$500 monthly
  • Driveways – $150-300 monthly
  • Closets – $20-50 monthly
  • Sheds – $75-200 monthly
  • Spare bedrooms – $250-$500 monthly Rip-off? Considerations to be Conscious Of

A number of Neighbor app reviewers accuse the corporate of being a rip-off. It’s not, however it’s nonetheless greatest to train warning when coping with strangers.

The complaints are nearly universally on the renter aspect of the equation, describing dangerous habits by the hosts.

In a single evaluation, the renter had paid for indoor storage for his or her car, solely to search out it left outdoors lined with particles. Others accuse hosts of renting out areas they don’t personal, and the autos getting towed.

So sure, sadly scammy, terrible people have taken benefit of different individuals on the Neighbor platform. As a renter, do your due diligence to guard your self.

And as a bunch, simply be an sincere and respectable individual! It’s not an excessive amount of to ask!

Fortunately, the corporate is kind of responsive on social media buyer assist and genuinely cares about caring for their prospects. They acknowledge that mutual belief is crucial for his or her enterprise to succeed. Charges: How Does Neighbor Make Cash?

Like different peer-to-peer marketplaces, Neighbor makes cash from service charges tacked on the itemizing worth.

From hosts, Neighbor fees a 4.9% processing charge and $0.30 for each reservation.

For renters, Neighbor fees an 8-20% service charge on prime of the marketed rental worth.

Neighbor might be a good way to offset your rent or mortgage with relatively little effort. Nevertheless it’s not the one technique to make extra money.

Listed here are some options you would possibly think about.

Home Hacking

One factor I observed on Neighbor was individuals renting their spare bedrooms as space for storing. In the event you’re prepared to host a roommate as an alternative of simply somebody’s stuff, you might earn 3-4x extra for a similar area.

However then you definitely’d have a roommate, so … tradeoffs.

Rental Property Investing

A few of the most profitable Neighbor hosts are landlords who use the service to extend the money circulation of their properties. May you add a cash-flowing rental or two to your portfolio?

Websites like Roofstock make it simple to buy “turnkey” leases, typically with tenants and property administration already in place.

Different Unconventional Leases

You may lease out tons of stuff you don’t want on a regular basis, like cars, RVs, bikes, and extra. In truth, one Aspect Hustle Present visitor earns 1000’s of {dollars} a month from his “fleet” of portable hot tubs!

25 Different Unconventional Rental Concepts

What else might you lease out for a revenue? Listed here are some concepts!

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Remaining Ideas

Earlier than Neighbor, it was much more tough to show your further area into further earnings. Now, you may put that area up for lease on a fast-growing market and doubtlessly unlock some new money circulation.

When you have an unused area in your house, it’s definitely worth a shot.

Steadily Requested Questions

How Do Cancellations Work on Neighbor?

Hosts should give renters a minimum of 30 days discover earlier than the renter’s belongings might be eliminated.

If the belongings have to be returned earlier than then, you’ll be charged an inconvenience charge, and the renter will obtain a full refund for the month.

How Is Cash Stored Protected Whereas Utilizing makes use of Stripe to routinely and securely direct deposit month-to-month lease funds into the host’s account.