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Smart Storage Secures Long-Term Tenants
A well-located single-family house with ample storage can significantly enhance tenant retention, leading to long-term leases that last 5 to 15 years. The challenge of moving—often deterred by high switching costs associated with storage needs—encourages tenants to remain in place rather than relocate. However, while effective management of single-family rentals increases cash flow, it does not necessarily boost property value since the market is driven by comparable sales rather than individual operating success. Additionally, single-family homes tend to have higher expense ratios, consuming a larger portion of income compared to multifamily properties, which may impact overall profitability.