What is the default rate for self-storage tenants?

The default rate for self-storage tenants, also known as the non-payment or delinquency rate, is a measure of the number of tenants who fail to pay their rent on time. The default rate for self-storage tenants can vary depending on a number of factors such as the economic climate, competition in the market, and the creditworthiness of tenants. On average, the default rate for self-storage tenants is low, typically less than 5%. This is because self-storage tenants are typically required to pay a deposit and provide credit or debit card information to secure their rental, which acts as a deterrent to default. In addition, self-storage operators often have processes in place to manage delinquent accounts and enforce payment, which helps to minimize the default rate. However, it is important to note that the default rate can fluctuate and can be affected by local economic conditions and the overall health of the self-storage market.