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- No listing fees – earn up to $10000+ per year
- Chance to screen potential renters
- Ability to require photo ID
- $1M Host Guarantee also protects hosts for personal liability.
- 4.9% + 30 cents host processing fees
- $1M host guarantee does not cover if renter steals equipment from landlord’s garage
Best Sites to Rent Stuff
$125,000 property coverage
Personal liability guarantee up to $100,000
Relatively low fees – 10%
No listing fees – earn up to $10000+ per year
Chance to screen renters
Ability to require photo ID
Do you have a garage or a basement that you’re not using?
If the answer is yes, then you might as well make some cash renting it out.
In fact, renting your storage space, whether it’s a garage or a basement, is a great source of passive income.
By renting out your unused space, you’ll be earning money on a monthly basis while doing no work or having to handle extra costs.
But how can you find renters for your storage space?
In this Neighbor review, you’ll get all the information you need to start making money renting out your extra room for storage.
What is Neighbor?
Neighbor.com is a platform that provides crowd storage opportunities, connecting people with extra storage space with people in need of one.
This means that anyone with an extra storage space can list their properties for rent. On the other hand, anyone can browse for available storage spaces within their neighborhoods to rent it for their needs.
Whether you have a garage, basement, attic, shed, an extra room in your house or even a driveway that you’re not using, you can list it on Neighbor.com and make some cash on the side.
Is Neighbor.com Safe & Legit?
Neighbor.com is a legit company, providing safe services and secure payment processing. However, the company is relatively young – it was founded in 2017 – and doesn’t have much customer reviews.
Unfortunately, the company hasn’t yet been accredited by the Better Business Bureau.
How Does Neighbor Work?
Neighbor allows you to list your extra space to rent it out and store your neighbors’ belongings.
Let’s review the case as an example.
I’m renovating my house and need to store plenty of boxed items. So I decided to find a storage space within my neighborhood.
On the other hand, you have an empty basement that could earn you money while I store my boxes before my house renovation comes to an end.
Sounds good, right?
And not only listing your property is easy, but the platform also handles everything for you as well. From finding and screening the renters to handling the agreement and securing the transactions, Neighbor.com does it all.
What’s left for you to do is provide the renter an access to your extra space.
Host Guarantee: Neighbor Host Safety & Protection
Host Guarantee is a free service that Neighbor.com provides for you.
So every time a renter makes a reservation and accesses your storage space, you’re automatically protected by the Host Guarantee from Neighbor.com.
In fact, you’re protected with a liability protection of up to $1 Million if you ever need it.
- Each Neighbor host nationwide
- Personal liability claims from Neighbor storage renters
What’s not included:
- Property damage
- Insurance deductibles
- Damage or personal liability claims that are not related to rental storage activities
If it happens that you need to use the Host Guarantee, you’ll need to report the case and provide documentation (photos, receipts, etc.) as part of the resolution process.
In order to ensure your safety from the very beginning, Neighbor.com restricts renters to store certain items.
For example, renters can’t store the following items in your property:
- Flammables, explosives, fuel
- Hazardous materials
- Stolen items
- Drugs or any illegal substances
- Weapons & ammunition
- Pesticides or other toxic chemicals
- Any other items that you specifically indicate in your listing.
Cancelations & Refunds
If you need to cancel the reservation before the renter stores their belongings, the renter will receive a full refund.
In case you have to cancel the reservation after the renter has moved their stuff in, you have to provide 30 days notice to the renter. In extreme situations, where you cannot give the renter 30 days notice, you’ll be charged a fee and the renter will receive a full refund of the most recent rental month.
Be aware that if you repeatedly cancel reservations, you may get additional penalties or even get removed from the Neighbor community.
On the other hand, different terms apply if the renters decide to cancel their reservations.
Here’s how cancelations and refunds work when the renter cancels the reservation:
|Time of Cancelation||Reservation Price Refunded|
|0-24 hours after reservation approval||100%|
|4+ days before start date||100%|
|0-3 days before start date||80%|
|After start date||0%|
While listing your unused space on Neighbor.com is completely free, a small processing fee is taken out of each reservation.
You’re charged a fee of 4.9% + $0.30 that covers the following:
- Payment processor fee facilitating the safe and automated billing
- Direct deposits
- The Neighbor $1M Host Guarantee
How Much You Can Earn with Neighbor.com?
You are free to determine the price for your storage space. How much you can earn will solely depend on your location and the type of property you own.
For example, as Neighbor.com predicts, you can earn $3,084/year for a basement located in New York City. On the other hand, the driveway in New York City could probably earn you $1,536/year.
How to Rent Out Your Storage via Neighbor.com
Listing Your Storage Space
Listing your storage space for rent on Neighbor.com is a quick and intuitive process.
Simply select your location and the type of space you have on the Neighbor.com website and it will automatically calculate your potential earnings.
If you’re happy with your earning potential, just hit the “List your space” button and complete the registration.
Neighbor.com ensures all your payments are safe, quick and easily accessible for you. That’s why it uses Stripe to handle all its payment processing.
As a result, all the payments are automatically deposited into your bank account after the renter makes a reservation.
Neighbor Pros & Cons
- Truly passive income. You literally have to do no work – not even cleaning up or decorating your space.
- Great flexibility – you can negotiate to rent out your space for as long as it’s convenient for you.
- Not risk-free. While there is a liability insurance for both renters and hosts, it still takes a good deal of trust to run the business. You’ll need to compensate the renters for any theft unless you file a police report and they find evidence of forced entry. You’re also responsible for medical costs if a renter gets injured due to your gross misconduct.
- Relatively low pricing. It’s true that you can earn a significant amount of money renting out your unused space. However, Neighbor.com is known for a platform where renters can find storage spaces for lower price compared to conventional storage spaces.
Neighbor vs Craigslist
Craigslist is a go-to marketplace for many people when it comes to finding rental spaces. However, unlike Craigslist, Neighbor protects you as a host and screens renters for you so you don’t encounter scammers. Neighbor also ensures the safe and guaranteed payment processing and has cancelation policies in place.
On the other hand, if you rent out your property via Craigslist, you’re responsible for screening your renters, creating agreements and getting paid fairly.
Neighbor vs Rapid Stor
Rapid Stor is an alternative to Neighbor, providing a peer-to-peer storage space rental platform for people located in Toronto, Canada. So if you live in Toronto, Rapid Stor is the platform you should try to make money out of your extra space.
Neighbor vs iStoreIt
iStoreIt is a peer to peer self-storage solutions and an alternative to Neighbor for Texas residents. However, compared to the Neighbor, the iStoreIt platform is still new and doesn’t have many users. Plus, signing up as a host costs $5/month or $50/year, while Neighbor is free to join.
Is it Worth Renting Out Your Storage Space via Neighbor.com?
What good is a space that you’re not using? So why not turn it into a money making machine and generate some extra cash on the side?!
Imagine this, you have a space that you’re not using, while there are people out there who can only dream of the space you own.
They need to store their belongings so much that they are ready to rent it from you.
In general, I’d say it’s totally worth renting out your storage space via Neighbor.com. However, I’d suggest you weigh the pros of renting your space versus the potential risks that may occur in your specific area to make a more rational decision.