Free Article: Mini Storage Foreclosures

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A Rise in Mini-Storage Foreclosures
By Myles Johnstone

Today many homeowners are being pushed into foreclosure; others are waiting to make the purchase or downsizing to condominiums or apartments. This is causing a boom in the market for min-storage units. The mini storage market is growing across the country. Many investors are getting into managing or owning these storage units. As with anything, an increase in usage also ties in with the increase of people who are not able to pay for their storage fees leading to a surge in mini-storage foreclosures.

The demand for these units is likely to increase in demand as leading analysts say the country is facing a downward trend in the housing market. This is due to things including the housing bubble, high prices of home as well as the variable interest rate loans. Home foreclosures will increase and so will the need for storage units to place the items from these homes. Mini-storage foreclosures are thus becoming a growing phenomenon.

Research says there are nearly 50,000 mini storage facilities in the U.S. alone and the trend is growing worldwide. Mini-storage foreclosures occur when the owner is no longer able to pay the rent on their storage unit or units. The owners give them a certain amount of time to come up with the rent similar to pre foreclosure grace period in home loans. However if the renter of the unit is not able to come up with the money the owner usually auctions off the contents of the storage units during the mini-storage foreclosure process.

As with other auctions across the country, there are many buyers anxious to look at and bid at what is in the storage units. Mini storage foreclosure auctions attract a diverse crowd of people. Some are hobbyist and others looking to make money buying and selling at mini-storage foreclosure auctions.

How it Works

During the mini-storage foreclosure process, the owners of the delinquent units are written to and advised of the status of their lease. They are given a period to bring the rent up to date. If the owners ignore the letters and the process and many people do; the storage owners advises of a public auction. Sometimes the people have to be on a list to be advised of mini-storage foreclosure auctions.

For the buyers at mini-storage foreclosure auctions there is excitement at peering into the units not knowing what they may find. Many find they are owners of boats, furniture, antiques and unique items for very small bids. Current trends in the U.S. unfortunately show that this process will continue.

About the Author
Myles Johnstone writes exclusively for business & finance related sites about such subjects as commercial mortgages and foreclosures

Source: Business Articles

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