How Smart Storage Sellers Evaluate Offers (Hint: It’s Not Just Price)
Selling your self-storage facility is a big decision—and when the offers start coming in, the process can quickly become overwhelming. Not all offers are created equal, and the highest bid isn't always the best deal. If you're looking to sell in 2025, understanding how to properly evaluate offers can help you avoid regrets and close with confidence.
In this guide, we break down the key components of a strong offer, what red flags to watch for, and how to make a decision that aligns with your long-term goals.
What to Look for in an Offer
| What to Look For | Why It Matters |
|---|---|
| Purchase Price | Important, but not the only factor to consider |
| Buyer Credibility | Determines likelihood of closing and smooth process |
| Timeline to Close | Impacts cash-out timing and tax planning |
| Contingencies Attached | More contingencies = more chances for delay |
| Earnest Money Deposit | Signals seriousness of buyer |
1. Go Beyond the Purchase Price
While it's tempting to focus solely on the highest dollar amount, that number doesn't tell the full story. Offers with higher prices often come with more strings attached, longer timelines, or weaker financing.
Instead, consider the net proceeds after closing costs, taxes, and adjustments. Sometimes a slightly lower price with fewer contingencies and faster closing can actually yield a better outcome.
✅ Related: Get a free valuation based on real market comps and actual buyer behavior.
2. Assess Buyer Credibility
Not every interested party is a qualified buyer. Some are tire-kickers. Others may struggle to get financing or may not fully understand self-storage operations.
Look for:
A track record of past acquisitions
Access to capital or pre-approved financing
Experience owning or managing similar facilities
Ask for proof of funds or a lender pre-qualification letter. A reputable buyer will be ready to share this information.
✅ Tip: Work with an expert broker to help vet buyers before wasting time on weak offers.
3. Understand the Timeline to Close
A quick closing might be ideal if you're trying to move on fast, but not if you need time for a 1031 exchange or personal tax planning. Review the proposed timeline in every offer.
Ask:
How long is the due diligence period?
When will financing be finalized?
Is the buyer flexible if delays arise?
The best offers usually balance speed with flexibility.
4. Review Contingencies Carefully
Contingencies are conditions the buyer must meet before the sale closes. Common ones include:
Satisfactory results from inspections
Financing approval
Lease reviews
Too many contingencies create risk. Deals can fall apart if one issue pops up, even if it's minor. Fewer, well-defined contingencies are a sign of a serious buyer.
5. Don't Overlook Earnest Money
Earnest money is a good-faith deposit a buyer puts down when their offer is accepted. It shows commitment and helps weed out non-serious bidders.
Standard earnest money for self-storage deals is typically 1-3% of the purchase price. Larger deposits often indicate a buyer who is confident and financially prepared.
If a buyer wants to submit an offer with no deposit or a very low amount, it may signal hesitation or a lack of seriousness.
Final Thoughts
Evaluating offers on your self-storage facility goes far beyond picking the one with the biggest number. In 2025's competitive market, smart sellers consider buyer experience, deal structure, and timeline alongside price.
At Sell Self Storage Now, we help sellers understand every detail of their offers, so they can make confident, profitable decisions. From valuation to vetting buyers to closing day, we're with you every step of the way.
✨ Ready to compare offers the right way? Request your free consultation and make your next move a smart one.