A Note from the Founder 5.19.2025

Zachary Urow August 12, 2025

Inflation Shows Signs of Cooling, But Core Prices Remain Elevated

  • The U.S. Consumer Price Index (CPI) grew 0.2% in April 2025 and reached an annual inflation rate of 2.3%, the lowest level in four years.
  • Core inflation, which excludes food and energy prices, remained steady at 2.8%. Price pressures continue in sectors like housing, healthcare, education, and personal care.
  • Energy costs increased 0.7% in April, driven by higher natural gas and electricity prices, though they remain 3.7% lower than a year ago.

1 in 3 Americans Rent Self-Storage

  • A recent survey by StorageCafe revealed that 33% of Americans currently rent self-storage units, with 18% planning to do so in the future.
  • The growing demand for self-storage is driven by a lack of space at home, frequent relocations, and the need to downsize.
  • The study also notes online searches related to self-storage have increased by 8%in the country’s 150 largest cities in 2024 compared to the previous year.

Our Thoughts

  • Stable core inflation suggests that self-storage owners may continue facing higher costs for maintenance, insurance, and utilities. April’s rise in energy prices also adds extra pressure on climate-controlled units.
  • Accelerating demand and rising online searches suggest occupancy will stay strong. Owners can boost online advertising and optimize online reservation processes to capture new renters in space-constrained cities.