Making money with side hustles today often requires active work, but you only have so many hours in the day. That’s why we’re excited about the prospects of the Neighbor app that helps hosts make passive income and renters find great storage units.
Check out our Neighbor app review to see what it’s all about.
What Is the Neighbor App
Neighbor was founded in 2017 in Lehi, Utah, as a marketplace for owners to list their space for rent. Its mission is to provide a free space for owners to advertise their space and make money. The founder realized that most gig economy apps require either money or time for you to make money, but the Neighbor app requires neither.
Hosts can list storage space for free and pay only when a renter rents the space. The Neighbor app protects hosts and renters to ensure the transaction is fair for everyone involved.
If you have unused space or want to rent space, keep reading to learn how the Neighbor app works.
Summary of App and Features
- Free and easy way to host or find rental space
- Easy to use
- Provides $1 million liability protection for hosts
- Hosts and renters pay a fee for each transaction
- The host verification is minimal
- Renters must pay for protection plans
Hosts: Rent Out Storage Space
Hosts can rent out extra space for storage that isn’t your traditional storage space. For example, you don’t need a fully furnished vacant home to rent, as you would on Airbnb. Instead, you can rent out empty garage space, driveway, parking space, closet space, or a spare bedroom, to name a few, to earn passive income.
It’s a great way to make money on unused space in your home, bringing in monthly income for little to no work.
Creating an account and renting your space on Neighbor is easy. It takes only a few minutes to provide the necessary information, and you’re ready to make passive income on your rental spaces.
To sign up online, visit the Neighbor host page and click ‘list your space.’
On this page, you’ll provide personal information, such as your name, phone number, and email. You’ll also create a password.
Once registered, you’ll receive a verification email. Click on the link in the email and follow the instructions to continue creating your account. It’s quick to get up and running.
You can also download the Neighbor app on iOS or the Google Play store and create an account using the same steps.
Get paid to let your neighbors' store their belongings in your parking spot, shed, garage or unused rooms. Listing your space is completely free.
Renter Damage & Theft Protection
Cheaper than Self Storage Facilities
- Hosts are Verified
- Theft and Renter Damage Protection
- Protection of Host Liability
- Free to List Your Space
- Fees for Service Can Increase Monthly
- Fees May Impact Host Payments
List Storage Space
After you’ve created your account, you’re ready to list storage space. It takes only a few minutes to share the information about your space, and of course, the more details you provide, the better it is for renters. You can list almost any type of space; you aren’t restricted to conventional storage spaces.
Consider including the following information:
- Description of the space
- The size and type of the space
- Access to the space, including if appointments are required or how/when renters could access their items
- Condition (temperature controlled, pet or smoke-free, etc.)
- Monthly rent cost
- Dates it’s available
In addition to the written listing, you’ll include photos of the space. Make sure they are well-lit and show all aspects of the space. This is your chance to ‘sell’ your space. Because it’s a marketplace, you compete against anyone else renting their space in the area. Therefore, you want to make your space look as attractive as possible.
After listing your space, you must verify your account. You’ll do this by providing a bio and profile photo. While you aren’t required to do both a bio and profile picture, it helps you get more interest in the storage space.
Because renters trust you with their personal items, they want to know you are a real person and that they can do their research to ensure it’s safe to keep their belongings with you.
Next, you’ll confirm your email and phone number to prove to Neighbor you are real.
Of course, you consider renting unused storage space to make money, so you want to know how you’ll get paid.
Fortunately, the Neighbor app protects sellers, so you don’t have to worry about getting stiffed. Renters pay their first month’s rent upfront, but you don’t receive it for 30 days. This protects renters and ensures they can use the extra storage space you described.
After your first month, you’ll automatically receive monthly rent payments at the end of each month, as Neighbor automatically bills renters monthly. This makes renting storage spaces on Neighbor a simple and passive opportunity.
Neighbor pays via direct deposit using Stripe, so getting your funds is easy.
Neighbor doesn’t charge a listing fee, which is great; however, they charge a payment processing fee of 4.9% plus $0.30 per reservation. You pay this fee with each monthly payment you receive, so keep that in mind when calculating your potential profits.
Neighbor protects hosts, so no one has to worry about their property. In addition, hosts receive $1,000,000 liability coverage for free. Plus, because they automatically handle payments, depositing them into your bank account monthly, you’re protected financially from all angles.
Other Rentable Space
You can rent space in your home and other rental spaces to provide tenants with a safe place to keep their items while you earn money.
If you have a self-storage unit you want to sublet (and are allowed to sublet), you can make money renting it out. If you can charge more than it costs you to rent the unit, you’ll make a profit.
Spare rooms in your home are easy to rent, especially if you don’t use them. Common rooms include attics and basements, but you can rent out a spare bedroom or other empty space.
It might seem strange, but if you have extra closet space, consider renting it to tenants. You make use of extra space and make money from it. When you list the available space, make sure you’re specific about how much room is available, especially if it’s a small closet.
If you have room in your garage to store things like bikes, RVs, ATVs, motorcycles, or even a car, list them on Neighbor. The garage is also good for storing sporting goods or large household items that can withstand the temperatures your garage reaches.
If you have unused space in your shed, consider renting it. People often rent sheds to store outdoor equipment, large lawn vehicles, or other items they can’t store in the house.
If you have a large driveway or don’t use it, you could use the rental space for a tenant’s car. The same is true if you have a street parking space you can rent to someone. Just be sure the area is safe, and your renters will have access to their vehicles easily.
If you have an unpaved lot, consider renting it out for more vehicle storage.
Renters: Save Money Versus Typical Storage Lockers
Neighbor is great for renters too. You can typically find storage spaces for much less money than typical storage lockers. You’ll also find unique places and ways to store your items. For example, you can look for spots to store cars, RVs, boats, personal items, and even business inventory.
Renters can use the Neighbor app to see if the area has suitable storage units before signing up. Then, all you need is the city you want storage space to find hosts with storage space.
If you find a suitable space, you can sign up for Neighbor via the app or website. Click ‘create an account’ and provide the necessary information, including:
- Your name
- Created password
- Phone number
Neighbor will email you to verify your email address and provide further instructions to complete your account.
You must apply to rent Neighbor storage space. If the host approves your request, you must pay the first month’s rent upfront. After that, you can link a debit or credit card for payment, and you will be charged monthly based on the length of the agreement. Each month’s rent is charged in advance, so your rent in March covers April’s rent. If you want to cancel, you must inform them well before your renewal date to avoid paying next month’s rent.
Neighbor does its due diligence to ensure the renter’s safety by verifying each host’s identity. In addition, renters can purchase affordable renter’s insurance coverage from Neighbor. The costs vary by plan and depend on what you’re covering and the type of coverage you need.
Neighbor also protects renters should they decide to cancel their reservation. You’re entitled to a full refund if you cancel within 24 hours of the host accepting your request or within four days of the rental start date. If you cancel three or fewer days before your start date, you’ll receive an 80% refund if the date has yet to approach. If you cancel on or after the start date, you will not receive a full refund or any money back.
Storage Option Types
The types of storage spaces vary by location and host. You can check back often to see what new options were listed, but some of the most common options include the following:
General self-storage refers to a place to store household items, clothing, and other belongings you can’t store outside and need in a temperature-controlled setting. For example, you might rent an actual storage unit someone owns or a spare room in their house.
If you have business inventory to store, you may look for someone renting an old building, storage space, or even extra space in their home. Most business inventory, especially paperwork, must be temperature-controlled and kept away from bad weather, so finding inside storage space is best.
Car storage can be a garage, parking spot, or driveway. Consider the conditions your car will be in and the risks of vandalism or theft.
If you have an RV to store, you can rent an unpaved lot, driveway, or other large space to accommodate your RV.
Many people rent space to store boats, both indoors and out. Consider the weather and the risk of vandalism or theft when choosing your storage unit for boats.
The Pros and Cons
Here’s a quick breakdown of the pros and cons of using the Neighbor app to find or host storage units.
There are many pros of using Neighbor as a host or renter, including the following.
Free to Get Started
You can list storage facilities for free or start a free account to find a private storage unit. The app requires only a little information from you to get started, and you can list or rent in a matter of minutes.
Passive Income Opportunities
If you’re a Neighbor host, it’s a great way to earn passive income. The most work you have to do is prepare the area for rent, take pictures, and list it. Then, once you receive applications, you can determine who can rent the unit, approve it, and the Neighbor app does the rest, including accepting payment.
One App, Many Possibilities
The Neighbor app offers many different storage types under one roof. For example, you can rent your driveway and a spare room to two different renters and make great money. The simple app can turn almost any empty space into an income-earning opportunity.
More Flexible Than Traditional Self-Storage
Neighbor is much less expensive to use than traditional storage facilities, saving you money and giving you unique ways to store your items. For example, you might rent someone’s spare bedroom to store your belongings. You can rest assured that they are inside and safe versus in an outdoor storage unit.
Protection for Both Host and Renter
Neighbor protects hosts with a $1 million liability policy, but they also offer renters the option to purchase protection plans to protect their items.
Like any opportunity, there are downsides to the Neighbor app, including the following:
Neighbor charges a fee on top of what the host charges for the rental agreement. In addition, renters may pay a service fee, insurance coverage, or processing fee.
Accessibility Convenience Depends on the Host
You must discuss the options with your host if you want to access your items throughout the rental period. Some neighbor hosts, for example, may require an appointment or only allow you to access the space during specific times.
Potential Privacy Issues
Storing your items in someone else’s house can provide less privacy than storing them in a storage unit where no one else goes.
Supply and Demand Is Based on Your City
The Neighbor app is available in some cities and states, and availability can vary widely throughout different areas.
Neighbor App FAQs
Is It Worth It to Rent Space for Storage?
Renting space for storage can be a great passive income. There’s little work involved, and as long as you don’t mind someone else accessing your space, you can make money renting storage space.
How Much Can You Make With the Neighbor App?
No Neighbor app review would be complete without discussing how much you can make. Of course, the average rental prices vary by area and type of space rented. Some hosts charge less than $100 a month, while others charge several hundred dollars monthly. It depends on what you have to rent and the demand in your area.
Is Neighbor Available Worldwide?
The Neighbor app is currently available in 48 states, but there is talk of them going international.
Neighbor App Review – The Bottom Line
Hosts and renters can take advantage of the Neighbor app, either making a passive income or finding a safe place to rent out space for storage. It provides more opportunities for rental space and makes it easier to make money doing something passive.
Samantha Hawrylack is a personal finance expert and full-time entrepreneur with a passion for writing and SEO. She holds a Bachelor’s in Finance and Master’s in Business Administration and previously worked for Vanguard, where she held Series 7 and 63 licenses. Her work has been featured in publications like Grow, MSN, CNBC, Ladders, Rocket Mortgage, Quicken Loans, Clever Girl Finance, Credit Donkey, Crediful, Investing Answers, Well Kept Wallet, AllCards, Mama and Money, and Concreit, among others. She writes in personal finance, real estate, credit, entrepreneurship, credit card, student loan, mortgage, personal loan, insurance, debt management, business, productivity, and career niches.