Help me rent our parking space.

July 22, 2017 3:42 PM

How do we properly value a parking space we own for rental purposes?

We live in a condo with a gated, secured parking garage, and we are deeded owners of one space in said garage. We are also carless as of now, and will be for another year or so. We thought it might not be a bad idea, while we don't need it, to rent out the space - which is allowed as per the HOA we live under - but have literally no idea how to attach a monthly value to it for rental purposes.

We live in a very dense, urban neighborhood (NW Portland), which is kinda in the throes of a parking shortage nightmare right now. We're not looking to make a killing, or to gouge anyone; it just seems silly to not put the spot to use and make a few bucks for ourselves while we do.

We could obviously do the basic math of looking at the annual cost of a street parking permit in our parking zone and the monthly fees at parking lots in the area (of which there are not many, at least not in the immediate area), but I'm not sure that math takes everything into account that should be considered.

Any thoughts on how we might be able to determine what the spot would be worth as far as monthly rent goes would be appreciated.

posted by pdb to Travel & Transportation around Portland, OR (9 answers total)

I would check Craigslist. If Portland is anything like the cities I've lived in (DC, Boston), you will find lots of people renting out parking spaces. You'll be able to see how much spaces in your area typically cost. It's probably less than at a garage where you pay by the month, but not a LOT less.
posted by schroedingersgirl at 3:50 PM on July 22, 2017 [2 favorites]

I mean, I'd take a look at directly comparable spaces. Check Craigslist to see what parking spaces in gated, secured private garages go for, list your spot for the same, and if needed, adjust your price downward until you have a taker. That's what the spot is worth.

(I don't know Portland but I'm not sure how much the street parking permit cost will tell you -- in my neighborhood a street permit is $25 a year, but off-street parking starts at $50-$100 a month for an uncovered space, and $100-$150+/month for a garage space, so like, not even in the same universe as street parking.)
posted by goodbyewaffles at 3:50 PM on July 22, 2017 [3 favorites]

Looks like 17%.
Full disclosure: I'm on the board, so I just got an email about that blogpost in my inbox. But hey, it's a website specific to parking in Portland and answers your question.

btw, congrats on going/staying car-free.
posted by aniola at 3:54 PM on July 22, 2017 [2 favorites]

They have to pay for a separate insurance on your garage.
posted by Oyéah at 4:45 PM on July 22, 2017

Memailing you!
posted by alygator at 5:21 PM on July 22, 2017

You can probably do better than 17% since all you need the one person who really values the space, not the average person.
posted by metahawk at 5:30 PM on July 22, 2017

17% mentioned by aniola is based on the market pricing of housing, not the market pricing of parking spaces.
posted by Homer42 at 6:26 PM on July 22, 2017

$150-$200/mo. (I rent out a space in my building's garage in the Pearl District)

If you are only going to lease it for a year, then optimizing the monthly rate is less important than making sure you don't price it so high it sits vacant for a month until you can reset the price.
posted by misterbrandt at 8:28 PM on July 22, 2017 [1 favorite]

Just to remind you that the renter will also need to have access to your gated community. Even if subletting the parking space is allowed, there may be a separate procedure -- or no procedure -- for getting the subletter access to the space.
posted by JimN2TAW at 3:04 PM on July 23, 2017 [1 favorite]