Real Estate Investing in Turn-Key Investment Properties Part 1
The phrase "turn-key investment properties" is becoming more popular in the real estate investing arena.
It implies that all the work is done from A-Z and an investor literally steps into a cash flowing investment property.
To qualify as "turnkey" the property should be fully renovated with a property management professional in place and preferably already rented.
For many investors acquiring such a property is the key to success, especially when considering all the steps involved for a property to become turn-key.
Here is a brief list of steps: -learn a neighborhood or market to invest in -determine rent comps -view foreclosures for sale within that market -determine repairs needed -make offers -attend closings (at time of purchase) -obtain final water bills -turn on utilities -file property transfer affidavits with the county -pull permits -obtain repair quotes -hire contractors -schedule contractors -determine extras/change orders -inspect work -ensure work is meeting high standards -pay contractor draws -hire a property manager -register the property as a rental with the local municipality -obtain a tenant -fronting the cash to purchase and renovate -accounting (keeping track of all the draws, expenses, etc) Not only must the investor be experienced and knowledgeable at rehabbing, he/she must be willing to commit a tremendous amount of time (even when outsourcing responsibilities).
Therefore, when it comes to real estate investing in investment property, some investors turn to a specialists or a "turn-key property provider," who provides already renovated and rented properties at wholesale prices.
The right specialist has a system and team in place to find and buy the right properties, in the right areas, at the right prices, and then to successfully renovate and rent the properties offering them for sale at wholesale prices.
To learn more, be sure to read "Real Estate Investing in Turn-Key Investment Properties Part 2 and Part 3"
It implies that all the work is done from A-Z and an investor literally steps into a cash flowing investment property.
To qualify as "turnkey" the property should be fully renovated with a property management professional in place and preferably already rented.
For many investors acquiring such a property is the key to success, especially when considering all the steps involved for a property to become turn-key.
Here is a brief list of steps: -learn a neighborhood or market to invest in -determine rent comps -view foreclosures for sale within that market -determine repairs needed -make offers -attend closings (at time of purchase) -obtain final water bills -turn on utilities -file property transfer affidavits with the county -pull permits -obtain repair quotes -hire contractors -schedule contractors -determine extras/change orders -inspect work -ensure work is meeting high standards -pay contractor draws -hire a property manager -register the property as a rental with the local municipality -obtain a tenant -fronting the cash to purchase and renovate -accounting (keeping track of all the draws, expenses, etc) Not only must the investor be experienced and knowledgeable at rehabbing, he/she must be willing to commit a tremendous amount of time (even when outsourcing responsibilities).
Therefore, when it comes to real estate investing in investment property, some investors turn to a specialists or a "turn-key property provider," who provides already renovated and rented properties at wholesale prices.
The right specialist has a system and team in place to find and buy the right properties, in the right areas, at the right prices, and then to successfully renovate and rent the properties offering them for sale at wholesale prices.
To learn more, be sure to read "Real Estate Investing in Turn-Key Investment Properties Part 2 and Part 3"
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