BiggerPockets

Has anyone used this site?

http://www.investornation.com/

It claims to sell "Turn Key Cashflowing Rentals." The only markets available for cashflow seem to be Memphis and Atlanta on their site. I imagine they are buying Bulk REOs, rehabbing them, and selling them at mark up for profit while supposedly still maintaining cashflow numbers.

However, what I'd like to know is if anyone here has used them and do their properties really stack up? Also, how does the whole process work? Their website is very general and it seems they want you to call, presumably so they can get a sales person on you.

As an additional note, a new user on here posted this website http://masonhill.com/, claiming the same kind of turn key rentals. The programs sound very similar in their operations.

No doubt these are springing up everywhere. There are quality companies with track records, at least some of which have members contributing to BP. They appear to offer houses that are fully rehabbed and even rented, as well as houses that are ready to rehab, in which case they'll present the rehab estimate and an estimate of the rental rate. They may offer to also do the ongoing prop mgmt, or at a minimum will recommend a good company. They invariably tout the "instant equity" at close as well as the ongoing cash flow and strong ROI. They sometimes offer to connect you with a local bank for financing, but I'm not sure how receptive these banks would be to an out-of-area investor.

I've seen these two in Memphis that look very repectable and offer very reasonable "turn key" properties, both of which have BP members running them or working for them:

www.memphisinvestmentproperties.net
www.memphisinvest.com

.. and Detroit Urban Wholesalers seems to have a sound system.

www.wholesalemi.com

Safe to say companies like this exist in every urban market.

I'd think these are a very reasonable way to remotely purchase into an area with a strong rental market, using local expertise, and allowing diversification of your holdings.

I'd likewise be interested in other's thoughts on the pros and cons.

I have heard nothing good about these guys. Do your homework.

Good luck

http://www.sltrib.com/sltrib/money/51651081-79/hill-mason-brody-investors.html.csp

Mason Hill got taken down. Most of these companys all end up down the same path :idea:

Hey Jeff -

I was interested in why you say 'most of these companies end up going the way of Mason-Hill' which was clearly a fraudulent company not doing any business.

Chris

James and Chris, I assume you two work togther?

Curt,

I do not believe James works with Chris. Funny topic as I used to work for Investor Nation back in 2009. I was their VP of Sales at that time. Needless to say I do not work for them anymore and have moved on to greener pastures. There are only 2 real solid companies in Memphis and thats MemphisInvestmentProperties.Net and MemphisInvest.com We both operate in very similar fashions. Chris Clothier is first class at his company.

PLEEEEAAAAASE!

YOU WERE THE ONE WHO RECOMMENDED THIS PM!! Ryan Lubin! You sold this property to the owner (who wants to remain anonymous) in 2009 when at Investor Nation! GEEZ O FREAKING PETE as we say in Michigan!

You guys ought to start a comedy show or something! You could call it "Memphis Deadbeats". You could schedule it right after "Policewomen of Memphis".

This is like dealing with traveling gypsies or something! You all know each other!

Kick over a few rocks and all kinds of things come crawling out! :-)

Time for Ryan H to chime in!!

Most people that rent property have credit issues. If you have been in the business for any lenght of time as a PM, you should have in place an Iron-Clad PM team. There are alot of people in memphis with great credit. I have turned many people into home owners who was just looking to rent, and have never check their credit score. It is my job to make the foot prints for my clients to walk in, helping them to minimize loses, and appreciate their investments. In my network area ($20,000 to $50,000), I expect for some of the people to have judgements. To offset that, we require a hefty downpayment. Should anyone default, we have a great leagal team and pull downtown to expedite any real estate matter. We also keep prescreened tenants to help fill almost all or any vacancies. I chose my area because I know the neighborhood, and I also know how to make money in my market area. I have never done business with the companies Curt mentioned, but I do know that they buy in a more sophisticated part of town. I respect the work they do when I personally know the work invoved in closing 40 transaction a year when they are closing hundreds. So yes in certain areas, it is hard to find applicants without "at least one judgement against them. For me the ones with the judgements have turned out to be the most hard working and loyal tenants!

This whole thread started about a company named Investor Nation and is exactly why I started the 'Turn-Key' company thread. The owners are very good people doing legitimate business, but is the model really 'turn-key'? They turn over control of the renovation and the property management and therefore have no real idea if the investor is getting what was advertised. Their intentions are good but maybe the business model is not set up properly to REALLY insure success, but it is one that they believe in and I am sure they have clients that would say they love Investor Nation.

I think its been said many times on here, do your due-diligence, ask questions and get to know the exact process of doing business going forward before buying. There is nothing wrong with asking questions and getting to know who you are going to do business with.