Reputable turnkey solution companies?

4 Replies

I'm at out of state investor and looking for a turnkey property in the midwest as my first step into real estate. I've read a lot about making sure to find the right company to work with and was wondering if anyone can suggest companies they've had success using. FYI I'm planning to use a traditional loan (ideally), rather than pay 100% cash down, as I've seen some companies require. 

Looking forward to some suggestions!

Rick 

@Richard Covarrubias Lots of turnkey operators here on BP.  You might want to include turnkey in your keywords as well as do a search the site for lots of discussion about.    Do you have any particular cities in mind in the Midwest? Whoever you might consider, I'd recommend that you visit the market and provider you are considering before closing on any deal.  Nothing like an on the ground face to face.

Originally posted by @Richard Covarrubias :

I'm at out of state investor and looking for a turnkey property in the midwest as my first step into real estate. I've read a lot about making sure to find the right company to work with and was wondering if anyone can suggest companies they've had success using. FYI I'm planning to use a traditional loan (ideally), rather than pay 100% cash down, as I've seen some companies require. 

Looking forward to some suggestions!

Rick 

 Rick you're in luck as there are tons of turnkey markets out there. Many are well represented by sellers & turnkey operators here on BiggerPockets (myself included) The most popular markets are

  • Cleveland
  • Toledo
  • Memphis
  • Birmingham
  • KC
  • Indy
  • Detroit

Each of these markets is popular with turnkey investors because of the low barrier to entry, high rental demand & high rent to price ratio. I recommend setting up keyword alerts for each area as they are discussed in the forums daily with advertisements posted in the BiggerPockets marketplace hourly.

One thing to note when looking at the individual markets, you can make or loose money in any market. Don't think that one particular out of state market will shoot you to success or abject failure. It's not really that complicated to buy out of state. It only becomes complicated when investors try to over complicate or over think everything. Whenever you are buying a property out of state you should do a few things to ensure it's as smooth as possible.

  • Don't buy in the roughest neighborhood in the urban core. Pick a solid B-Class suburban area. Perhaps a nice 1950's built bungalow.
  • Always hire a 3rd party property inspector to give you an unbiased feel for the home. The reports are 40-90 pages long and go through the entire house in great detail.
  • Get an appraisal. If your using financing the bank requires this. This is good. The bank isn't going to let you blow their money. They have more skin in the game then you do.
  • Make sure you get clear title. If using a lender this is a non issue. They will make you do this. It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.
  • Make sure your property manager is a licensed real estate brokerage.
  • Understand you can not eliminate all risk, only mitigate it. If you are risk adverse real estate, (especially out of state) is not for you.