How to sell turnkey rentals to out of state buyers?

8 Replies

Hey guys, I am an investor, property manager, and most importantly a contract in Upstate NY. I have an excellent group of friends up here and often come across some great deals. The local buyer market up here is tough, most of our investors are looking for suburbs and single family but the Syracuse market is saturated with dilapidated multi family homes. With an excellent contractor and property manager these can be fantastic investments. We are talking about 6 unit homes selling under $40k with $60k in repairs needed with rents ranging from $700-$1,000. I am just not sure how to attract out of state investors in any fashion. Whether they just want to hire us for the contracting side, or if they want to buy turn key properties from us at full price, or even at some sort of discount in a partnership. I'm open to suggestions. Our company is a real construction company, it's not just one guy. We have 4 crews running full time and I think right now is a perfect time for us to get back into investing ourselves as I stepped out in 2018 to focus on remodeling.
Originally posted by @Ronald Starusnak :
Hey guys, I am an investor, property manager, and most importantly a contract in Upstate NY. I have an excellent group of friends up here and often come across some great deals. The local buyer market up here is tough, most of our investors are looking for suburbs and single family but the Syracuse market is saturated with dilapidated multi family homes.

With an excellent contractor and property manager these can be fantastic investments. We are talking about 6 unit homes selling under $40k with $60k in repairs needed with rents ranging from $700-$1,000.

I am just not sure how to attract out of state investors in any fashion. Whether they just want to hire us for the contracting side, or if they want to buy turn key properties from us at full price, or even at some sort of discount in a partnership. I'm open to suggestions.

Our company is a real construction company, it's not just one guy. We have 4 crews running full time and I think right now is a perfect time for us to get back into investing ourselves as I stepped out in 2018 to focus on remodeling.

I've sold $100M+ of what you're talking about. The Bigger Pockets Marketplace has been a great place to get exposure.

The keys to getting investors here on Bigger Pockets is consistency, demonstration of value & having good deals.

@Ronald Starusnak Reputation and trust is the most important. That's accomplished by having consistent quality standards. Basing your success on the success of your investors will go a long way towards building trust.

Ronald I'm somewhat familiar with the upstate market, but it's been a few years since I've been up there.  There are a lot of dilapidated houses, but there's probably a reason for that given the macro factors in that part of the country.  

There are some neighborhoods that are decent and could warrant some investments. but definitely have to selective.  

If you see any true deals in decent neighborhoods, send them over.  I'm always looking for new opportunities. 

Kon, of course I will keep you in mind. The primary issue I've seen up here is lack of proper management. Allowing poorly screened tenants into the properties, failure to collect rent, failure to report or repair issues & damages, and just poor maintenance overall. Some neighborhoods are really bad and I wouldn't take a free house on certain Syracuse blocks. 

Originally posted by @Ronald Starusnak :

Kon, of course I will keep you in mind. The primary issue I've seen up here is lack of proper management. Allowing poorly screened tenants into the properties, failure to collect rent, failure to report or repair issues & damages, and just poor maintenance overall. Some neighborhoods are really bad and I wouldn't take a free house on certain Syracuse blocks. 

this is a universal issue in all areas.. fix that and you have some opportunity.