Kansas City turnkey providers

[Tom Hardwick]

Can anyone share which which turn key providers that prefer in the Kansas City market and the Memphis market?  They is a lot of information and I am looking to get off on the right foot.  Thanks for your time.  

[Mike D'Arrigo]

@Tom Hardwick Both Kansas City and Memphis are good cash flow markets. Personally, I prefer KC due to the stronger economic and demographic trends. The first thing I recommend is to identify what property/neighborhood class that you are interested in. The biggest and most costly mistake new, out of state investors make is buying in the wrong neighborhoods. When you're evaluating turn key companies, pay attention to what types of properties they sell and in what neighborhoods. Some sell exclusively in cheap, rough areas. 

When you're evaluating different turn key companies, in general, the ones to avoid are the ones that:

• Don't allow financing or a finance contingency (it can be a good indication they are selling above market value)
• Don't allow for your own independent property inspection
• Are not realistic with their pro forma's (i.e. they don't include vacancy or maintenance projections or use unrealistically low vacancy factors)
• Require you to pay for any renovation upfront
• Sell only in cheap. low end neighborhoods
• Don't accurately represent the neighborhood/property classification
• Don't have consistent rehab standards for all properties

We've been active in Indianapolis since 2010 and would be happy to help.