Is it possible to scale a Kansas City, MO Turn key?

[Michelle Reid]

My husband and I are looking for rental properties. We would like to BRRRR but we live in the NorthEast. Prices are SO high here that for our first (well second, we had a 2 family in the past) investment I'd hate to make a mistake on a $600k investment. Turn key out of state seems less risky if you find a good provider. The prices are a fraction and you off load much of the management to the PM.

However, is it possible to scale a turn key?  

If you buy for $100k with $20k down.  There is no forced equity since you bought it already rehabbed.  Can you ever access that original $20k to put toward other properties.  

I'm not convinced there will be too much upside left in this market for a good number of years.  Some say KC is emerging but that could change.

[James Wise]

Originally posted by @Michelle Reid:

@James Wise I hear you.  Unfortunately, I don't have $25k x 18 to allocate to turn key properties.  What I'd like to do is leverage the equity IN the turn key to buy more turn key but there's just no room except for appreciation which seems unlikely for a while in this high market.  Or am I missing something?

 Why would someone sell you a turnkey property with equity in it? Doesn't make sense. It'd be like selling you a dollar for 80 cents.