Turnkey Companies and Properties
Antonio WallerPro Member
Los Angeles · Member since 2021 · 18 posts · 14 votesTurnkey Companies and Properties
Most Popular Reply
Melissa JusticeBusiness Member
Rental Property Investor · Phoenix, AZ · Member since 2024 · 518 posts · 1k+ votesGreat question—and you’re definitely not alone in getting mixed reviews. Turnkey investing can absolutely be a solid first deal if your goals, expectations, and provider are aligned.
When Turnkey Does Make Sense:
You want cash flow with minimal effort
You're short on time, live in an expensive market, or don't have a renovation team
You’d rather learn the ropes with a stabilized property than dive into a rehab
Turnkey gives you a way to start building wealth right away while keeping things simple, especially if you’re out-of-state or balancing a full-time job.
Where People Run Into Problems:
Buying from unvetted providers who cut corners
Not doing proper due diligence on the market or property manager
So the mixed reviews usually come down to execution, not the strategy itself.
Zillow vs. Turnkey Provider?
Buying direct from Zillow is possible—but it’s not truly turnkey. You’ll still need to:
Find and vet a contractor or property manager
Handle the rehab or tenanting yourself
Do much more due diligence on comps, rents, and repairs
A reputable turnkey provider, on the other hand, typically:
Finds and renovates the property
Places a screened tenant
Pairs you with property management
Offers a warranty period or post-sale support
Yes, you pay a premium—but you’re buying back your time, experience, and learning curve.
If you go turnkey, just be sure to vet the provider thoroughly and choose a market with real demand and job growth. This is exactly what we have helped do at Rent to Retirement for years!
You're asking the right questions—keep going!
Best of luck,
Melissa Justice
Investment Strategist at Rent to Retirement
39 Replies
- Real Estate Agent · Kansas City · Member since 2018 · 4k+ posts · 3k+ votes1y
Many do it. It's just as any other strategy. Run #'s and verify the property by doing due diligence(walk through, inspections, interview PMs, etc). You would get a better deal if you bought on/off market outside of a turnkey company. Turnkey companies offers a one stop shop but they upcharge for it. You will need to establish a team if you are not using a turnkey company in the market you are looking at so there is work with that.
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Thank you Caleb!
- Real Estate Agent · Memphis, TN · Member since 2019 · 365 posts · 264 votes1y
Great question and one that a lot of new investors wrestle with.
If you're looking to invest passively and want a more hands-off experience, I’d recommend working with a company that fully owns the process from start to finish: acquisition, renovation, placement of a resident, and long-term management. True turnkey providers typically offer warranties on their renovations, preferred lending relationships with competitive rates, and most importantly, a consistent system that minimizes your risks.
If a company doesn’t control all those aspects, then it’s not truly turnkey and at that point, you might be better off buying through a local agent, assembling your own team, and accepting the added responsibilities and risks that come with that route. This route isn't as passive and comes along with more risk unless you have the right partner to start with.
It really depends on your goals, time availability, and how involved you want to be.
Best of luck as you explore your options!
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Quote from @Taz Zettergren:
Great question and one that a lot of new investors wrestle with.
If you're looking to invest passively and want a more hands-off experience, I’d recommend working with a company that fully owns the process from start to finish: acquisition, renovation, placement of a resident, and long-term management. True turnkey providers typically offer warranties on their renovations, preferred lending relationships with competitive rates, and most importantly, a consistent system that minimizes your risks.
If a company doesn’t control all those aspects, then it’s not truly turnkey and at that point, you might be better off buying through a local agent, assembling your own team, and accepting the added responsibilities and risks that come with that route. This route isn't as passive and comes along with more risk unless you have the right partner to start with.
It really depends on your goals, time availability, and how involved you want to be.
Best of luck as you explore your options!
Thank you Taz. Great insight. I would love to keep in contact with you. I live in Los Angeles, but I was born in Memphis, and that's one of the markets that I want to start in. My dad works for a GC in Memphis.
- Real Estate Agent · Memphis, TN · Member since 2019 · 365 posts · 264 votes1y
Quote from @Antonio Waller:
Quote from @Taz Zettergren:
Great question and one that a lot of new investors wrestle with.
If you're looking to invest passively and want a more hands-off experience, I’d recommend working with a company that fully owns the process from start to finish: acquisition, renovation, placement of a resident, and long-term management. True turnkey providers typically offer warranties on their renovations, preferred lending relationships with competitive rates, and most importantly, a consistent system that minimizes your risks.
If a company doesn’t control all those aspects, then it’s not truly turnkey and at that point, you might be better off buying through a local agent, assembling your own team, and accepting the added responsibilities and risks that come with that route. This route isn't as passive and comes along with more risk unless you have the right partner to start with.
It really depends on your goals, time availability, and how involved you want to be.
Best of luck as you explore your options!
Thank you Taz. Great insight. I would love to keep in contact with you. I live in Los Angeles, but I was born in Memphis, and that's one of the markets that I want to start in. My dad works for a GC in Memphis.
It's a great place to invest, prices and law are much more friendly and I know you've got connections here. Feel free to reach out when the timing is right, I'd be happy to help any way that I can
- 1yShawn AckermanPro MemberReal Estate Entrepreneur · Mid West, East Coast · Member since 2015 · 3k+ posts · 1k+ votes
@Antonio Waller congrats on getting started on your REI journey! I want you to remember this statement.
"you can build it or you can buy it built"
When you build your portfolio i.e sourcing your own deals, building your real estate team and network you will control the amount you can make on a deal.
When you buy it built(Turnkey) you are being charged for the work others who found, renovated and placed the tenant have completed.
This is not the worst way to get started but you will be getting minimal cash flow and equity which are two important pillars for building a rental portfolio.
my suggestion:
Before you invest your capital,
1. Identify a market based on metrics that serve your business.
2. build a team in that market i.e Title Co/Atty Office, Management, Contracting Core, Realtor, Process Server, Lender(Private, Non QM, HML) handyman, Project manager etc..
3. Develop a pipeline for real estate deals
4. Learn how to fully underwrite buy and hold deals and understand different exits.
Then you can build on solid foundation and be vertically integrated.
All the best!
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Quote from @Shawn Ackerman:
@Antonio Waller congrats on getting started on your REI journey! I want you to remember this statement.
"you can build it or you can buy it built"
When you build your portfolio i.e sourcing your own deals, building your real estate team and network you will control the amount you can make on a deal.
When you buy it built(Turnkey) you are being charged for the work others who found, renovated and placed the tenant have completed.
This is not the worst way to get started but you will be getting minimal cash flow and equity which are two important pillars for building a rental portfolio.
my suggestion:
Before you invest your capital,
1. Identify a market based on metrics that serve your business.
2. build a team in that market i.e Title Co/Atty Office, Management, Contracting Core, Realtor, Process Server, Lender(Private, Non QM, HML) handyman, Project manager etc..
3. Develop a pipeline for real estate deals
4. Learn how to fully underwrite buy and hold deals and understand different exits.
Then you can build on solid foundation and be vertically integrated.
All the best!
Thanks Shawn. I'm starting to lean towards building my own team and start there.
- 1yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Quote from @Shawn Ackerman:
@Antonio Waller congrats on getting started on your REI journey! I want you to remember this statement.
"you can build it or you can buy it built"
When you build your portfolio i.e sourcing your own deals, building your real estate team and network you will control the amount you can make on a deal.
When you buy it built(Turnkey) you are being charged for the work others who found, renovated and placed the tenant have completed.
This is not the worst way to get started but you will be getting minimal cash flow and equity which are two important pillars for building a rental portfolio.
my suggestion:
Before you invest your capital,
1. Identify a market based on metrics that serve your business.
2. build a team in that market i.e Title Co/Atty Office, Management, Contracting Core, Realtor, Process Server, Lender(Private, Non QM, HML) handyman, Project manager etc..
3. Develop a pipeline for real estate deals
4. Learn how to fully underwrite buy and hold deals and understand different exits.
Then you can build on solid foundation and be vertically integrated.
All the best!
process server ???? not sure many landlords are suing people.. other than tenants.
- 1yMelissa JusticeBusiness MemberRental Property Investor · Phoenix, AZ · Member since 2024 · 518 posts · 1k+ votes
Great question—and you’re definitely not alone in getting mixed reviews. Turnkey investing can absolutely be a solid first deal if your goals, expectations, and provider are aligned.
When Turnkey Does Make Sense:
You want cash flow with minimal effort
You're short on time, live in an expensive market, or don't have a renovation team
You’d rather learn the ropes with a stabilized property than dive into a rehab
Turnkey gives you a way to start building wealth right away while keeping things simple, especially if you’re out-of-state or balancing a full-time job.
Where People Run Into Problems:
Buying from unvetted providers who cut corners
Not doing proper due diligence on the market or property manager
So the mixed reviews usually come down to execution, not the strategy itself.
Zillow vs. Turnkey Provider?
Buying direct from Zillow is possible—but it’s not truly turnkey. You’ll still need to:
Find and vet a contractor or property manager
Handle the rehab or tenanting yourself
Do much more due diligence on comps, rents, and repairs
A reputable turnkey provider, on the other hand, typically:
Finds and renovates the property
Places a screened tenant
Pairs you with property management
Offers a warranty period or post-sale support
Yes, you pay a premium—but you’re buying back your time, experience, and learning curve.
If you go turnkey, just be sure to vet the provider thoroughly and choose a market with real demand and job growth. This is exactly what we have helped do at Rent to Retirement for years!
You're asking the right questions—keep going!Best of luck,
Melissa Justice
Investment Strategist at Rent to Retirement
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Quote from @Melissa Justice:
Great question—and you’re definitely not alone in getting mixed reviews. Turnkey investing can absolutely be a solid first deal if your goals, expectations, and provider are aligned.
When Turnkey Does Make Sense:
You want cash flow with minimal effort
You're short on time, live in an expensive market, or don't have a renovation team
You’d rather learn the ropes with a stabilized property than dive into a rehab
Turnkey gives you a way to start building wealth right away while keeping things simple, especially if you’re out-of-state or balancing a full-time job.
Where People Run Into Problems:
Buying from unvetted providers who cut corners
Not doing proper due diligence on the market or property manager
So the mixed reviews usually come down to execution, not the strategy itself.
Zillow vs. Turnkey Provider?
Buying direct from Zillow is possible—but it’s not truly turnkey. You’ll still need to:
Find and vet a contractor or property manager
Handle the rehab or tenanting yourself
Do much more due diligence on comps, rents, and repairs
A reputable turnkey provider, on the other hand, typically:
Finds and renovates the property
Places a screened tenant
Pairs you with property management
Offers a warranty period or post-sale support
Yes, you pay a premium—but you’re buying back your time, experience, and learning curve.
If you go turnkey, just be sure to vet the provider thoroughly and choose a market with real demand and job growth. This is exactly what we have helped do at Rent to Retirement for years!
You're asking the right questions—keep going!Best of luck,
Melissa Justice
Investment Strategist at Rent to Retirement
Thank you Melissa. Rent to Retirement is one of the companies that I was looking into. Can I reach out to you to learn more?
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
I Appreciate that Kerlous!!!
- 1yJordan RayBusiness MemberReal Estate Agent · Memphis, TN · Member since 2023 · 623 posts · 321 votes
Quote from @Antonio Waller:
Hello BP Family,
As a new investor, would you aal recommend buying turnkey properties as your first deal? I'm getting mixed reviews. If so, would you buy direct from zillow, etc, or use a turnkey company? Thanks for your input.
Welcome to the game!
Here’s the truth—turnkey can be a decent entry point, but only if the numbers make sense and you’re not overpaying for “convenience.” I work with a lot of investors, and what I see too often is folks buying polished properties at retail prices with inflated rents, then wondering why they’re barely cash flowing.
Zillow? That’s retail central. Unless you’re confident in underwriting, local rehab costs, rent comps, and property management—stay away from trying to piece it together solo off Zillow. You’ll either overpay or take on more risk than you realize.
Turnkey companies? Some are solid, some are smoke and mirrors. Always ask: Who did the rehab? Are they cutting corners? Are rents legit or pro forma fluff? Do they manage the property or disappear after closing?
What I recommend is getting plugged in with someone local who understands investor strategy—not just an agent who’ll open doors. I help out-of-state investors every week find off-market or lightly distressed deals, build rehab plans, lock in solid PM, and ensure it’s truly passive—or at least performing.
If Memphis is on your radar, I’ve got boots on the ground, vetted contractors, lenders, PMs, and more to help you buy smart and build long-term. Feel free to DM—I don’t sugarcoat anything.
Jordan Ray - eXp Realty5110 Reviews- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Quote from @Jordan Ray:
Quote from @Antonio Waller:
Hello BP Family,
As a new investor, would you aal recommend buying turnkey properties as your first deal? I'm getting mixed reviews. If so, would you buy direct from zillow, etc, or use a turnkey company? Thanks for your input.
Welcome to the game!
Here’s the truth—turnkey can be a decent entry point, but only if the numbers make sense and you’re not overpaying for “convenience.” I work with a lot of investors, and what I see too often is folks buying polished properties at retail prices with inflated rents, then wondering why they’re barely cash flowing.
Zillow? That’s retail central. Unless you’re confident in underwriting, local rehab costs, rent comps, and property management—stay away from trying to piece it together solo off Zillow. You’ll either overpay or take on more risk than you realize.
Turnkey companies? Some are solid, some are smoke and mirrors. Always ask: Who did the rehab? Are they cutting corners? Are rents legit or pro forma fluff? Do they manage the property or disappear after closing?
What I recommend is getting plugged in with someone local who understands investor strategy—not just an agent who’ll open doors. I help out-of-state investors every week find off-market or lightly distressed deals, build rehab plans, lock in solid PM, and ensure it’s truly passive—or at least performing.
If Memphis is on your radar, I’ve got boots on the ground, vetted contractors, lenders, PMs, and more to help you buy smart and build long-term. Feel free to DM—I don’t sugarcoat anything.
Thank you Jordan. I got you locked in. I appreciate the reply. We'll be in touch soon.
- 1yJordan RayBusiness MemberReal Estate Agent · Memphis, TN · Member since 2023 · 623 posts · 321 votes
Quote from @Antonio Waller:
Quote from @Jordan Ray:
Quote from @Antonio Waller:
Hello BP Family,
As a new investor, would you aal recommend buying turnkey properties as your first deal? I'm getting mixed reviews. If so, would you buy direct from zillow, etc, or use a turnkey company? Thanks for your input.
Welcome to the game!
Here’s the truth—turnkey can be a decent entry point, but only if the numbers make sense and you’re not overpaying for “convenience.” I work with a lot of investors, and what I see too often is folks buying polished properties at retail prices with inflated rents, then wondering why they’re barely cash flowing.
Zillow? That’s retail central. Unless you’re confident in underwriting, local rehab costs, rent comps, and property management—stay away from trying to piece it together solo off Zillow. You’ll either overpay or take on more risk than you realize.
Turnkey companies? Some are solid, some are smoke and mirrors. Always ask: Who did the rehab? Are they cutting corners? Are rents legit or pro forma fluff? Do they manage the property or disappear after closing?
What I recommend is getting plugged in with someone local who understands investor strategy—not just an agent who’ll open doors. I help out-of-state investors every week find off-market or lightly distressed deals, build rehab plans, lock in solid PM, and ensure it’s truly passive—or at least performing.
If Memphis is on your radar, I’ve got boots on the ground, vetted contractors, lenders, PMs, and more to help you buy smart and build long-term. Feel free to DM—I don’t sugarcoat anything.
Thank you Jordan. I got you locked in. I appreciate the reply. We'll be in touch soon.
Sounds good! I am ready!
Jordan Ray - eXp Realty5110 Reviews - Member since 2025 · 3 posts · 2 votes1y
@Jordan Ray I'm looking at my first turnkey property in the Memphis area. Would you be open to sharing some insights in the market?
- 1yJordan RayBusiness MemberReal Estate Agent · Memphis, TN · Member since 2023 · 623 posts · 321 votes
Quote from @Ryan Neuman:
@Jordan Ray I'm looking at my first turnkey property in the Memphis area. Would you be open to sharing some insights in the market?
Absolutely! I will dm you!
Jordan Ray - eXp Realty5110 Reviews
- 1yTodd AndersonPro MemberReal Estate Agent · Cape Coral, FL · Member since 2023 · 392 posts · 175 votes
Congratulations on being a new investor and welcome to the BP community.
As of there have said on this thread, this is a very common question for new investors. But it is not only a question for new investors, depending on your situation, it may be a question that you will be asking during your entire REI journey.
Investing only in your backyard, or taking the time to build a team in each OOS market that you were interested in is certainly a solid way to invest. Many investors never get to making their investment because they spend all their time researching and building their team. For people who don't have the time to spend on this or are looking for a more passive way to get into REI, turkey is a very nice option.
I would agree with others that not all situations are the same. You need to fully vet any team that you work with. But for the investor, who doesn't want to spend all their free time building teams, finding the right turnkey team once that can help you invest multiple times, maybe a good use of your time.
Best of luck on your investing journey.
- Member since 2020 · 351 posts · 329 votes1y
Ultimately, you will make more money on houses with a value-add component if you do it well. I don't know how much time you have to put into your real estate, but everything takes longer and generally costs more than you expect on the first deals. This includes learning how to be a landlord (how to market, local laws, setting up communication and payment systems, setting up leases, setting up a bookkeeping system), maintenance/turnover (how long it takes to repaint, get contractors started etc.), understanding how much quality work costs, and also mistakes you make. Because of that, I suggest starting with something "turnkey" or minor cosmetic update before proceeding to more challenging and hopefully profitable work. The reason is that you have less risk (hopefully) and you start learning without biting off more than you can chew.
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Quote from @Peter W.:
Ultimately, you will make more money on houses with a value-add component if you do it well. I don't know how much time you have to put into your real estate, but everything takes longer and generally costs more than you expect on the first deals. This includes learning how to be a landlord (how to market, local laws, setting up communication and payment systems, setting up leases, setting up a bookkeeping system), maintenance/turnover (how long it takes to repaint, get contractors started etc.), understanding how much quality work costs, and also mistakes you make. Because of that, I suggest starting with something "turnkey" or minor cosmetic update before proceeding to more challenging and hopefully profitable work. The reason is that you have less risk (hopefully) and you start learning without biting off more than you can chew.
Thanks Peter. That's what I'm leaning towards. Maybe a minor rehab, so I can go through the process, but mostly turn-key ready. Thanks for the reply.
- Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes1y
@Antonio Waller best advice I can give is how to get YOUR answer vs what others may like, want, fit for, because end of day all that matters is what works for YOU, personally, right.
Step1: get in touch with Rent To Retirement. @Zach Lemaster or it looks like @Melissa Justice although I am not familiar with her.
Ask questions. All the question. Who, what, when, where, why, how.... Get the list, write it down, bullet points of what the turn-key curated experience is.
Step2: Check out @James Wise and the HW YT site and all the videos. Get "done-learned" at what the middle ground looks like, what land lording can look like, watch the eviction series. Connect, find out what they do, what you'll have to "own" in the doing and be responsible for.
Step3: Get to googling. Set aside 1-3 days of "brain damage" time because your going to be trying to reach out, interview and sniff out the BS of attempting to build your own team, remotely, from 0. Expect about 80% you connect with are just going to be out right BS'ing you and focused on selling you, because they see you as nothing but a paycheck. That's just the reality of it. But you gotta do it anyways, just to experience "the suck". You will need agents, PM's, service vendors, all of it. Your gonna do 100, 200+ calls. Make a temp e-mail because I guarantee that e-mail is gonna be blowing up in short order with follow-up pressing you to get milked NOW-now.
When all done, take a day or few, maybe have some good strong JD "Tennessee Tea" at the ready cause your gonna need it. Digest it all and..... pick a path.
Which is YOUR best path for this 1st one. Fully done 4-you on a silver platter turn-key handholding. Middle ground fo assisted and directed but ON-YOU to know what your doing, buying, due diligence confirmations etc.. Or the "lone wolf", putting in the work to sort through the sewers to find the rare gems of "team members" of quality and trust.
It is what it is, there is a price to be paid for each.
All that matters is which best fit's for YOU, not me, not anyone else, YOU.
- 1yMelissa JusticeBusiness MemberRental Property Investor · Phoenix, AZ · Member since 2024 · 518 posts · 1k+ votes
Quote from @James Hamling:
@Antonio Waller best advice I can give is how to get YOUR answer vs what others may like, want, fit for, because end of day all that matters is what works for YOU, personally, right.
Step1: get in touch with Rent To Retirement. @Zach Lemaster or it looks like @Melissa Justice although I am not familiar with her.
Ask questions. All the question. Who, what, when, where, why, how.... Get the list, write it down, bullet points of what the turn-key curated experience is.
Step2: Check out @James Wise and the HW YT site and all the videos. Get "done-learned" at what the middle ground looks like, what land lording can look like, watch the eviction series. Connect, find out what they do, what you'll have to "own" in the doing and be responsible for.
Step3: Get to googling. Set aside 1-3 days of "brain damage" time because your going to be trying to reach out, interview and sniff out the BS of attempting to build your own team, remotely, from 0. Expect about 80% you connect with are just going to be out right BS'ing you and focused on selling you, because they see you as nothing but a paycheck. That's just the reality of it. But you gotta do it anyways, just to experience "the suck". You will need agents, PM's, service vendors, all of it. Your gonna do 100, 200+ calls. Make a temp e-mail because I guarantee that e-mail is gonna be blowing up in short order with follow-up pressing you to get milked NOW-now.
When all done, take a day or few, maybe have some good strong JD "Tennessee Tea" at the ready cause your gonna need it. Digest it all and..... pick a path.
Which is YOUR best path for this 1st one. Fully done 4-you on a silver platter turn-key handholding. Middle ground fo assisted and directed but ON-YOU to know what your doing, buying, due diligence confirmations etc.. Or the "lone wolf", putting in the work to sort through the sewers to find the rare gems of "team members" of quality and trust.
It is what it is, there is a price to be paid for each.
All that matters is which best fit's for YOU, not me, not anyone else, YOU.
Thanks, James! Great advice for Antonio. And Zach is my CEO. Cheers!
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
Quote from @James Hamling:
@Antonio Waller best advice I can give is how to get YOUR answer vs what others may like, want, fit for, because end of day all that matters is what works for YOU, personally, right.
Step1: get in touch with Rent To Retirement. @Zach Lemaster or it looks like @Melissa Justice although I am not familiar with her.
Ask questions. All the question. Who, what, when, where, why, how.... Get the list, write it down, bullet points of what the turn-key curated experience is.
Step2: Check out @James Wise and the HW YT site and all the videos. Get "done-learned" at what the middle ground looks like, what land lording can look like, watch the eviction series. Connect, find out what they do, what you'll have to "own" in the doing and be responsible for.
Step3: Get to googling. Set aside 1-3 days of "brain damage" time because your going to be trying to reach out, interview and sniff out the BS of attempting to build your own team, remotely, from 0. Expect about 80% you connect with are just going to be out right BS'ing you and focused on selling you, because they see you as nothing but a paycheck. That's just the reality of it. But you gotta do it anyways, just to experience "the suck". You will need agents, PM's, service vendors, all of it. Your gonna do 100, 200+ calls. Make a temp e-mail because I guarantee that e-mail is gonna be blowing up in short order with follow-up pressing you to get milked NOW-now.
When all done, take a day or few, maybe have some good strong JD "Tennessee Tea" at the ready cause your gonna need it. Digest it all and..... pick a path.
Which is YOUR best path for this 1st one. Fully done 4-you on a silver platter turn-key handholding. Middle ground fo assisted and directed but ON-YOU to know what your doing, buying, due diligence confirmations etc.. Or the "lone wolf", putting in the work to sort through the sewers to find the rare gems of "team members" of quality and trust.
It is what it is, there is a price to be paid for each.
All that matters is which best fit's for YOU, not me, not anyone else, YOU.
Man!!!! I love this James (nice name. My middle name). I love the realness in this message. I appreciate that. You're 100% right. I'm trying to keep from getting burned on the 1st deal, and I also know there are sharks out there that can sniff a newbie lol. Doing as much homework as I can. Thanks!
- Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes1y
Quote from @Antonio Waller:
Quote from @James Hamling:
@Antonio Waller best advice I can give is how to get YOUR answer vs what others may like, want, fit for, because end of day all that matters is what works for YOU, personally, right.
Step1: get in touch with Rent To Retirement. @Zach Lemaster or it looks like @Melissa Justice although I am not familiar with her.
Ask questions. All the question. Who, what, when, where, why, how.... Get the list, write it down, bullet points of what the turn-key curated experience is.
Step2: Check out @James Wise and the HW YT site and all the videos. Get "done-learned" at what the middle ground looks like, what land lording can look like, watch the eviction series. Connect, find out what they do, what you'll have to "own" in the doing and be responsible for.
Step3: Get to googling. Set aside 1-3 days of "brain damage" time because your going to be trying to reach out, interview and sniff out the BS of attempting to build your own team, remotely, from 0. Expect about 80% you connect with are just going to be out right BS'ing you and focused on selling you, because they see you as nothing but a paycheck. That's just the reality of it. But you gotta do it anyways, just to experience "the suck". You will need agents, PM's, service vendors, all of it. Your gonna do 100, 200+ calls. Make a temp e-mail because I guarantee that e-mail is gonna be blowing up in short order with follow-up pressing you to get milked NOW-now.
When all done, take a day or few, maybe have some good strong JD "Tennessee Tea" at the ready cause your gonna need it. Digest it all and..... pick a path.
Which is YOUR best path for this 1st one. Fully done 4-you on a silver platter turn-key handholding. Middle ground fo assisted and directed but ON-YOU to know what your doing, buying, due diligence confirmations etc.. Or the "lone wolf", putting in the work to sort through the sewers to find the rare gems of "team members" of quality and trust.
It is what it is, there is a price to be paid for each.
All that matters is which best fit's for YOU, not me, not anyone else, YOU.
Man!!!! I love this James (nice name. My middle name). I love the realness in this message. I appreciate that. You're 100% right. I'm trying to keep from getting burned on the 1st deal, and I also know there are sharks out there that can sniff a newbie lol. Doing as much homework as I can. Thanks!
I appreciate you Antonio, happy to be of legit help.
And look, for all those banging the drum of you can do it all alone, build a team out-state, learn all the things, do all the things yada-yada-yada......
They are all missing or ignoring the #1 most important key aspect to your question and everything here of your first deal.
This is a beginning, an entry, the starting line. Arnold did NOT start as Mr Universe. Elon did not start as Mr Tesla. No Master Carpenter STARTS as a Master Carpenter......
Let's change this to carpentry.
Imagine if you said you wanted to become a Master Carpenter and asked how to get STARTED and people said buy all the tools and just go do it, go build an over the rail Ipe wood railing with radius. Yeah, you'd say what you did here right "a what?" lol.
I love Love LOVE the sage wisdom of Ratatouille: Anyone can "cook". Not everyone/anyone can be great, but greatness can come from anywhere.
Reality is most can't be great at REI, and never will. It's a hell of a lot of work of it, it is. It's hard, hard as all heck, to do the everything. I get asked by the "noob" agents and people how they can get to my level of achievement, know what I know, get to my position and I tell them it's simple, dedicate 20 years of of their life to focused learning and education, blood sweet and tears, and they'll be an overnight success 20 years in the making.
I have been in real estate professionally since 1994.....
Yes, I can walk into properties in any market, read the market, read the land, read the property, read the deal and spit out all the varieties of what to do, how to do it and so on.
But for a new person...... That's INSANITY.
Every new Landlord should ALWAYS, 100% of the time, start with a great PM service. Because a new Landlord does not know what they don't know, and it's a heck of a lot to learn and know.
In the same, every new person to REI, in this market/environment should ALWAYS 100% of the time start with the best hand-holding service they can hitch there wagon to. Because they don't know what they don't know.
The ONLY exceptions are those who already start with an advanced level of industry insight and resources, for example a GC who has been a GC and renovator for years and now starts in flips. Or the agent who's been an agent for years and now starts with building there own investment portfolio.
But to tell the average John/Jane Doe off the street to just shazam up a team and jump in, gamble there $100k, $300k, $700k+ on learning as they go blindly forward....... It's neglectful and deceitful advice, it is.
Start SAFE.
Simple SIMPLE "law" of life and business: Do what you do BEST, and hire the BEST to do the rest.
Yes, I am Real Estate Broker who's whole business is based around helping people to BEST invest with real estate whole-heartedly endorse 100% that in this market and time that people NEED to start with a great Turn-Key provider to get there start. To get exposure to how a great, skilled, experienced operation works, what it is supposed to look like, how it's supposed to be done. And learn, Learn, LEARN.
Reverse engineer success. Don't strike out blind.
Yes, turn-key costs some $ vs the lottery ticket "what if I can magically go from 0 too great". That fee for assured success is a drop in the bucket vs the HUGE expense of the 90%+ probability of education from mistakes, failures, whopsies a new "lone wolf" experiences.
The failure rate in REI is VERY high. That's rarely spoken of. Too rarely.
Those failures are all but never on property 7, 10, 15..... It's from those who started wrong.
Start right, start safest possible, and then once gain the knowledge and experience let's pour some gas on it for deal #3, 4 and beyond.
- 1yBernice RetzloffPro MemberMemphis, TN · Member since 2024 · 234 posts · 100 votes
Hey @Antonio Waller!
Turnkey can definitely be a solid option for a first deal, especially if you're looking for something more passive and don’t have time to manage a rehab. The key is working with the right people! Some turnkey providers are great, others not so much. I’d personally lean toward working with a trusted local team who knows the market rather than buying something off Zillow or going through a big national turnkey company. Markets like Memphis, where I’m active, offer solid cash flow and teams that help with property management and long-term support. Let me know if you’re exploring options like that!- Los Angeles · Member since 2021 · 18 posts · 14 votes1yThank you Bernice! I've been in touch with members of your team. You guys have been great help.
Quote from @Bernice Retzloff:
Hey @Antonio Waller!
Turnkey can definitely be a solid option for a first deal, especially if you're looking for something more passive and don’t have time to manage a rehab. The key is working with the right people! Some turnkey providers are great, others not so much. I’d personally lean toward working with a trusted local team who knows the market rather than buying something off Zillow or going through a big national turnkey company. Markets like Memphis, where I’m active, offer solid cash flow and teams that help with property management and long-term support. Let me know if you’re exploring options like that!
- New to Real Estate · Member since 2019 · 48 posts · 43 votes1y
I'm from SoCal like yourself and ended up going Turnkey. We used a reputable turnkey company (REI Nation) and had a great experience. If you're in it for the long term, I think this is a viable option but if you're looking to exit within 5 years, I think you would be looking at breaking even as you will be paying an expected premium for your property. The properties that I bought and will continue to buy through the company are for my kids to hold after I've passed.
If your Dad is a GC and you have boots on the ground in Memphis, I think you could do well by purchasing at a lower cost, fixing it up and finding a good property management company to vet and place your tenant and take care of the day to day ops.
- Los Angeles · Member since 2021 · 18 posts · 14 votes1y
That was great insight Kevin. Thanks! You've just got my brain going. Maybe I buy turnkey for my son, just to have a property to keep and pass down. I truly appreciate that!
- 1yShawn AckermanPro MemberReal Estate Entrepreneur · Mid West, East Coast · Member since 2015 · 3k+ posts · 1k+ votes
Hey @Jay Hinrichs we use a process server company in Milwaukee for our evictions. May be overkill but you can never have enough people on the team I feel.
- 1yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Quote from @Shawn Ackerman:
Hey @Jay Hinrichs we use a process server company in Milwaukee for our evictions. May be overkill but you can never have enough people on the team I feel.
I hear that.. although expecting to have to evict . Is kind of a sad situation :)
- Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes1y
Quote from @Shawn Ackerman:
Hey @Jay Hinrichs we use a process server company in Milwaukee for our evictions. May be overkill but you can never have enough people on the team I feel.
I have had to do exactly 1 eviction in the last 5 years......
If a person has to do evictions at a pace so regular that it requires a focus to team building for such..... Something is being done very wrong.
- Real Estate Consultant · Ann Arbor, MI · Member since 2022 · 461 posts · 250 votes1y
Hi Antonio-
Great question! You ask if you should buy "turnkey" investment properties as a new investor?
You say you have gotten mixed reviews on this idea up to this point.
I agree some investors like "turnkey" properties to invest in.
Personally, I think you should develop the team and basics to be able to find and create your own versions of "turnkey" properties in areas you are interested in. That way, If you know how to develop the team locally and have basic deal analysis understanding you can replicate the model where there are opportunities and not just where someone decided to offer "turnkey" properties.
To Your Success!
- 1yJorge VazquezBusiness MemberReal Estate Broker · Tampa, FL · Member since 2017 · 1k+ posts · 679 votes
Hey Antonio,
After working with investors for over 20 years, here’s how I break it down:
There are two types of investors—those with a lot of cash who need cash flow now, and those with limited capital who need to build equity fast. If you’re just starting out and trying to grow your money, buying a turnkey property probably isn’t your best move.
Why? Because turnkey properties are already fully rehabbed and priced at market value. You’re basically buying someone else’s profit. There’s no room to force equity, and that slows down your momentum.
My strategy has always been forced equity: buy something below market, add value through rehab, and refinance to pull your money out. It's the BRRRR model, and it lets you reuse the same capital over and over. That's how I scaled my portfolio with very little upfront cash.
Now here’s the key: it also depends on velocity—how fast you need your money to move.
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If you're 30 years old and your goal is to be financially free by 60, you’ve got 30 years to pace yourself. In that case, you can focus on strong cash-flowing rentals and just keep stacking them slowly.
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But if you’re aiming to move faster or you depend on cash-out refis and flips to grow, then you’ve got to build equity from day one. No shortcuts.
Bottom line? You don’t need a turnkey property...
You might just need a turnkey group that fits your game plan. This is how I went from zero to almost 40 properties with no money!– Jorge
Graystone Investment Group4.6268 Reviews -
- Member since 2020 · 1 post · 0 votes1y
Hi Antonio,
I just closed on my first turnkey property two weeks ago, and I can say I experienced more pros than cons.
**Pros:**
- $2,500 towards closing costs
- Waived property management fees for one year
- A 90-day warranty included
- The property came with tenants already in place for one year**Cons:**
- It was definitely an upsell;
- I couldn't see the work that was done and have to rely solely on pictures.Overall, the transaction was smooth, and everything went well but I recommend vetting everyone on your team and carefully reading every document with a fine toothed comb. I caught a couple of errors right before signing!
While the cash flow isn't significant, it is more than what I was earning in interest from my savings account. I'm planning to hold onto this property for the long haul though, so I’m glad I finally made my first purchase!
Much luck to you!
- 1yDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
While investing via Turnkey Rentals sounds easy, you should understand that you will be paying full retail, often even more, for the properties.
Why? The Turnkey provider is looking to maximize their profits!
Also, there are numerous challenges dealing with Turnkey providers:
1) Terrible renovation work - we've taken over many properties that investor bought turnkey and they were shocked to learn the true condition of their property from our TakeOver video.
---So, get a GREAT property inspector NOT recommended by the turnkey company to avoid bias.2) Misrepresenting Property Class - have seen many turnkey providers in Metro Detroit area sell OOS investors Class C properties as Class B.
---So, learn the neighborhoods where you plan to invest and use Google Streetview to virtually explore them.3) Poor Tenant Screening - they typically can't sell a property until they place a tenant. So, they have a conflict of interest in waiting for the right tenant.
---So, insist on them providing the rental application and supporting docs for your review. This means YOU need to learn how to evaluate a rental application!4) Poor Property Management - Where do you think a turnkey provider will put their best staff, on selling properties and making $5k+/transaction or on property management and making $80/month transactions?
---So, ask about their standard operating procedures and make sure your management contract has an easy termination clause.What are your options if you experience one of the above? Everyone thinks they can sue to solve the problem.
Do you realize how much it will cost to hire an OOS attorney to sue the turnkey company?
Unfortunately, the majority of investors that experience terrible service from turnkey companies, figure out that it's not worth spending tens of thousands of dollars suing their turnkey provider and just move on - which allows the turnkey provider to not change their ways and stay in business:(
You should also check out this BP thread about the topic:
let's try to objectively (and Logically) look at this.
TURNKEY
Pros:
1) Everything should be done, so no major repairs for near future
2) Can finance everything in one purchase loan
3) Can also buy with tenant in placeCons:
1) Usually paying max market price
2) Trusting that repairs were all done and done well, otherwise potential money pit
3) Any tenant in place may be misrepresented to make the saleOWN REHAB
Pros:
1) If done well, may have instant/forced equity
2) You will know exactly what repairs done and how well they were done
3) Can place your own tenant to your qualificationsCons:
1) Rehab loans are expensive
2) Can run into rehab surprises affecting budget (watch any HGTV flip show!)
3) Finding trustworthy contractors can be VERY challengingWe've helped a lot of investors do it both ways, depending on their goals. PM us if we can help further.
Logical Property Management4.9451 Reviews - 1yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
@Drew Sygit good post Drew.
I wanted to add a little bit as well.
for many buying their first rental will be their second biggest purchase of their life behind their personal residence if they own the home they live in and especially if its on the coast were the coastal elites live.
What I see is folks just not taking it serious enough to dive into this second biggest purchase and you have laid out some good points.
Travel to the market and spend 3 or 4 days scouting neighborhoods is always a good Idea in my mind.. I think many just don't want to spend the money or they cant take the time off of work or family commitments.. So they take location risks.
On rehab when it comes to these homes that have been substantially rehabbed we all know what they looked like when some wholesaler sells it to the turnkey providers local operator. Some homes are fluff and buff some need full gut..
what I would recommend for many is to concentrate on the major systems.. FIRST sewer scope this is expensive and you wont know it failed until your tenant moves in and has a major issue which will cost 5 to 20k depending.
next is Roof HVAC Plumbing and updated electrical panel and wiring.
If you can get those things new and recently done that will solve a lot of issues.
Lastly and this is JUST MY OPINION I think were turn key folks just hammer on RENT day one to make investors return calculator look better.. I think they should buy the home vacant this way they can do their punch list inspections MUCH easier and its easier on the provider nothing worse than trying to schedule around tenants and the tenants may have things in the house like furniture that blocks defects.
Then on top of that you can work with your TRUSTED PM to pick the right tenant this is critical If you cant afford 1 or 2 months of negative cash flow while your getting the best tenant possible I personally think your making a mistake or undercapitilized out of the gate. Working with your PM on tenant selection I think is a good learning exercise for the owner and helps the PM .. nothing worse for TK or PM to have a clunker tenant .. guess who gets blamed.. .Have th owner of the property share in that decision so responsibility is shared. It also takes the motivation of slamming a tenant in there to get the property closed out of the equation. Keep in mind those providers are generally using Hard Money loans so there motivation is to fill it as quick as possible to decrease their holding costs and human nature being human nature maybe not the best tenant gets placed because of this.
Bottom line.
Turnkey buying is no different than buying any other house.. proper due diligence and inspections will protect the investor most all of the time .. The investor must engage though to buy then if it does not go right they blame everyone else but themselves.. And many times you can explain to investors that returns price for risk and they will STILL pick the highest return and discount the risk and when it does not work the blame game starts and the threads on BP start.
- 1yDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
@Jay Hinrichs great points Jay!
I even gave you vote, not that you need any more:)
Logical Property Management4.9451 Reviews - Real Estate Agent · Nashville, TN · Member since 2025 · 125 posts · 62 votes1y
Hey there!
Turnkey properties can be a great way for new investors to get started—especially if you want less hands-on rehab work and quicker cash flow. But like anything, they come with pros and cons.
Pros:
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Often cashflow-ready
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Less upfront work and stress
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Easier to manage if you’re remote
Cons:
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Sometimes pricier than buying and rehabbing yourself
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Limited control on property selection and rehab quality
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Risk of overpaying if you don’t do due diligence
As for buying direct vs. turnkey companies:
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Turnkey companies usually offer full packages with property management, vetted tenants, and warranties, which can be helpful if you want a smoother, more hands-off experience.
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Buying direct on Zillow or other platforms can save fees but usually means you handle rehab, tenant placement, and management yourself or find separate providers.
If you go turnkey, make sure you vet the company thoroughly—ask for references, check reviews, and see their track record.
Ultimately, it depends on your goals, time, and comfort level. If you want faster cash flow with less hassle, turnkey could work well. If you want to maximize profit and learn the ropes hands-on, buying and rehabbing might be better.
Happy to chat more if you want!
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