Rehabbing Turn-key rental properties

[Joseph Pytcher]

My business partner and I are thinking about doing rehabs to create turn-key rental properties to investors. Typically the purchase prices will be below $100k with tenants and management in place.

Any advice on being successful at this? What is the most important piece when buying a turn-key rental?

[Mehran K.]

Make sure you're getting deep enough discounts on the buying side that you can provide good deals to your investors without skimping on the rehab or overcharging. Hopefully the deals are attractive enough to provide an ROI that will attract investors.

It's real important to have solid property management in place. As an out-of-state investor, this is paramount to me. They'd have to do a great job with tenant screening and the overall management of the property. Having good communication/responsiveness, bookkeeping/monthly reports, and the ability to get repairs/maintenance done quick and efficiently, are things important to me.