Starting out in Turnkey Real Estate Investing
New to Real Estate · Member since 2020 · 2 posts · 3 votes
Starting out in Turnkey Real Estate Investing
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Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes
3yQuote from @Peter Spann:
I am starting out in real estate investing. After research I realize that turnkey investing will work best for me. I'd like to connect with others doing this type of investing. I am open to investing both locally and all over the country. I am also open to recomendations and ideas in getting started in turnkey investing. I am looking forward to connecting!
Saw some folks recommending Cleveland to ya. It can work, lots of turnkey folks come out here because it's really cheap. However, there are some pretty big risks out here. I recommend reading The Ultimate Guide to Grading Cleveland Neighborhoods to get an understanding of the various levels of risk on a per neighborhood basis.
6 Replies
- Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes3y
Quote from @Peter Spann:
I am starting out in real estate investing. After research I realize that turnkey investing will work best for me. I'd like to connect with others doing this type of investing. I am open to investing both locally and all over the country. I am also open to recomendations and ideas in getting started in turnkey investing. I am looking forward to connecting!
Hi Peter, welcome to BiggerPockets and congratulations on your decision to start investing in real estate! Turnkey is a good real estate investment and as someone who has done it, I'd like to share some basic info with you that I used when I started:
Things for you to do before the start of your turnkey investment:
1. Before you invest in any turnkey property, it's important to do your research and understand the market you're investing in. This includes understanding the demand for rental properties in the area, the cost of property, and the potential for appreciation.
3. There are a lot of turnkey providers out there, so it's important to do your research and find one that you trust. Look for a provider with a good track record, a strong reputation, and a team of experienced professionals.
3. Before you invest in any turnkey property, make sure you get everything in writing. This includes the purchase price, the rent, the property management fees, and the exit strategy.
Also a few things that I need you to consider:
1. Turnkey properties are within market value if not more. They are typically more expensive than traditional properties, as the seller or turnkey provider has already invested in renovations and repairs. This can make it a bit challenging to achieve a positive cash flow from the investment.
2. When you invest in a turnkey property, you have less control over the property's condition and management. This can be a potential challenge only if you want to be more hands-on with your investment.
Overall, turnkey investing can be a great way to get started in real estate investing, but it's important to be aware of the potential challenges before you invest. All the best!
- 3yDan GuentherBusiness MemberReal Estate Agent · Longmont, CO · Member since 2019 · 548 posts · 271 votes
Hey @Peter Spann
It's great to hear that you've done your research and have decided that turnkey investing is the right path for you. Connecting with others who are already involved in turnkey investing can provide you with valuable insights and support along your journey. Here are some recommendations and ideas to help you get started:
- Join Real Estate Investment Groups: Look for local real estate investment groups or forums online where you can connect with like-minded individuals who are already engaged in turnkey investing. These communities often organize meetups, webinars, and workshops where you can network, learn from experienced investors, and potentially find investment opportunities.
- Attend Real Estate Events: Check out real estate conferences, seminars, and workshops happening in your area or even nationally. These events often attract seasoned investors, real estate professionals, and experts who can share their knowledge and provide guidance on turnkey investing.
- Utilize Online Platforms: Explore online platforms dedicated to real estate investing, such as BiggerPockets (www.biggerpockets.com), where you can connect with a large community of investors, ask questions, and gain insights from their experiences. You can join relevant groups or forums specifically focused on turnkey investing to interact with others pursuing similar strategies.
- Research Turnkey Providers: Look for reputable turnkey providers in your desired markets. These providers typically specialize in acquiring properties, renovating them, and making them ready for investment. Reach out to them directly to learn more about their services, investment opportunities, and any guidance they can offer to new investors.
- Build a Power Team: As you venture into turnkey investing, it's crucial to have a reliable network of professionals who can assist you throughout the process. This may include real estate agents, property managers, contractors, and accountants. Establishing relationships with these experts will help ensure smooth operations and reduce potential risks.
- Conduct Due Diligence: When evaluating turnkey properties, conduct thorough due diligence. Assess factors such as the location, rental market demand, property condition, rental income potential, and the track record of the turnkey provider. Don't hesitate to ask for references or testimonials from other investors who have worked with the provider.
- Start Locally or Nationwide: Decide whether you want to focus on local or national turnkey investments. Local investments allow for closer supervision, while nationwide investments can offer diversification and access to potentially more lucrative markets. Consider your risk tolerance, available resources, and investment goals when making this decision.
Remember, education and continuous learning are key in real estate investing. Stay up-to-date with market trends, industry news, and investment strategies through books, podcasts, online courses, and professional development opportunities. Networking and learning from experienced investors will also accelerate your growth in the field.
Reach out if you want to discuss any opportunities here in the Colorado market and good luck to you!
Ten Ridge Realty LLC514 Reviews - Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes3y
Quote from @Peter Spann:
I am starting out in real estate investing. After research I realize that turnkey investing will work best for me. I'd like to connect with others doing this type of investing. I am open to investing both locally and all over the country. I am also open to recomendations and ideas in getting started in turnkey investing. I am looking forward to connecting!
Saw some folks recommending Cleveland to ya. It can work, lots of turnkey folks come out here because it's really cheap. However, there are some pretty big risks out here. I recommend reading The Ultimate Guide to Grading Cleveland Neighborhoods to get an understanding of the various levels of risk on a per neighborhood basis.
- Member since 2023 · 8 posts · 8 votes3y
Quote from @James Wise:
Quote from @Peter Spann:
I am starting out in real estate investing. After research I realize that turnkey investing will work best for me. I'd like to connect with others doing this type of investing. I am open to investing both locally and all over the country. I am also open to recomendations and ideas in getting started in turnkey investing. I am looking forward to connecting!
Saw some folks recommending Cleveland to ya. It can work, lots of turnkey folks come out here because it's really cheap. However, there are some pretty big risks out here. I recommend reading The Ultimate Guide to Grading Cleveland Neighborhoods to get an understanding of the various levels of risk on a per neighborhood basis.
That ultimate guide is an eye opener. How old is the data ?
- Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes3y
Quote from @Sunny Verma:
Quote from @James Wise:
Quote from @Peter Spann:
I am starting out in real estate investing. After research I realize that turnkey investing will work best for me. I'd like to connect with others doing this type of investing. I am open to investing both locally and all over the country. I am also open to recomendations and ideas in getting started in turnkey investing. I am looking forward to connecting!
Saw some folks recommending Cleveland to ya. It can work, lots of turnkey folks come out here because it's really cheap. However, there are some pretty big risks out here. I recommend reading The Ultimate Guide to Grading Cleveland Neighborhoods to get an understanding of the various levels of risk on a per neighborhood basis.
That ultimate guide is an eye opener. How old is the data ?
Wrote it in 2014/2015 or so. It's been updated a few times throughout the years tho.
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