Martel Turnkey Custoemr Feedback

[Allen Berrebbi]

Has anyone here used them and have some feedback on the company and the deals?

[Stuart Udis]

I can't speak for the Martel Turnkey platform specifically, but  wanted to share my take on the turn key model more generally.  Most of the turn key providers I observe are turning out entry level housing options and marketing to out of state investors who are priced out of owning investment real estate in their hometown market. Entry level housing and turn key do not belong in the same sentence. The renovations are generally band-aid fixes, not because the turn key provider is necessaraily looking to cut corners (although some do). This is because the price points of the properties cannot afford proper renovations.  Sufficient enough to get through a home inspection but not indicative of long term sustainability.  Then layer on the operational component when these out of state buyers are reliant on 100% 3rd party oversignt and management when dealing with real estate disproportionately impacted by opex and capex and its a losing proposition. Many of these turn key providers also throw in free PM services for the first year hiding the true costs of operations. I am expecting a day of reckoning for many of these buyers. Sadly many have no clue as they post their endorsemenmts on platforms such as BP having never owned real estate believing they just swung for the fences and hit a home run. Buying "turn key" properties in markets where the price points allow for a thorough and full renovation process or even New Construction can have merit for the right buyer, but not entry level.