Today, there are many options for investing in real estate. Some people start out buying a duplex and living in one unit while renting out the other. Other people start by owning and managing a campground or storage facility. People who enjoy gutting a home and rebuilding it from the ground up enjoy purchasing nearly condemned homes and rehabbing them. Others who want to buy real estate and rent it out the next day should consider the advantages of turnkey rental properties.
Turnkey Rental Properties Are Move-in Ready
A turnkey rental property can be purchased one day and immediately rented out the next, with tenants being able to move right in. These types of properties have already had all significant repairs such as electrical, plumbing, and HVAC systems taken care of, along with any other maintenance or remodeling. The home has been cleaned, and the fridge may have even been turned on for the tenant.
You Can Manage Turnkey Rental Properties Easily
The beauty of a turnkey rental property is that you don’t have to manage it on your own. Some new property owners or new real-estate investors want to work directly with tenants to become aware of all the landlord-tenant laws required by their state. Directly working with a tenant helps the owner gain valuable knowledge of tenant behaviors and types.
If you don’t want to manage a property yourself, the easiest way to manage turnkey rental properties is to hire a professional property management company. A property management company, especially one familiar with the aspects of turnkey rental properties, will be happy to help screen tenants, deal with the necessary paperwork, and assist the tenants when any repairs are needed.
Turnkey Rental Properties Have Fewer Repairs
Because a turnkey rental property is already fully functional for the tenant, you don’t need to spend time, mental energy, or money on rehab or major repairs beforehand. Because these properties are in full working order when you purchase them, the cost of the property is often more than a run-down property that needs significant repairs. The flip side of this is that you can start making cash flow right away since the tenants can move in pretty much immediately. Since the restorations were done before the purchase, you won’t have to spend a lot on repairs or maintenance the first few years after you own it. Fewer upfront repairs mean more upfront positive cash flow.
Are you interested in investing in turnkey rental properties? Reach out to us today!