A
"turnkey provider" refers to a company or service that offers a complete and ready-to-use solution to meet a specific need. Just like when you buy a "turnkey" home, it means that everything is already set up for you and you can immediately start using or benefiting from it without needing to put in additional effort or resources.
Full definition
This is what very few investors, if any I've seen, consider when buying homes
from turnkey providers... they see, and are sold, a 300 % gain when in reality they've taken a 50 % loss.
Scott Gruber is a founding partner and CEO of Bridge Capital Asset Funding, a firm based in Memphis TN that provided private financing solutions to real estate investors as well
as turnkey providers.
This conversation has been very helpful in regards to depreciation and how it affects the deal, but I'm still confused as to why
turnkey providers don't advertise maintenance and vacancy when selling their homes to investors?
Many turnkey providers replied saying they have zero problem answering potential clients questions since the business structure really is long term relationships which starts with trust.
Your right,
most turnkey providers can't get multiple offers on the MLS because the majority of their inventory is undesirable.
That doesn't mean they are not qualified companies, but after having been in the industry now for 15 years and been approached by every provider big and small, I can state without a doubt that companies that have no business being in the Turnkey space are being promoted and propped up for fees
by Turnkey provider companies.
As
for turnkey providers in Memphis, there are at least 5 first class groups to choose from that are active on BP.
I'm a little late to the thread, but I'd be curious
which turnkey providers you met and what numbers or data they showed you to show those levels of markups.
I know other
turnkey providers offer this in various markets, so maybe one in KC if you don't want to be the one controlling the hammer - swingers, but I don't know any outside of the Philly and Baltimore with a proven track record.
We started our REI a year ago with one single family property with a popular
Memphis turnkey provider on these forums and have been happy so far.
Based on the information we gather together, we connect your criteria with the
right Turnkey Provider within our Nationwide Network to ensure your time and money are best put to use.
@Daniel Pichardo I recommend looking for the
direct turnkey provider (one who actually owns the house and isn't brokering the deal) I also recommend in house property management and visiting the area that you choose to invest.
While not a
true turnkey provider, they are catering to out - of - state investors and doing everything they can to reduce buyers» risk and uncertainty.
Does anyone (locally or nationally) have contact info for
active turnkey providers who sell properties in the Atlanta market?
If you want to stay passive, you
pay Turnkey Provider, and enjoy cash flow or do the hard work yourself and enjoy the fruits of your own labor.
Craig tells us about how he got started in real estate as well as how he became a full time investor and full
time turnkey provider of investment property.
In this episode of Investor Talk Radio I talk with my good friend Alex Craig who is also a
local turnkey provider in the Memphis TN market.
«Compared to other
turnkey providers located in other parts of the country, the Kansas City market provides an impressive cash - on - cash return in a growing metropolitan city.
I know of one who tries to slide stuff past investors» noses all the time (no one here on BP, just an
individual turnkey provider I know).
I do think that
turnkey providers occasionally have inventory in areas that have more tailwind than headwind, regardless of A, B, C, but they're far and few between in a sellers market (in a buyers market it's different.)
My goal isn't to
throw turnkey providers under the bus (again, occasionally they will have some great inventory) it's to encourage investors to educate themselves better, think through the business model and use this to your advantage to make sure you're buying a property that fits your needs and wants exactly.
But there are some very decent «C» cash - flow areas not far from there where I do own, and I know there are some
decent turnkey providers working in those areas.
Some of the alternative ways to to look at certain scenarios might give listeners a different perspective about bank financing, closing cost as well as investing
with turnkey providers.