Rental Property Investor · Flagstaff, AZ · Member since 2017 · 34 posts · 24 votes
8y
I would say yes; at least with my experience. The negotiation margin tends to be smaller, but always worth a try. I know one TK I was thinking of buying from had differing costs across different platforms (Craigslist, website, mls, etc), which for me was a turn off, but it also showed their flexibility with the price.
Developer · Nashville, TN · Member since 2016 · 484 posts · 406 votes
8y
In general, I agree with negotiating when it makes sense: no competition, value, etc. We have developed a very solid system for TK buyers where the property is priced fairly for a quick cash sale. In addition, the buyer is walking in to a property that will perform well, and comes with a full one year warranty, so we so not have room to negotiate. And yes, we sell everything we get.
there is plenty of property for sale in turnkey providers. Visit the city, check out neighborhoods and then make your decision. 1% is achievable even in good neighborhoods at least in Memphis. lots of threads on reputable memphis turnkey providers on BP. Do your due dilligence
capitol heights, MD · Member since 2018 · 3 posts · 0 votes
8y
Ask yourself if the person would take $1 less, if the answer is yes than, there is always room to negotiate. The problem is when there is a bidding war with other buyers.
Flipper/Rehabber · Wilton, CT · Member since 2015 · 4k+ posts · 4k+ votes
8y
Dude.
Negotiating has NOTHING to do with how good a condition is of a house.
Let me tells yoos a little story.
My first wholesale deal yes? Old little granny. got 15 post card mailers...
Here is my secret to making amazing deals and beating my competitors with their ugly sticks.
When I enter the house.. guess what I do! I pee all over the walls and tell her MINE (territory). Try it. You will leave AN impression.
But what I ALSO do before I mark my territory all over...
I take my shoes off. OMG she loved me. She brought me cookies. Told me I am SO handsome! and she ignored all the other (higher offers).
And monkey made his first wholesale deal.
My point... negotiating has to do with demand and desire. What she wants, what you want what the market wants.
If she has offers out of her armpit, do not negotiate IFFF you badly want the house. If she has no offers.. (ask the listing agent how many offers she got), dude, juggle the ballz, play hard to get, just don't abuse people in need...
If she is in a bad situation and you can afford to pay that extra 2G, don't be a male part starting with a D and just make her (because all sellers are female) day.
Investor/RE Broker · Eugene, OR · Member since 2014 · 3k+ posts · 968 votes
8y
It is going to depend on the turnkey provider. Some will simply not negotiate on price on all or most all of their deals, because they have systems in place and they know the margins they have to achieve. These days, frequently better properties and providers will have waiting lists of investors who are waiting for a deal. Others put out a price and really anticipate investors will look for a deal - ie: bargain down, but that is becoming less frequent these days. So, again, it really depends. I would say, know the provider, know the neighborhoods, and the comps, and what price is really justified. There are definitely still deals in good areas (B neighborhoods) in some areas where you can get 1% or better with turnkey homes, but it is getting more difficult.
Rental Property Investor · Honolulu, HAWAII (HI) · Member since 2011 · 4k+ posts · 2k+ votes
8y
Tracey F. When I bought these turnkeys a few years ago the numbers were a lot better. Two things at play 1) less investors because it makes more sense to flip to retail 2) more dumb investors willing to play whatever.