First TK with Memphis Invest - Low Appraisal

[Saran Sivashanmugam]

Hi All,

I'm new to Turn Key. I decided to go with Memphis Invest after seeing many reviews on BP and other forums.

I signed a contract for a rehabbed home in Memphis, TN.

The appraisal came about $8,000 below from sales price. The appraisal is based on comparable sales for nearby homes.

The home is tenant occupied and my ROI calculation is about 27% cash-on-cash.

Following are major rehab items,

• New water heater
• New A/C
• New Furnace
• New Roof
• HVAC repairs

I'm bit concerned about the 8k low appraisal. What do you think I should do? Is this a good deal?

Thanks for your thoughts!

[Russell Brazil]

1 persons opinion of value. Get 10 appraisals and you.will get 10 different values. Turnkey by its very nature you are paying a premium for.  Id rather get a slightly over priced property from Memphis Invest than get a smoking deal from Morris Invest. 

For those who may not know the 2 companies, Memphis is one of the most reputable companies in the sector, and the other, well lets just say they are not.