Top Turnkey Markets?

[Ben F.]

BP Members, Please indicate which metropolitan areas you feel are top candidates for turnkey investors? These should be markets where monthly ROI potential is high and unemployment is low. I've heard Kansas City, MO is one, but I'd like to get feedback from investors and realtors across the network. Thanks!

[James Wise]

Originally posted by @Ben F.:

BP Members,

Please indicate which metropolitan areas you feel are top candidates for turnkey investors? These should be markets where monthly ROI potential is high and unemployment is low.

I've heard Kansas City, MO is one, but I'd like to get feedback from investors and realtors across the network.

Thanks!

The Midwestern markets are where most all folks in high prices areas go to get their cash flowing rental properties.

• Cleveland
• Kansas City
• Indy
• Toledo
• Dayton

My opinion you'll get very similar results in any of those markets. What's more important than the specific market is what you buy in the market itself. Ya see, it's not really that complicated to buy out of state. It only becomes complicated when investors try to over complicate or over think everything. Whenever you are buying a property out of state you should do a few things to ensure it's as smooth as possible.

• Don't buy in the roughest neighborhood in the urban core. Pick a solid B-Class suburban area. Perhaps a nice 1950's built bungalow.
• Always hire a 3rd party property inspector to give you an unbiased feel for the home. The reports are 40-90 pages long and go through the entire house in great detail.
• Get an appraisal. If your using financing the bank requires this. This is good. The bank isn't going to let you blow their money. They have more skin in the game then you do.
• Make sure you get clear title. If using a lender this is a non issue. They will make you do this. It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.
• Make sure your property manager is a licensed real estate brokerage.
• Understand you can not eliminate all risk, only mitigate it. If you are risk adverse real estate, (especially out of state) is not for you.