Strategy in Kansas City Missouri Turnkey vs Realtor

[Chris Billington]

I'm closing on my first turnkey prop in a few weeks (single family 3 bed 2 bath in KC MO). So far so good. I will be flying in from Denver at the end of the week to inspect the repairs. Our initial strategy has been to get close to the Cerner project and stay on the Missuri side of things.  We have 6 rentals out here (Denver Metro) currently and are looking to move to the KC market due to the hyper intense market we have here. My thoughts while I'm out there would be to look at some non-turnkey inventory in good shape. My question is have any turnkey investors out there reverted to looking at inventory with a realtor once you get your feet wet and contacts made out there? Seems to me that I would be limiting myself if All I did was see turnkey inventory. Thoughts or ideas on that? Thanks for your help!!

[Cliff Harrison]

I think you should check move in ready listings and view with realtor after you identify the areas you want to be in.  It will help you understand turnkey pricing better so you are informed on that side.  The main thing is having a good PM to work with, if you have a good property in a good area and a good PM then after two months time you will be in the same position as you had bought turnkey, but you have more negotiation scope and inventory options and potentially more equity in your property.  And you will better tell a poor turnkey deal from a good one.  In my opinion.  Plus you will be expanding your network of contacts in an area and be building towards the more profitable models which would be controlling your own repair process allowing you to take on, remotely, the cosmetic updates which allow for more equity capture. That is just based on what you wrote, you seem to be down for taking a more active role.