Analyzing Turnkey properties

[Kosh Vokter]

What's the best way to compare/analyze turnkey properties? This will be my 1st real estate purchase and have been working with a turnkey company. I have verified they do a good job and had positive reviews about them even here on BP. The turnkey company sent over couple of properties to look at including numbers like monthly cost estimates, estimated rent, vacancy rate and estimated monthly cash-flow etc. Of course, I will analyze the properties, location, scope of work done, look at pictures etc. 

Assuming 2 properties are in the same state, but in different locations, how do you compare which one is a better deal. I suspect purely comparing on the basis of monthly cash flow might be short sighted? What else do you look for in terms of the numbers/metrics when comparing why one would be better than the other, as a long-term investment. 

[Michael Lee]

Hello Kosh!  Your goals and plan usually has that information and the range of each one like positive cash flow, cash on cash return, net operating income that includes debt service payment. the positive cash flow on day one of your ownership, and the items you mentioned, the type of parking and on-site and nearby amenities are very important as well as the first impression of the subject properties.  Does each one get any public transportation and bus stop locations.  Can you or them add value to each property like rising rent or interior/exterior improvements.

Good luck to you!