Turn key investment

[Brian Lee]

Hello i was wondering people's thoughts on turn key investment property and the pros and cons about this method, thanks 

[Larry Fried]

Yes, @Brian Lee turnkey investing can be a good way for a busy out of state investor to get started in REI, but be very careful who you work with. There are good players in the space, and some bad. Morris Invest is probably the worse of the worse. Just search for this company (and partner Oceanpoint) here on BP and you will find horror stories galore. They are running a totally corrupt organization, and there are class action lawsuits forming against them.

Also the price point you are looking at is particularly difficult to do well in.  While returns on paper may look excellent, the reality will be much different.  If buying turnkey in the midwest, I suggest you buy only after the property is completely rehabbed, tenant placed. You can then get conventional financing, and have the bank appraise the property, so you know what you are paying is what you are getting.  At look for rents that are at least $900 to get into B neighborhoods.  Also plan on visiting the area and meeting whatever team you are considering working with.  Err on the side of caution in your due diligence.