Turnkey Investment Advice

[Tracey Leung]

I am looking for any advise you have for turnkey investment. After you identified the city or state to invest, do you plan a trip to visit the cities and meet with your turnkey providers? Or do you wait until the rental property is identified? I am wondering what due diligence should be performed for a first time out of state investor.

Thank you!

Tracey

[Meghan Latenser]

I represent a turnkey company in Kansas City. We tent to see around 10% of our clients actually visit Kansas City before purchasing. I love it when people come into town and I get to show off Kansas City! However, I do think that due diligence is a crucial first step. Six very important things to ask provides are:

1. What is your renovation process? Does a third party assist when making decisions to replace CapEx items?

2. What goes into making the city's economy stable and thriving? 

3. What class of neighborhoods does the company invest in and why?

4. Does the company have in-house property management? What are the costs per month and what additional fees come up?

5. Does the company stand behind their work? What kind of warranty will be included? 

6. Do you feel a connection with the company? Do you feel a high level of transparency and communication? Are they adding value to your experience?