Thoughts on Turnkey then BRRRR strategy

[Steven Lam]

Currently, I’m located in the California Bay Area and the market is hot so I’m looking into long distance investing in a cheaper market (no predetermined market just yet). Please recommend opportunistic markets!

My question is: would starting off with a turnkey property for my first deal then going for a BRRRR property for my second deal be a good idea.

My thought is that if I purchase a turnkey property it would give me access to the turn key provider, the property management they use, and personnel that I could ask questions to learn about the process. It would essentially be training wheels for my first deal so that I have a better understanding of the process of purchasing, rehabbing, refinancing, renting out a property for my second deal. The icing on top is that the turnkey property may possibly cash flow (I would do my due diligence and own analysis on the turnkey property before purchase). I understand some say that "hands-on" experience in BRRRR is the best way of learning but would starting off with a turnkey be beneficial to learning as well before diving 100% into my second deal (or my first BRRRR deal that I do on my own). Thanks a bunch in advance!

[Caleb Heimsoth]

@Steven Lam you can do either but you’ll have issues with either