Turn-Key Company Pro-Formas Are Missing Vital Info.

[William S.]

Apologies for the rant, but I'm sick of seeing these optimistic pro formas done by turn key companies. I often see 5% vacancy, $50/m maintenance, and often no CapEx budget! Not to mention the PM fees that you will have to pay (lease Fee). If you're a turn key company and I am an interested buyer I would love to see you present an accurate monthly return with these factored in. Do a breakdown of the CapEx items over the 30-year mortgage. You just completed the rehab right? So you know how much everything costs and the year/lifespan of each item. I think turn key is great for beginners or investors who want to be hands off, but please show some realistic projections. I do consider buying turn key in the future so don't think I hate them. All I am asking for is more honesty.

Investors: Run your own numbers...