Wanted to get some of your investor opinions on this.
Both have their pros & cons.
The turnkey can be financed where as the fixer more often than not has to be done with all cash. Now the cash on cash return will be greater when you are into the home far less than what it would have cost turnkey. Doing the leg work and going through the grind does have its pluses, but so does being able to leverage your $$ and have the tenant pay your mortgage. Now most of the time when you do the work you will be sitting on a good bit of equity.
On the other hand I do want to point out- that a lot of people when financing a turnkey, they don't take into account that the tenant is actually paying for their equity/paying down the loan. That also is a prime example of OPM(other peoples money).
Like I said I'd like to hear all of your thoughts on this, which one do you all like & why? Everyone will be different.
