Low purchase price and owner-occupied loan to keep down payment and carrying costs low to fund the construction costs.

I attended one recently, but it felt more like a scheme; the initial meeting was free, but subsequent sessions required payment ranging from $200 to $500 for a 3-day course.

Then the judgment would need to attach to the property and then you can foreclose.Issues that could come up are I assume there is no third party servicer to claim the payments were or were not made- so there is a he said she said - if they also occupy the property and statements were not sent you cannot charge interest typically on the loan.You will need an attorney involved to see what if it is still collectible.

Dave's new book, Start with Strategy will help you cut through the noise, identify your goals, zero in on your strengths, and craft the exact personalized portfolio to make you a smarter, more focused, and more successful real estate investor. 🎁 FREE PLANNER: All orders before January 18th come with a free Start with Strategy Planner and other incredible bonus content!

By carefully vetting potential tenants, you can mitigate the risk of late payments, property damage, and other issues that can arise from irresponsible renters.

I know there’s pros & cons against this turnkey strategy.For me i personally felt since I'm investing remotely, cutting out the rehab part, dealing with contractors would be less of a headache going into my first rental.I also understand that I won’t have any appreciation to start off or built in equity.I just need some advice here regarding turnkey properties and the best way to go about it.To me I feel like this can be a smart move starting out until get comfortable in the market I’m in & I’m able to build connections overtime and eventually I can really do the whole BRRRR strategy.Please let me know your thoughts whether it’s good or bad.

Here are some details: Top bottom duplex Purchase price 440kTurnkeyDownpayment - 55k Both units vacant2/1 upstairs - $1500 market rent (long term)3/2 downstairs - $2500 market rent (long term)Newly renovated Central ACSeparate electric meter 1 water meterInterest only payment for 5 years - $2567/monthTax - $500/month (appox)Insurance - $150/month (approx) Cash flow - $391 (after taking into account vacancy, property management, maintenance and capex reserve)ROI - 8.5%No prepayment penalty If used as Airbnb, ROI can be higher

From there there's typically a sliding scale pre-payment penalty.

Is the FHA/Low Down Payment type product still the way to go?

Not just save up and do research when I have a down payment.