Over the past few years, there has been an explosion of interest in real estate investing. A growing number of people are realizing their dreams of owning and running their own house-fulls of rentals or buying and developing new properties.
There are two main reasons why this is happening. First, with technology making it easier to access capital than ever before, anyone can start building up a property portfolio. Second, due to the volatility that we have seen in the market over the last couple of decades, individuals and investors are looking at value investing as a way to make money.
Value investing means buying undervalued assets (properties) and holding onto them, instead of going after expensive ones right away. This is how most large scale asset owners made their fortunes. Take a look around you – would you rather invest in a stock that is worth less now but could be more valuable down the road, or one that is very expensive right now, but could drop in price later? It takes work to pick stocks that remain within your budget, but they will not bankrupt you!
The other type of investor is the ‘speculator’. These people buy properties with the intention of getting a high return on investment, either by renting them out or selling them.
As we mentioned earlier, not every individual enjoys being a landlord or wants to be one day. With the rise of online shopping and people moving away from owning cars, there is an ever-shrinking number of individuals who feel obligated to own a house.
There are also many individuals that can’t afford to buy a home at this time in their lives because they aren’t able to save enough money. It is important to remember though that just because you don’t want to be a landlord doesn’t mean someone else out there doesn’t!
By having turnkey real estate investing, these things become less of a barrier.
Starting your real estate investing career with turnkey properties is by far the best approach. This type of investment comes complete with all the equipment and supplies you need to begin investing!
Turnkeys are business models where the seller provides everything needed to take control of a rental property without investors having to buy or develop a home themselves.
Here’s an example of a turn-key apartment: pay rent to someone else while staying in one yourself, just like owning a house! By buying a turnkey, you save money due to no renovation costs, there's no mortgage payment, and you get tax benefits for living in a rented rather than owned residence.
Turnkey apartments are very common because landlords know they will make profit renting them so they leave it ready for renters. They also cost less since the provider already has overhead paid off including bills, employees, etc.
Recent trends in investing have made it possible to invest in real estate without having to find your own property, manage it, and finance the renovations or improvements yourself. Rather than buying a house that needs work and trying to figure out how to make it yours, you can instead choose from several pre-designed houses with living spaces and kitchens already set up!
These turnkey homes are designed for investment, and investors can pick which ones they want to buy and run with just as before. Some even have additional amenities, like a pool, that new owners can use if they wish.
There are many sites where you can find these pre-designed investments, and most offer very good services. It is easy to get started owning a property that someone else has picked and paid for, and this article will talk about some of the best ones.
As mentioned earlier, you do not need to be wealthy to invest in real estate! In fact, most people who succeed as landlords are not necessarily rich. However, it does take money to start investing.
The first thing that many beginners to real estate investment miss out on is the initial low cost of entry into the market. A lot of people think that they can’t afford to buy a property unless they have a large amount of cash available, but this isn’t always the case.
There are several ways to get your feet wet in the world of direct rental properties. Some of the more popular ones include buying a house that is currently vacant and renting it from owners, buying a run down apartment or condo and renovating it, and buying a residential/land parcel and leasing it from the government or a private owner.
All of these strategies require no more than 5-10k upfront which some may consider too little given the risk involved, but don’t forget that you can easily reinvest your profits back in to keep building wealth.
Starting your real estate investing career as a turnkey business is an incredible way to go! As discussed, being a turn-user allows you to focus on something else – business management.
Turner companies typically offer one of two services: marketing or finding a property that can be transformed into income via rents or sales.
The service that they provide after this is either owning and managing the property for renters or selling the house for profits. They take care of everything else!
That includes doing all the research, setting up automatic revenue streams, and even collecting rent and profit reports monthly.
Take some time to read about turnkey businesses so that you know what they offer, how much money they make, and whether or not it’s right for you.
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Even if you are not planning to take over the world with your real estate investing career, that is okay! You can still make a solid living as an investor. With turnkey investment properties, this has become even easier for professionals to do.
There are many ways to invest in real estate without having to deal with all of the work yourself. Businesses will often hire investors to purchase income producing property or fix and flip projects so they can earn more money quickly.
The people running these businesses usually handle the negotiations, contracts, and/or financing for the investments, which makes it much simpler for you to just enjoy your new house. These types of opportunities are great because you get the help setting up the project, negotiating deals, and earning while you sit and watch your house grow.
These services have everything ready for you including professionals to oversee the renovations and finance the project. All you need to do is show up and check out the property, making this style of investing very accessible.
A turn-key real estate investor is someone with little to no investment capital that can quickly get into the real estate investing game. As such, they often times have access to very expensive resources and tools needed to start their career as a professional real estate owner.
The professionals use these services to grow bigger and better as investors. These services typically include helping you find your ideal property, negotiating a contract on the property, financing for the property, managing the property, etc.
In fact, most experienced turn-key investors pay monthly fees for all of these things! This is not only costly, but it also creates a situation where you will never truly be able to invest in properties because you are paying so much money every month to run this “business”.
This isn’t necessarily a bad thing if you’re looking to make large investments really fast, but it must be noted that there are additional costs involved. It is important to do some research and determine how much value you receive from each service before signing up.
Even if you do not have a formal education in business or marketing, or even if you are not of this world, turnkey investing is possible for anyone. All that’s needed to get started is your own personal space, an internet connection, and a willingness to make investment decisions under time pressure.
The more quickly you can move through the process, the better. That way, you don’t have to worry about anything but moving forward.
Turnkey investing doesn’t require very large investments either.