With reports of rents in Oregon dropping, this is a great time for new property investors to get in the game. More people will be moving to the area, and former investors will be selling their properties. Their loss is your gain.
It's true that running a rental property can be tough, but turnkey property management makes it easier. Your investment can be almost passive when you have a property manager to help you every step of the way.
Read on to learn all about turnkey property investing.
First is the property selection process. This isn't too different from the standard house-buying process.
Potential property investors choose from a selection of available turnkey properties from a specific turnkey provider. These providers often specialize in selecting properties in markets with strong rental potential and high demand (such as the Portland and Gresham area).
Once they pick a property, they "get the ball rolling," so to speak.
Renovation and Repairs
Many properties need some level of repairs and renovations. The turnkey provider takes care of the entire renovation process so the investor doesn't have to. This includes any necessary repairs, upgrades, and improvements to make the property market-ready.
The goal is to create a property that appeals to tenants and needs minimal maintenance.
Some turnkey providers offer tenant placement services. This means that they find and screen tenants on behalf of the investor, making the property cash flow positive from day one.
Instead of having to advertise the property yourself, you'll get a tenant paying rent from the day you buy the property. That rent may cover the entire mortgage and then some if it's a single-family property.
Turnkey Property Management
Our turnkey property investments come with property management services. This means that a property manager takes care of day-to-day operations such as rent collection, maintenance, and tenant communication. These are some of the most tedious things about being a landlord.
Turnkey property investing with rental management is the closest thing to passive property investment that most people can do. It can help you generate almost passive income.
Purchase by Investor
The investor purchases the fully renovated property with or without tenants. The purchase can go through the turnkey provider, and the property is sometimes sold at a premium because of the convenience and the work that goes into making it turnkey. However, that premium cost is worth it.
Once the property is in the hands of the investor (in this case, you), they can start earning rental income. The goal is for the property to generate positive cash flow.
This positive cash flow may not happen right away, but patience is key here. Some properties will start generating a clear profit immediately, while others will take time.
Ready to Invest?
Are you ready to invest in a turnkey property? Being a property investor has never been easier. With a turnkey property management company, you can leave most of the work to the professionals.
At Kerr Properties Inc., we help would-be investors turn into successful property owners. With our tried-and-true methods, we can help you build a successful portfolio.
Learn more about our services and reach out to get started today.