Turnkey Properties are investment houses that are rehabbed and either rented or are ready to be rented. The advantage of buying rehabbed and rented properties is predictability and speed. Your money is immediately put to work and producing cash flow.
Wholesale properties are not yet rehabbed and usually need quite a bit of work done. The idea behind buying wholesale is to gain as much equity as possible. Because of the work that needs to be done wholesale properties are priced well below market value.
Turnkey Vs. Wholesale
Most turnkey properties are traditionally priced “retail” or inline with market value. Our turnkey properties on the other hand are actually priced below market value and do come with built in equity. Our wholesale properties are priced even lower!
Q. Since wholesale deals are cheaper why would an investor choose a Turnkey deal over a wholesale property?
A. Turnkey deals are already fixed up. When getting a loan on a property lenders typically want to see that the house is in good shape. With a wholesale deal an investor will need cash, to not only buy the property, but also to fix it up. Turnkey deals can be purchased with 20% down whereas wholesale deals are cash for the most part.
We provide properties for cash flow purposes and for flipping. Give us a call and let us know what your real estate goals are and how we can help!