For today’s real estate investor, passive income is key. Whether you’re planning to buy and hold properties or lend to other investors, generating a stream of passive income is essential to building long-term wealth.
There are so many opportunities for investors in the world of real estate and it may be overwhelming at times when deciding on the best option for your financial goals. If you’re wanting to flip houses, invest in commercial real estate, or directly manage your properties and their residents, turnkey may not be the best option for you. But if you’re looking to truly create passive income and leave a lot of the work to experienced professionals, turnkey real estate is a great choice.
Memphis Invest has been in the turnkey real estate business for over 15 years, and currently manages over 5,300 properties in 7 markets. Needless to say, we’re proud of our company and the success we’ve brought our investors. Obviously, we are biased towards turnkey investing, but if you’re looking to make passive income, find out why turnkey might be the best option for you.
5 Reasons Turnkey Investing is Ideal for Passive Income
1. Gain Access to Various Different Markets
It’s always important to know about the market you’re in when you invest in real estate. Being familiar with the area will ensure that you’re purchasing the best property at the right price. Navigating an unfamiliar market can be risky and time consuming, that’s one reason why partnering with a turnkey company is extremely beneficial. You gain access to their knowledge, experience, markets, inventory, and more!
Many real estate investors are hesitant to purchase an investment property out of their area and sight unseen. But when you have a reputable turnkey company that you can depend on, your opportunities grow. With multiple areas to choose from, you’re able to capitalize on the strengths of other markets while also diversifying your portfolio.
2. Get Insight from Your Turnkey Company
With a turnkey company, you not only gain access to various markets, but also tons of experience. Investors are able to capitalize on the insight and expertise of their turnkey advisors, not only for their particular market, but for the real estate industry as a whole.
Good companies want their investors to succeed, because when a portfolio performs well, it means that everything is going as it should. And while a return on investment dollars is key, having a team in place to help strategize and oversee your portfolio’s growth is a huge asset as well. When you invest with a turnkey company, make sure you utilize their knowledge and team so that you can be sure to get the most out of the partnership.
3. Stay Focused on Your Priorities
When you work with a turnkey company, many of the details are already taken care of, allowing you to put your time and energy into the things that matter to you. Focus on growing your portfolio, improving your investment strategies and making time for other pursuits.
Here at Memphis Invest, we provide our investors with an online portal where you can easily monitor your portfolio and access your data and information in real time. You also have a dedicated customer service rep that will call you every month to update you on your property and make sure that any questions are answered. Investors have no need to stress over the minutia when we have teams in place to take care of your property and your portfolio.
4. Truly Passive Income
Turnkey real estate is one of the most passive ways to earn a steady stream of income. And when you’ve partnered with the right company, the details are taken care of and your passive investment doesn’t become your full-time job.
But as with any passive investment, you should never be completely hands-off. Allocate some time to track the performance and details of your turnkey properties, but if you’ve chosen the right company, you should be able to leave the heavy lifting to your turnkey provider.
5. Instant Cash Flow
It’s called turnkey for a reason, because the most attractive advantage is that you start earning passive income right away. Forget bidding wars, unexpected or costly renovations, or marketing for residents, because when you choose turnkey, you’ve chosen a process where you’re avoiding the headaches and already generating income.
While turnkey real estate may not be the ideal method of investing for everyone, those looking to make passive income should highly consider this option. Real estate provides so many benefits, like tax advantages, steady income, appreciation and financial security. When you combine these with a turnkey company that handles all the details, you’ve got a great investing strategy.
Just remember, not all real estate investment companies are created equal. Be sure to do your due diligence when looking at turnkey providers, making sure that the company you’re looking to partner with has a proven record of success and excellence. Turnkey real estate investing is a long-term investing strategy, and when you’re committing to your financial future, be sure to choose the right company that aligns with your investing goals.