Why is it so hard to find true turnkey properties on the Multiple Listing Services (MLS)? Most turnkey properties are not “listed properties”, so that is one big reason.
The MLS was originally designed to be a place for real estate agents to “list” their properties so that other agents could know of their availability. Back in the old days there was an actual “Listing Book” that buyers agents would go through to find out what was on the market locally.
Jump forward more than a couple of years and now the MLS is a great tool for real estate agents to gain exposure for their contracted properties available for sale. For the most part, residential properties listed on the MLS are properties considered to be a property that a home buyer would want to purchase for themselves and their family to move into.
These properties are considered a retail property. The MLS allows buyers the most choices, while giving the seller the highest possible price for their homes because of the increased exposure.
True turnkey properties are properties that are designed to sell to the investor. Turnkey properties often have tenants in them or are preparing to have tenants in them. These properties are, in essence, little businesses that are being bought and sold.
The typical investor is interested in buying not just a property but, in essence, a little business. An investor is interested in the duplicable system surrounding the property. True turnkey real estate consists of a quality property, in a quality area designed to give the highest optimum return, a real estate power team such as investor minded real estate brokers. (note: only 3% of real estate brokers understand or even invest in real estate),
property management, tradesman such as plumbers, electrician, etc. and someone to watch the investment portfolio.
As you can see, the retail home buyer and the turnkey investor have two distinctly different purchases in mind. They both start with a nice property, but the end result is much different. It is for this reason you rarely find a true turnkey properties listed on the MLS.
You will want to find a turnkey provider that not only provides turnkey real estate but an uninterested third party who evaluates the best emerging markets as well as prescreens all the turnkey providers.
Not all locations are created equal and not all turnkey providers are created equal. As investors this is where true diligence comes in and this diligence separates the seasoned investor form the “wanna be” investors.
Want to find out the latest Turnkey Properties we have available (and which are NOT listed on the MLS)? Give me a call today! +1 941-718-7761