MTR Magic: Your Ticket to Real Estate Success

Something that has been on my mind a lot recently is purchasing a turnkey property. In this post, I’d like to go over what a turnkey property is and how it has grabbed my attention as of late.

What is a turnkey property?

A turnkey property is really just what it sounds like. Upon purchasing the home, all that you would need to do to put tenants into the property is to just turn the key to open the door. Everything in a turnkey property is up to date. It has been updated with new paint, and possibly new floors all while being equipped with a new kitchen and new bathroom(s). They are easy upon purchase because there is nothing needed to do in order to put tenants into the property. It’s all ready to go.

Why am I looking into a Turnkey?

Right now I am reevaluating the route on my first investment. A house hack might not be the correct option due to unforeseen outside of real estate, personal issues. I will likely do this in the future but now it may just be a year out from my first house hack. That being said, I still really want to get into investing so I just needed to find a different route. My own capital is not at a super high amount right now and it would not be possible to do a value add opportunity where I come in and redo all or part of a property to raise its value.

Because of my lack of capital, I think I would rather save up enough for a 20-25% down payment on a turnkey property that already has all of the work done. I know this is not necessarily the best bang for your buck but I believe that taking this route offers a better opportunity.

My plan with this is to take my turnkey property and rent it to traveling nurses or other professionals as an MTR. This way I bring in more revenue than I would make with a long term rental thus compensating for not doing a value add property.

Right now, I am looking into the near west side of Indianapolis where there are a bunch of major hospitals. It is not currently the best area but as I have learned, as long as it is still safe and close to work it will work out as an MTR. Because of it not being an A class neighborhood the price point to purchase is a lot lower. This works out great for me!

I encourage you to take a look at your situation and see if a turnkey property is something that might solve an issue in your own investing journey. Run the numbers and start searching. Give it a try!