Epic Real Estate Investing - Advantages to Turnkey Investing | 549

Episode Date: December 22, 2018

If you want to invest and learn about investing but you don’t have much time to devote to it, stay with us because today, we are laying out the advantages to turnkey investing and are showing you how it enables you to become wealthy and knowledgeable in short order. Learn what makes turnkey investments so attractive, how many markets turnkey opens for you, and what the most difficult aspects of real estate are. Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terrio Media. So you want to be a real estate investor, but you don't want to do the work. If there were only a way where someone else could do it for you, now there is. Tune in here each and every Saturday on the epic real estate investing show for Turnkey Saturdays with your host, Mercedes-Torres. Hello and welcome. Welcome to Turnkey Real Estate Investing, a real estate podcast created by Matt Terrio and I. My name is Mercedes Torres, and I'm lucky enough to be partners in prime with Mr. Matt Terrio who created the epic real estate investing empire. Now, for those of you just turning into our show, the Turnkey Real Estate Investing podcast

is a show that I created, really for those busy professionals who understand the importance of real estate investing, just don't have the time or the desire to learn every single nuance that there is to learn about real estate investing. So I created a show to help you drive right into real estate investing to understand the big picture of it, but not necessarily have to do all the heavy lifting yourself. So welcome to the show if you're just now tuning in. And for those of you who are tuning back to our episode, welcome back. Good to see you here again, guys.

So we are just now passing our eight-year anniversary with the Real Estate Investing podcast. Wow, eight years. Just blows me away how we've just recorded this podcast for eight years. And, you know, I may be a little biased, but we've not only gotten better at the podcast, but really better at real estate ourselves just because we're forced to practice. real estate every single day to be relevant, to continue to provide you with just valuable information. And while we provided for you, we learn ourselves and we reinforce our learning that allows us to

continue to not only grow our personal portfolio, but to really grow in the field of real estate investing. So thank you for allowing us the opportunity to not only share Turnkey Saturdays, but more so the Epic Real Estate Investing podcast in itself. So having said that, now the Epic Real Estate Investing podcast contains this Turnkey Saturday episode, which I created because I thought there was a massive need. But the more I talk about the subject here, the more I learn that there's just not that much to it. I mean, it's pretty simple to buy a house, fix it up, put a tenant in place, arrange for professional management, a professional team to manage it for you, and then it's up to you to manage the manager so that you could collect the proceeds from the rent. That's really all

there is to buying and holding income real estate. The turnkey portion of the equation is merely having someone do all the heavy lifting that's required of you up front. I mean, can you imagine? Can you imagine someone doing all the work for you? They find the house for you. They fix it up. They place tenants in there for you. And more importantly, they manage the property, collect your rents, and forward it to you. Well, primarily the goal for most income property, investors is to build their passive income to the point that the cash flow exceeds their monthly expenses, thereby giving them the option to not have to work, but to have to work on what they want to work on rather them having to work. I mean, that's the primary goal for most is to escape

the rat race so that they can quit their jobs that they have to go to every day, to. put food on the table and a roof over your head, but really having the luxury of being able to do what you want to do instead of work. Now, it may be work, but really, if you have the option of doing what you want to do instead of what you have to do, that's the primary goals for building passive income. Now, the secondary goal is once your monthly expenses are covered, is to have that extra a monthly passive income build your wealth. And to me, that's when the process gets really exciting. When your wealth builds whatever you want so that you don't have to go to work. And if you want to go to work, you can. But imagine if you had passive income so that you didn't have to go to work.

I mean, what would your world look like if you woke up every morning and didn't have to worry about making enough money to cover the car expense, to cover the mortgage, to put food on the table for the kids, to do whatever you want to do. What does that look like for you? Believe it or not, that's possible. So those are the two obvious and most realistic, achievable goals from passive income. And they truly can be accomplished in a fraction of the amount of time, the 99% of the population is going about it now. Now, what makes turnkey investments so attractive to most people is that they can build their income property portfolio by leveraging other people's resources and efforts while they continue

to use their jobs and income to support themselves. until naturally their real estate holdings can take over the job, so to speak, so that that income that has been created passively can now replace the income that you are creating every single day by going to work. And within that description lies the top four advantages of investing in turnkey properties. So let's dive right into it. Number one, you don't have to find the deal. Arguably, and I say this all of the time, the most difficult aspect of real estate investing is finding the deal. That's the hardest part. And a close second would be finding the property management team to manage your property. But as the saying goes, you make your

money when you buy real estate. And typically, it would take thousands and thousands of marketing dollars and man hours to find a steady flow of deals to build a cash flowing investment portfolio that would allow you to quit your job. Or it'll take some serious connections to require constant nourishing over an extended period of time to create the deal flow so that it creates your passive income. Well, a turnkey property, well, with turnkey real estate investing, you skip all of that costly trial and error, so to speak, process. Sure, some of the expenses will be built into the purchase of your investment property. But the alternative, if becoming a full-time real estate investor, is not your ambition, is far more costly.

So the number one advantage to turnkey real estate investing is that the deal is found for you. Number two, you aren't limited to just one market. Now, most people think that investing locally is their only option of which can be very limiting. It can be an absolute limiting aspect of real estate investing. I mean, look at me. I live in California, and it is very difficult to cash flow in this market. The truth is, there are about 350 to 400 major markets in the United States. of which 20 to 30 of those at any given time are optimal for your situation.

And the likelihood of you living in one of these markets is, well, highly unlikely, let's say. Additionally, diversifying the geography of your investment is really a much wiser way of managing the risk on your portfolio, so to speak. Now, you've heard me say before, I am a huge fan of diversification. And using turnkey real estate company, you are actually able to benefit from being able to purchase in multiple markets. Now, I can't tell you how many portfolios I've built. And for example, I just built Enrique Santana's portfolio. He is now working on property number nine. He was on our podcast several months ago. And what we did is we started in one market

and now he's dabbling into another. He originally started in Alabama. We're now focusing on Indianapolis and then the third market is probably going to be either St. Louis or Kansas City because that guy is continuing to add to his portfolio. So I'm a huge fan of diversification and that's another way to mitigate your risk

in real estate investing. Number three, you do not have to rehab or repair the property. Not one thing. It's all done for you. Now, if you're anything like me with a hammer, hammer is a dangerous weapon in my hand. But this is a huge advantage of turnkey real estate investing. It's all done for you. All the rehab, all the repairs, everything is done for you. And honestly, when I started real estate investing, I was a fixed and flippers. So I would actually go into the properties and I would fix them with my team. And sometimes I would overfix a property. And overfixing a property means that, you know, you laid granite countertops

on a property that really was located in an area where a granite countertop was not going to dictate any more money for you. This is all eliminated for you. With a turnkey realist investing company, they do all that and they do just enough so that the property can cash flow properly getting you the rents that is adequate for that particular investment, but then you don't have to worry about overbuilding the asset. It's all done for you. Number four, you do not have to find a tenant. The screen of a tenant is all done for you. There will be nothing on your end that is required of screening a tenant. So you don't have to advertise to the public. You don't have to review and accept applications. You don't have to read through them. You don't have to go

through the screening process. It is all done for you. With any turnkey real estate investing company, you should be given the option of allowing to screen your tenants if indeed you purchase a property without tenants. And only if you want to. Most of my clients, they don't want to screen the tenant process. They don't want to screen the tenant because that process is really time-consuming. And I mean, it takes a lot. So in many cases, with a turnkey real estate investing company, you don't have to do that. That is all done for you. And number five, and I think most importantly, you do not have to manage the property. I've said it so many times before.

There's two difficult parts of my job that are the most difficult and is finding the deal is number one and number two is finding the right property management team. With turnkey real estate investing, the team comes with the property. So you do not have to worry about that. I mean, most turnkey real estate investments, companies will provide you with quality property management to alleviate that normal, daily, mundane task of having to be a landlord. It's all done for you. Your job is merely to manage the property manager and your portfolio will start to grow. And as your portfolio grows, you'll begin

to realize how much of a perk it actually is to utilize. turnkey real estate investment properties to build your portfolio. You know, I often interview a couple of our clients on our podcast, and I do that mainly because I want you to hear firsthand what experience is out there when you go through a turnkey real estate investing company, primarily cash flow savvy, because we cater to the education of our clients. So it's really important that we not only do all the work for our client, but to teach our client how to do what we're doing so that after a few investments, you're not going to need me. I've taught you so well that you're going to be able to do this on your own. Now, you may need my properties because my deals are awesome, but you're not going to need me.

And that's the greatest thing about a turnkey real estate investing company that holds your hand through the process. We absolutely do that. But we do it all for you. So you just get to sit back, watch, and learn the process and kind of get rich while you're doing it, so to speak. Now, this isn't get rich overnight. So this is building wealth. It takes time. But it absolutely happens. And one of the things our interviewees say, they always say, it's so easy. You know, you've made the process so easy. And then they say, I wish I would have done it sooner. So, you know, listen to those episodes where we've interviewed a couple clients because they share their experience. They share what they learn. And then at the end of the day, they say it was so easy. I now have a cash flowing property. I'm ready for the next.

So if you are on the fence as to should I or shouldn't I? I truly hope this helps a bit. I mean, I say this often, but the whole reason we do this show is to help you think a little different to get your wheels. turning to help you think outside the box. Ideally, turnkey investments are for busy professionals that want to invest in real estate. They just don't have the desire or the time or really the patience to do all of the heavy lifting. If you have additional questions about the process, I will be more than happy to help answer questions to help you determine whether turnkey real estate investing is a good option for you. So one option is go to

to cashflow savvy.com. That's savvy with two Vs. Download the rat race escape plan. The rat race escape plan will show you step by step what you need to do to escape the rat race. Or click on the little thing that says, schedule a call with a consultant. That is most likely me.

If not, it's one of my epic team members. But if you would like to request a call with me, you can absolutely do so or email me. My email is Mercedes at epic real estate investing.com. Believe it or not, I do answer my emails. I do still take calls. I'm passionate about this. It's work for me, ladies and gentlemen.

I know that it can work for you. So, hopefully this got your wheels spinning. Thank you so much for joining us this week. Until next week, have an epic week. Does your money work for you as hard as you do for it? If not, no work. You do not have a money problem. You merely have an idea problem.

We're cashflow savvy.com, and we'd like to share a new idea with you around income real estate that can transform your financial future and accelerate its arrival. Go to cashflowsavvy.com and download a free investors package. Cashflow savvy.com. You do not have a money problem. Merely an idea problem. Cashflow savvy.com. More ideas, less worries.

Cashflow savvy. com. This podcast is a part of the C-suite Radio Network. For more top business podcasts, visit c-sweetradio.com.