Real estate investors, particularly those seeking passive income, are increasingly drawn to turnkey properties—those that require little to no effort post-purchase before generating rental income. A turnkey investment allows the buyer to focus on maximizing returns without becoming entangled in the intricacies of property management. As a real estate professional, you are in a prime position to guide your clients toward these opportunities, ensuring a seamless process from property selection to post-closing operations.
What Makes a Property “Turnkey”?
A true turnkey investment is more than just a property that looks good; it’s one that is fully operational and ready to rent immediately upon closing. For your clients, this means:
- Minimal repairs or upgrades: The property should already be in good condition, requiring no major renovations or repairs.
- Tenant-ready amenities: The property should offer features that are appealing to tenants, such as modern appliances, energy efficiency, and functional living spaces.
- A well-maintained exterior: Curb appeal matters. Properties that require landscaping or significant exterior repairs are not turnkey.
- Compliance with local regulations: The property should meet all local building codes and rental regulations, ensuring there are no legal hurdles post-purchase.
- Access to professional and skilled support: Having immediate access to professional property management, legal and financial advice, and skilled and reliable contractors, means the client can gain needed support, as soon as it’s required, to help ensure there are no hitches.
Real estate professionals can advise investors, whether they are new or experienced investors, on which properties are truly turnkey, and give support on what is necessary to make a property ready to go upon possession.
Helping Clients Find Turnkey Properties
The first step in setting up your clients for immediate rental success is helping them identify truly turnkey properties. As a real estate professional, you should take a strategic approach to sourcing properties that align with your clients’ goals, budgets, and investment timelines.
To help clients find truly turnkey properties, focus on homes that require minimal repairs, boast modern amenities, and comply with local regulations. Properties in desirable locations, with tenant-friendly features like updated kitchens and energy-efficient appliances, offer strong rental potential.
Providing Expert Referrals for Seamless Operations
Beyond finding the right property, investors need a network of reliable professionals to get their rental up and running. By referring clients to skilled property managers, contractors, and legal experts, you ensure they have access to support whenever needed. These partnerships make the transition to property ownership seamless, minimizing setup delays and giving investors the confidence that all operational aspects are managed. Partnering with these professionals yourself helps ensure you can benefit from their expertise as necessary, and can speak to their qualifications and skills personally when recommending them.
Leveraging Property Management Expertise
A property management company specializing in turnkey services can further streamline the process. With offerings such as consulting, interior design, and furnishing services, these companies can transform newly purchased properties into fully operational rentals. From tenant acquisition to ongoing maintenance, property managers ensure the property is attractive to renters and functions smoothly, maximizing the client’s return on investment.
The Power of Collaboration
By connecting clients with reliable property management professionals, you provide a full-service experience, ensuring that their investments become profitable immediately after closing. This collaboration strengthens your value proposition, positioning you as a comprehensive resource for your clients’ real estate needs.
In Toronto, Marco Property Management partners with real estate professionals, offering a comprehensive range of services designed to make processes as simple and seamless as possible for agents and property owners. With expertise in executive furnished rentals and high-end properties, Marco provides everything from consulting services to full interior design and furnishing solutions, ensuring properties are tenant-ready and positioned for success in the premium rental market.
Marco handles tenant communications, rent collection, lease management, and ongoing property maintenance, allowing investors to enjoy a hands-off experience. For investors targeting executive or high-end rentals, Marco helps ensure the property meets the expectations of discerning tenants while maximizing rental income. Marco additionally has corporate client and film industry partnerships to add value for investor clients.
Sara LeBlanc is a real estate professional and furnished division property manager in Toronto.
