Why New Investors look to Turnkey Investments
How Turnkey investments are simplifying the process for first time investors.
The words ‘turnkey’ are often thrown about by Builders who often forget that first time investors may not know exactly what a turn key house and land package actually includes.
A ‘turnkey’ package, simply put, is a fully finished home ready to move into the day of your construction handover. You should literally be able to pick up the keys and hand them straight to your tenant.
What are the 3 biggest benefits of Turnkey?
When you buy your investment house and land package from a Builder who specialises in turnkey developments, you will discover an array of benefits you may not have considered with turnkey. These include:
1. Benefit from Builder suppliers
When you include your finishings in a turnkey package you will benefit from the suppliers and trades the builder has already engaged. Because these builders work in volume, they receive discounts on the materials and labor that are used to finish the home, therefore making the package more affordable to you.
And because they are experienced in sourcing the most reliable trades, it takes the hassle out of you trying to find the right contractors and opening up the home after handover to an array of tradesmen.
2. Banks like turnkey properties
When it comes to the bank, approving a loan as a house and land package with all items included reduces the amount of work required by the bank approving the loan. If a bank knows that the property is going to be ready to rent our as soon as the home is constructed it means the risk for the bank is reduced as the borrower will not need to find funds from another source to complete the project.
3. No owner input required once construction starts
Turnkey developments remove any input required by the owner once construction starts, as all the items and colours have been selected at the beginning during your prestart process. The builder will handle the trades and installation of all the items and you can get on with your own life.
A turnkey development includes all the finishing items in the building contract. This would include fencing, landscaping, floor coverings, window coverings, wall painting, light fittings and paving.
Where to find out more.
The best place to learn more about turnkey packages and what they include is to speak to an builder experienced in turnkey fully finished developments or read more on Perth’s property development experts, Ventura iD website.