With retirement quickly approaching, Jim and his wife Carol began to take a closer look at their financial situation. Over the years, they had paid into the 401Ks their companies provided and had done their best to save for the day when they no longer had to work.
But as the anticipated day grew closer, they realized how quickly those retirement funds could disappear. Inflation had grown rapidly over the past five years, and though the money in their retirement account was significant, it would not stretch as far as they hoped. It was time to consider other options for generating income while still enjoying the years of retirement they had worked so hard to achieve.
After looking into different ways to generate recurring income while minimizing effort and risk, Jim and Carol decided to invest in turnkey real estate. As retirees, there were many benefits to turnkey property investing that drew Jim and Carol in.
They loved that turnkey real estate offered fully renovated, tenant-occupied properties and that property management companies took care of the maintenance and management of their investment. Turnkey investing seemed to be the low-maintenance, cashflow investment opportunity they were looking for.
Let’s dig in deeper and examine five ways turnkey investing is appealing investment in retirement.
1. Recurring Income
After formal retirement, you may worry you do not have enough money to pay your bills. What if you outlive your savings? While some retirees end up going back to work on a part-time basis to bring in a small paycheck, you’d rather not go down that path. It would crush your dreams and what you envisioned for your later years in life. With the uncertainty of having enough money saved to see you through retirement looming large, the possibility of generating recurring income from a turnkey real estate investment is enticing.
By working with a turnkey company, you can purchase a rental property in a highly rated neighborhood. The property could be newly renovated and already occupied by tenants or a new build in high demand. Either way, it’s a smart investment that won’t require you to go into an office every day and still bring in a monthly paycheck.
2. Outsourced Management
Worried about taking phone calls at 2 am about leaky toilets or broken furnaces? One of the most appealing aspects of turnkey rental properties is the idea that someone else manages the day-to-day logistics. Turnkey real estate companies hire property managers to take care of their real estate. These managers do all the hard work of finding renters, taking monthly payments, building maintenance, customer service and communication with tenants, and essential legalities.
With a turnkey investing partner, you can enjoy the benefits of a more relaxed retirement lifestyle while someone else handles the trickiest parts of being a landlord. They’ll charge a fee for their services, but you’ll still receive a healthy paycheck.
3. Growing Equity and Inflation Protection
Turnkey properties kept in top condition by a team of professionals will always be valuable. Consistent maintenance allows the property to hold its value and be ready to sell at a moment’s notice. One of the best parts about investing in real estate is that it grows with inflation. Instead of losing money as costs go up, real estate continues to make money. Real estate markets may fluctuate, but the right turnkey property is a relatively low-risk investment that brings peace of mind.
4. Flexibility
When you use a turnkey investment company, you do not have to stick to your local market. You can explore properties across the country and find places in different states where the market is growing. A turnkey property investment company can do all the work of vetting the property, the area, and the market. You can feel confident making a purchase two states away from where you live. And, of course, knowing that the property management company has things covered makes investing even easier.
5. Building Generational Wealth
Even if your main goal is to have enough money to enjoy their retirement, there is more to retirement than just paying the bills. Travel, outings with friends, classes at the community center, and quality time with their children and grandchildren are important. And secondary to the goal of living a life of leisure, you may want to build something you could leave to your children. Turnkey real estate investing offers the chance to generate a recurring income while also creating wealth that children can inherit.
You can pass down property ownership through generations. It will continue to grow in value. Children and grandchildren can also reap the benefits of monthly income until they decide to sell. The increased property value has the potential to generate a substantial lump sum. The benefits of your investment can continue to bless the lives of your children.
Turnkey investing is an excellent strategy many individuals choose to pursue as they near retirement. It offers a hassle-free way to generate monthly income while preserving financial security. With fully managed properties, you can enjoy consistent cash flow without the burdens of hands-on management, allowing you to enjoy their retirement. The choice to invest in turnkey real estate provides a stable asset that appreciates over time, allowing them to generate real-time cash flow and generational wealth to come.
