What is a Turnkey Investment?
Turnkey is the term used to describe what level of finish you would like your project completed to at handover.
Many Investors and Property Developers are taking the option of including Turnkey items to ensure their projects are rent-ready for re-sale.
More from our video here:
A Turnkey Investment is the term used to describe the high level of finish you would like your project to be completed to at handover.
Example of these items are:
- Tiling or laminate to the floor.
- Wall Painting.
- Window Treatments.
- Light fittings.
- Clothes Line
- Additional paving
- Alarm system
Many Investors and Developers are taking the option of including the Turnkey Investment Items to ensure they projects are rent ready or ready for resale. With a turnkey finish the dwelling is handed over fully completed without you having any input other than choosing colours….A Builder specialising in this area can even organise that if you choose want to.
Many Investors and Developers do not have the required funds to fully complete their projects to a Turnkey Investment finish. This can create a lot of stress and delay you selling or renting the finished product resulting in reduced profit or income. By including the items in the building contract, the bank will also include the items in the valuation. Many lenders actually see this as an advantage, as it reduces their risk in the project should the borrower default on the loan.
Another reason why Investor and Developers include the Turnkey Investment in their projects is that a lot of effort and time is required for you to source out a dozen different suppliers, and overseeing the insulation of the products requires you to constantly be opening the developments creating you a lot of frustration. In addition the Builder will not allow you access to the site prior to completion, which has already pointed out, creates you a time delay.
See More at WA Property News