Ryan CadwellManaging Partner @ Resolute RDM | CCIM® | CPM®

Turnkey Properties- Hidden Risks #propertymanagement #turnkeyproperty

18 Feb 2026 · 1 min

Watch on YouTube

0:35

A newly renovated rental marketed as turnkey hides major problems. The seller can't confirm if the sewer line was replaced, electrical work was permitted, or if a tenant is actually paying rent. Before buying, hire a local inspector to verify the property's real condition.

Turnkey properties are not always risk-free. Hi! Oh my gosh, you bought a fully renovated first rental house?
Yes.
That's awesome! So a couple questions for you. Did they replace the sewer line?
Uh, well, no.
Oh, okay. Um, did they permit the electrical that they replaced?
Not really sure if they did.
Hmm, okay. Is there a tenant in the house?
Yes, we have a tenant.
Are they actually paying rent?
Well, I am not sure.
Hmm, okay.
Am I doing this right?
Turnkey usually just means that they put fresh paint over a disaster. Don't go off of a PDF. Actually hire a local team to investigate for you.
Hi, are you still there? Hello?