What is turnkey real estate investment?

Rental investment is one of the most popular investment strategies in France. Despite the events of the last two years, choosing to invest in real estate remains a fruitful endeavor, primarily because rental demand continues to outpace supply. As such, rental investment remains a concrete, sustainable, and solid way to build your wealth.

New methods of support for rental investment are emerging, such as turnkey real estate investment services. These new offerings address a real market demand and are attracting more and more investors. We will introduce you to this service after first outlining the benefits of investing in rental property.

The benefits of rental real estate investment in 2022

A rental real estate investment is simply the purchase of a property with the goal of renting it out to generate additional income. This purchase can be made with or without a loan. Even in 2022, when some might think the real estate market is tough or on the decline, the reality is quite the opposite. Beyond generating extra income, rental real estate investment offers many other advantages. Here are a few:

• a stable investment: Real estate investment is something solid that you can see and touch. This makes it more stable and durable than investing in the stock market or cryptocurrencies, for example. Furthermore, it can appreciate in value over time. The risks of real estate crises are very low and can be anticipated if you pay attention to certain points during your investment. All these factors make real estate investment very secure.

• reduced taxation: For decades, the government has implemented tax incentives for real estate investors to stimulate the market. Thus, under various conditions, you can reduce your taxes.

• low interest rates: The loans offered to those who want to invest in real estate are quite low, allowing for investment without initial capital. If you build a solid file and secure the loan, its low rate will make your investment even more profitable in the long run. If you want to further boost your investment, short-term rentals can be an ideal solution. And if you don't want to manage the influx of travelers, Airbnb concierge services exist to handle your rental from A to Z.

• wealth development: When you invest in real estate, you build your assets and are prepared to face any economic changes that may occur. Moreover, over the years, the sale price of your property increases by 3 to 5%; if you wish to sell, its value will only have increased, which will further grow your wealth. If you do not wish to sell, one way to increase the value of your property is to carry out renovations. Your property will then be better suited to the needs of tenants, and you will be sure to get bookings.

• a comfortable retirement guaranteed: A significant point is that such an investment helps compensate for the drop in income upon retirement. Normally, by that time, the loan taken out for the purchase of the property will be paid off, and the rents generated will be 100% additional income. With a rental real estate investment, you ensure a peaceful retirement.

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The areas of expertise for turnkey rental investment

When you want to get started in rental investment, it can be very intimidating, and as you dive deeper into your research, you tend to get discouraged. You have to know how to find the right property, avoid being taken advantage of, manage all the legal and administrative aspects, potentially carry out renovations, and finally find tenants. Turnkey rental investment support agencies are there to follow investors throughout the purchasing process and beyond. Indeed, the support does not stop after the purchase of the property but extends to taking charge of rental management afterward. In short, it is a partner and ongoing support for your rental investment.

An agency like Cédric Berthelon, which offers this type of assistance, advises you step-by-step in your real estate investment. They have a genuine desire to democratize the investment field, make it profitable for everyone, and above all, adapt to each person's project according to your goals, your situation, and the state of the market in the investment area. Professionals also want to enable everyone to be informed and educated about the field so they have the right tools. Finally, such an agency also and above all wants to generate results and save investors time.

Services offered by a turnkey real estate investment support agency

This support translates into various services that each intervene at a specific moment in the process of purchasing, renovating, furnishing, and renting. The first service offered by Cédric Berthelon is the investment assistance itself. This service includes: property search, visit reports, development of a financial plan and tax strategy, monitoring of notary steps, acquisition, and legal follow-up.

Depending on the case, the need, and the condition of the property, a second service is offered: renovation. Once again, everything is taken care of, organized, and supervised. From estimating the work and negotiating quotes to monitoring the site and the final handover of the finished project, nothing is left out.

A third step, which can be combined with renovation or taken independently, is the furnishing stage of the property. This step includes project study, a complete furnishing service, and the final installation of furniture to have an attractive property for tenants.

Finally, turnkey rental investment takes into account the actual rental management of the property. This means that the investor will not have to manage their tenants because the agency takes care of posting real estate ads with photos taken by professionals, searching for and selecting tenants based on file and solvency criteria, preparing the property for their arrival, drafting contracts (inventory, leases, and security deposits), and managing the technical side. This last part involves selecting service providers, monitoring work, and supervising claims or disputes.

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How do I resell my rental investment?

For some, a rental investment is only temporary, and many wish to resell their property in hopes of getting an interesting return on investment. However, real estate markets are constantly evolving to the point where it is sometimes difficult to know if you are selling the property at the right price. Furthermore, for many, there is the added issue of time: you need to sell as quickly as possible without losing money. Here too, solutions exist to support you in the sale of your rental investment, particularly by guiding you in the valuation of your home.

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We often think about being supported during the purchase of a property, but selling it is just as complex. Being supported by such agencies allows you to sell in the best timeframes and at the best price. Thanks to this type of sales support, you will know exactly what capital gain you will have on your initial purchase and you will know how your property is positioned on the market so as not to make any mistakes.

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As you can see, rental property investment offers many advantages, but you need to know how to make the right choices. End-to-end support solutions are now available to help you make a successful rental investment.