Are Turnkey Rentals Still a Good Investment in 2024?
Are turnkey rental properties a thing of the past—or are they evolving for the better?
In this episode, I sat down with long-time real estate investor and repeat guest Jim Sheils, co-founder of Southern Impression Homes, to dive into what’s happening with turnkey rentals today. You might be surprised by what’s possible—even in a high-interest-rate environment.
What Is a Turnkey Rental?
Let’s start with the basics: a turnkey property is a fully renovated, income-producing rental home that you can buy with everything already in place—renovations, tenants, and property management. It’s designed to be a hands-off investment for those who want cash flow without being a landlord.
Jim’s company takes this model one step further by building new construction properties in high-demand, second-tier Florida markets and then placing renters and property managers for you.
Why Jim Moved Away From Fixer-Uppers
Jim started out flipping foreclosures, completing over 1,000 property rehabs. But after years of dealing with repairs, maintenance headaches, and high tenant turnover, he transitioned to new build construction.
Why?
Because new construction solves two major problems:
Tenant Retention: Tenants stay 3+ years on average in a new build versus 13 months in a rehabbed property.
Lower Maintenance: New homes have fewer unexpected repairs, especially in the critical first few years.
The result? More stable cashflow and fewer headaches for the investor.
Isn’t Florida Tapped Out?
You’ve probably heard this: “Florida already had its boom. Prices are too high now.” But Jim sees a different story.
Southern Impression Homes targets affordable second-tier cities in Florida—not Miami, Orlando, or Tampa. In cities like Jacksonville, the median home price is around $320,000, which is far more reasonable than markets like Salt Lake City (around $585,000).
These markets still have:
- Strong population and job growth
- Affordable housing relative to income
- Housing shortages driving demand
So no, Florida isn’t “tapped out”—if you’re looking in the right places.
Solving the Interest Rate Problem
Here’s where Jim’s company really stands out: they help solve the biggest challenge investors face today—high interest rates.
Right now, the average rate for investment property loans is over 7%, which crushes cashflow. But Southern Impression Homes uses a little-known strategy called a builder forward commitment to secure long-term financing at 4.25% for investors.
How does it work?
The builder pre-purchases large blocks of mortgage funds at discounted rates.
Those savings are passed on to the buyer—without paying outrageous buy-down fees (which could cost 12–15%).
This one move can make the difference between negative and positive cashflow—even in today’s market.
Quality Over Quantity
Jim’s philosophy now? “Do less of better quality.”
That means focusing on:
- Fewer, better homes in strong markets
- Lower turnover and long-term tenant stability
- Hands-off investing without sacrificing returns
His advice for new and seasoned investors alike: don’t chase volume. Chase quality, consistent income, and peace of mind.
Is Turnkey Still a Good Investment?
In a word—yes. But not all turnkey models are created equal.
Today’s winning formula looks like this:
- New construction in high-demand, affordable markets
- Long-term financing solutions that lower your rates
- Built-in property management to free your time
- Realistic expectations for cashflow (and appreciation as a bonus)
If you’re looking for truly passive income, the turnkey model—done right—still works. And it might just be the most stress-free way to grow your portfolio without becoming a full-time landlord.
Want to See Turnkey Deals That Actually Cashflow?
Jim and his team at Southern Impression Homes have a full portfolio of new construction turnkey rentals available now.
Visit: 👉 JJPlaybook.com to download their investor guide and view available properties.