Rising property prices, elevated interest rates, and economic uncertainty have made traditional buy-and-hold investing feel more complicated than ever. At the same time, rental demand continues climbing as homeownership becomes increasingly out of reach for many Americans.

Enter build-to-rent (BTR) communities—purpose-built single-family rental properties designed from the ground up with investors and long-term residents in mind. Both traditional turnkey properties and BTR communities have their place in a well-rounded portfolio. The question isn't which is better, it's which fits your specific needs and investment goals right now.

The Modern Investor's Struggle

Let's be honest about what investors are dealing with:

• Maintenance nightmares – Aging HVAC systems, outdated plumbing, and roofs demanding replacement
• Skyrocketing repair costs – Everything from water heaters to appliances costs more than ever
• Contractor chaos – Finding quality, reliable contractors has become increasingly difficult
• Constant turnover – Resident churn drains both time and money with each vacancy
• Surprise expenses – Older properties hide problems that surface at the worst possible times
• Remote management headaches – Verifying renovation quality or maintenance from 1,000 miles away

Traditional turnkey properties—fully renovated homes with residents in place—have served investors well for decades. At REI Nation, we've built our reputation on expertly selecting and renovating these properties to minimize risk and maximize returns. That hasn’t changed.

But if you find yourself particularly concerned about the challenges above, BTR communities offer a different approach worth considering.

4 Compelling Advantages to BTR Investing

#1 – Lower Maintenance Means Fewer Surprises

Everything in a BTR property is new. Modern HVAC systems, energy-efficient appliances, and durable building materials mean you're not inheriting deferred maintenance or hidden problems.

According to the National Association of Home Builders, newer homes require significantly less maintenance in their first decade compared to homes built just 20 years ago. That translates directly to your bottom line through fewer emergency repair calls.

REI Nation's traditional turnkey properties undergo thorough renovations that address major systems and potential issues. We don't cut corners. Many investors prefer these properties because they offer excellent value at a lower entry point.

But if you're a first-time investor nervous about unexpected repairs, or if you've been burned by maintenance issues before, BTR properties provide additional peace of mind.

#2 – Resident Retention That Compounds Returns

The average American renter moves every two years. Turnover costs thousands—lost rent during vacancies, cleaning, repairs, marketing, and placement fees add up quickly.

(REI Nation properties see residents staying for an average of over five years, more than double the national average.)

Further Reading: This is How Investors Solve the Riddle of Rental Turnover

BTR communities have a slight edge here. Families especially value brand-new homes in established communities. If maximizing retention is your top priority—perhaps you're investing remotely and want to minimize management touchpoints—BTR properties deserve serious consideration.

#3 – Simplified Scaling Within Communities

When you own multiple properties within the same BTR community, your property management team operates with remarkable efficiency. They know the properties inside and out. Vendor relationships are established. Maintenance protocols are standardized.

REI Nation's Premier Property Management Group delivers this same efficiency across all our properties. Whether you own traditional turnkey properties or BTR homes, you benefit from systems refined over 20+ years and over 8,000 properties under management.

The difference? BTR communities make scaling within a single location even more streamlined. If you prefer concentrating properties geographically rather than spreading across multiple neighborhoods, BTR communities offer unmatched convenience.

#4 – The Numbers Work (With Trade-offs)

BTR properties command premium rents because residents value new construction. Lower utility costs and predictable maintenance make them attractive. Insurance costs may be lower, too.

Here's the trade-off: BTR properties require a higher upfront investment. Traditional turnkey properties often offer better initial cash-on-cash returns because of their lower acquisition costs, even after quality renovations.

Both property types work. Your choice depends on your strategy. 

Making the Right Choice for Your Portfolio

Build-to-rent communities address specific investor concerns: maintenance worries, turnover anxiety, and the complexity of managing scattered properties. They're ideal for first-time investors wanting maximum peace of mind, or experienced investors looking to concentrate holdings efficiently.

Traditional turnkey properties offer their own advantages: lower acquisition costs, proven performance, excellent cash flow potential, and the same world-class property management. They're perfect for investors focused on maximizing returns from day one or building geographically diversified portfolios.

The best part? You don't have to choose just one. Many successful REI Nation investors build portfolios that include both, leveraging the strengths of each approach.

Ready to explore which property type fits your investment goals?

Schedule a consultation with a REI Nation portfolio advisor today. We'll help you evaluate traditional turnkey and BTR options across our 11 markets to build the portfolio that's right for you.