Apparently, buying and reselling houses has been around since before the Revolutionary War in America. And since then, the real estate industry has become more and more popular. Which makes sense – considering all the benefits you get out of it.
Think of the many reasons why real estate is a great addition to your portfolio:
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Tax advantages
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Cash flow
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Appreciation
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Steady, passive income from rentals
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Wealth-building
But no matter how great an real estate investment is, it has its fair share of challenges…
With the market becoming saturated and the increase of property prices over the years, it’s harder for investors to find good properties to flip, wholesale or rent out that’s worth their time and money.
Because of competition, there are fewer foreclosures to purchase, but the interest in buying foreclosures is rising. The competition causes the prices in foreclosure auctions to drastically increase.
According to a real estate firm called ATTOM, foreclosure auctions, short sales and bank-owned property sales made up 16.9% of the condo and single-family home sales in the first few months of 2016. But that’s less than the 20.3% sales from the past year.
Choosing A Home on Xome
Xome Auction is a virtual real estate auction marketplace where you can find a plethora of listed properties that can only be found in Xome. It’s one of the places where home buyers and other real estate investors look for a new property or home.
You’ll be able to find a scope of default servicing-related property transactions ranging from high-end properties to bulk sales. Most of the properties you can find on Xome are either exclusive to the platform itself or through MLS.
Homes Only
The Homes Only section gives you a list of bank-owned, short-sale, foreclosed and standard home listing deals you can get your hands on.
This feature makes it easier for you to find a property at a cheaper rate before it shows up in the general market.
Because, after all, the lower the price paid for a property the higher the profit when you sell.
User-Friendly
What use is a tool if it’s complicated and hard to navigate?
Xome is relatively easy to use. It promotes a user-friendly experience, including detailed property, neighborhood and condition features, an advanced search for listings, and transparency throughout the whole process.
You’ll be able to see the location, property type, foreclosure status, ownership and more.
Customer-Centric
Each Xome user is assigned a transaction coordinator who promises to provide a concierge-level service during the whole transaction.
They also aim to provide a white-glove approach to the buyer experience.
So if you’re looking to add or create a single-family rental portfolio, Xome is able to solely display single-family homes.
Training Videos
But if you’re having a hard time using Xome, they have training videos that explain how the whole process works – from researching a property and joining an auction to bidding and what to do after a bid.
The Home-Buying Process in a Nutshell
Xome creates a simple and straightforward home-buying process. If you don’t have a clue on the process (or if you don’t want to watch boring training videos), here’s the CliffsNotes on how it works:
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Select Your Property: You can view properties on the software and choose the best one for you.
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Get Pre-Qualified: Getting pre-qualified for a mortgage is the first step in purchasing a property. Pre-qualifying for a mortgage gives you an idea regarding the price range of the property you can afford. It also lets the seller know that you are capable of paying for the property.
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Request Tours: This process is optional but almost everyone wants to personally visit a property before buying it. Xome lets you request tours on every home available in the marketplace.
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Make an Offer: Once an offer has been made and then accepted by the seller, the real transaction begins. While Xome promises full-transparency, it doesn’t hurt to do your part and stay informed.
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Get a Mortgage: Most people need a mortgage, but not everyone does. Getting a mortgage is a complicated process, which is why getting pre-qualified is important. It’s important to know that choosing a mortgage can be really expensive if the right decisions aren’t made.
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Start Closing: As soon as your offer is accepted, you’ll want to have a property inspection and your lender will ask for an appraisal. A Xome agent will help you throughout the process.
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Sign and Close: Signing real estate documents is tedious and time-consuming. Xome sends you the documents through emails and lets you sign the docs with Xome’s e-signature technology. Other documents will also be sent through a notary service when needed. Copies of all documents are immediately uploaded into your Xome account for future reference.
The Bottom Line
Resources like Xome definitely make the process of home buying a whole lot simpler. It helps you save time and effort so you can focus on more important transactions.
But, there have been complaints from some Xome users that they haven’t had a seamless transaction with the software. Some even said that Xome agents don’t answer emails on time and are ‘very unprofessional.’
But so far, our Xome experience was pleasant and we didn’t have any major problems.
It’s best to read reviews about Xome before paying for its services. If you’re not convinced, there are different apps you can check out that are similar to Xome, such as Zillow, Realtor, Trulia or Home.
I’m Listening
Share your experiences with Xome or a similar program in the comments section below.
Know the qualities of a good property. Before anything else, you have to know what you are looking for in an investment property.
Choose the right property at the right price. Choosing a property that’s more likely to increase in value is one of the most important factors you should consider.
Do your research. Know everything about the properties in and around the area and you’ll eventually know a bargain when you see one.
JP Moses
is a real estate investor in Memphis, TN, with experience ranging from land lording to note buying, rehabbing, and wholesaling. However, wholesaling is the area that he enjoys most and where he bring the most experience and expertise to his students.