I posted under anothers questions almost the same as mine and have searched the ENTIRE site for answers and still can not find any.

I am in discussions with a very possible home swap. Both our homes are mortgage free and I'm trying to get some answers on how this would work and if anyone else has completed a mortgage free swap for both parties.

Is there a way to get around closing costs? How are the trades handled simultaneously?

Mortgage free trades are very simple to accomplish:

1. Have a lawyer prepare and then sign 2 contracts:
One contract where you are selling your property to another party;
And one where you are the buyer of the property from the other party.

Make sure you have a simultaneous closing clause, something like:

Closing for this property must take place on the same day and is contingent upon a closing for the property so and so... .If the closing for property so and so... does not take place for any reason buyer and seller are not obligated to proceed and are not bound by the terms and conditions of this contract.

2. Take both contract to title companies located near the properties. Place deposits into escrows. Instruct the title company that both closings have to take place on the same day and provide the contacts of the other title company.

3. Order surveys and appraisal reports (if desired). Title companies will prepare all closing documents and schedule closings.