What's the biggest misconception about permanent house trading?

Loans. Despite our extensive articles on how to swap, many users still believe that in order to trade both parties must own their current properties free and clear. The fact is that more then half of the completed trades did involve loans.

How it works? In short, each party signs a contract to purchase their new home with contingency on financing with the same day closing. Since each party is also selling their current residence any current loans will be paid off at closing from the sale proceeds.
Typical Real Estate Trading Timeline

How to trade real estate - Diagram

Some of the old-timers still believe that trading is only possible with properties owned free and clear, while newbies think that sellers assume each others' debt when trading. Both of these statements couldn't be further from realty. More on this in our How to Swap section

 

Distinctive completed swap:

TRADED: Historic Northern New Mexico Adobe On A Hill with Majestic Views Santa F

$335,000
Traded
a very small field of the view from backyard
featured
Homes for trade Homes for trade
New Mexico > Los Luceros

We are all interested in helping others understand and feel confident in the trade process. I had contacted Amy last year... More Info
Will swap for: Residential
in:
> We are open to all offers in places with climate of little snow. Prefer green and shady. In-town living in a moderately sized... More Info

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