Existing apartment owner (thinking of trading up)

[johnfenit]

I currently am an owner occupier with no debt, with cash on deposit. Wondering, it is feasible or does it happen, where one can swop properties between two owners with a cash consideration i.e.

say existing property (market value) worth 200k, someone else's property worth 300K (market value) , property title & ownership swop with 100k cash consideration?

john

 

[noproblem]

Where would you advertise it for best impact? Interesting though, I'd say you'll get plenty of interest depending on where your apartment is. That will be important.

 

[NoRegretsCoyote]

Do you have something specific lined up? Or is this just an idea?

If it's the latter you might struggle to find someone who wants an exact swap at the right price. Compared to just selling your own apartment and buying another I don't see a huge advantage. You will still have to pay stamp duty and solicitors' fees (no estate agent of course).

It's also the kind of transaction that might trigger Revenue interest as well. You would both need robust valuations in place to guard against any suspicions of it being a gift in disguise.

 

[Leo]

I'd imagine this is exceedingly rare if it ever happens. The chances of finding someone who is looking to trade down to a property just like your who currently owns a property just like you're looking for is very slim. There is no online market place for trades like this and so the only people who really know what's on the market are the estate agents, and once they're contracted, why would a vendor not put the property on the open market to achieve its full price?

From a legal standpoint, both parties are still selling and buying a property, so there is nothing to be gained in trying to find a match in a small market.