Expert: Dick Dennis - 7/7/2008

Question
Is there a way to trade my current home for another home that is for sale.  The home for sale is a foreclosure and is $12,600 less than what I bought my home for this year.

Thanks

Answer
Yes, Kristina, but it is not likely in this slow market. You can try however, but you would need a very experienced Realtor who knows how to handle the trade. What needs to be done is to draw up a purchase agreement for the other house and using your present house as a down payment (your equity). If you have no equity, then, of course, it would not work as a trade. It would simply be a purchase on your part. If you had purchased your present home with a cash down payment, it would be that cash that would be used as the down payment for the other house. However, the other owner, probably a bank, would probably say no to the deal because they would have to put your house on the list with all the foreclosures they got on hand. But that is the way it is done, Kristina. I do wish you well.

Dick Dennis      dixiedee13@aol.com