House swapping

House swapping is the practice that refers to the swapping of homes on a temporary or more permanent basis. Although its origins stem from low-cost vacation accommodation and are believed to date back to 1953, there has been an increase in house swapping due to the slow-down in the United States real estate market. Less frequently, it may be used as a method of avoiding violence in war-torn areas.Cite web|url=http://www.washingtonpost.com/wp-dyn/content/article/2006/07/28/AR2006072800242.html|title=Iraqis House-Swapping to Escape Violence|accessdate=2008-03-05|year=2006-07-28|author=Antonio Castaneda|work=The Washington Post]

Tourism

House swapping is believed to have developed in the 1950s, but rose to prominence in the 1970s as more people got involvedCite web|url=http://select.nytimes.com/gst/abstract.html?res=F70D15F6345D11728DDDA10A94D8415B898BF1D3|title=A Complete Guide to House Swapping|accessdate=2008-03-05|year=1979-10-28|author=Michael deCourcy Hinds|work=The New York Times] and considered it to be a viable vacation option. Cite web|url=http://pqasb.pqarchiver.com/latimes/access/645433842.html?dids=645433842:645433842&FMT=ABS&FMTS=ABS:AI&date=Jun+30%2C+1974&author=HOPE+DENNIS&pub=Los+Angeles+Times&desc=House+Swapping---More+Than+Just+a+Place+to+Stay&pqatl=google|title=House Swapping -- More Than Just a Place to Stay|accessdate=2008-03-05|year=1974-06-30|author=Hope Dennis|work=Los Angeles Times] Some estimates indicate that 15-20% of travelers are participating in some form of house swapping.Cite web|url=http://www.time.com/time/magazine/article/0,9171,992461,00.html|title=House Swapping|accessdate=2008-03-05|year=1999-11-08|author=Francine Russo|work=Time] Summer is traditionally the peak season for house swapping, due to families traveling during summer vacations and house swapping allows families to try out a location for a short period of timeCite web|url=http://www.abcnews.go.com/GMA/story?id=4322684&page=1|title=House Swapping Is a Growing Trend in Tough Real Estate Market|accessdate=2008-03-05|publisher=ABC News|year=2008-02-21|work=Good Morning America] while saving money over the traditional vacation costs and allowing them to take vacations that they may otherwise be unable to afford.Cite web|url=http://www.nj.com/homegarden/homestories/index.ssf/2008/03/your_placeor_mine.html|title=On Holiday with Vacation Home Exchange|accessdate=2008-03-05|year=2008-03-01|author=Kimberly L. Jackson|work=The Star-Ledger] It's estimated that families can save approximately $5,000 by swapping their homes instead of booking hotels and rental cars, although the perception and listing of the home may not always match reality,Cite web|url=http://travel.nytimes.com/2006/06/29/garden/29swap.html|title=At Home in the World|accessdate=2008-03-05|year=2006-06-29|author=Stephanie Rosenbloom|work=The New York Times] and some may be uncomfortable with others using their home. Not all travelers are interested in house swapping solely to save money, but they also see it as a means of meeting locals, seeing relatively un-touristed regions and experiencing local culture.Cite web|url=http://www.sfgate.com/cgi-bin/article.cgi?file=/gate/archive/2003/11/18/carollloyd.DTL|title=Life Swapping|accessdate=2008-03-05|year=2003-11-18|author=Carol Lloyd|work=San Francisco Chronicle] The internet has made the process of finding a swap significantly easier with a number of websites devoted to house swapping.Cite web|url=http://travel.timesonline.co.uk/tol/life_and_style/travel/article492259.ece|title=Your New Home From Home|accessdate=2008-03-05|year=2004-10-10|author=Andrew Thomas|work=Times Online]

Real Estate

Due to the current slump in the housing market in the United States, houses are staying on the market for longer than anticipated and house swapping has evolved to help buyers and sellers find a more permanent match.Cite web|url=http://www.local10.com/news/15483731/detail.html|title=House Swapping Way Around Slumping Market|accessdate=2008-03-05|publisher=WPLG Miami|year=2008-03-04] As with more traditional house swapping, the internet helps prospective buyers and sellers find a match in their desired location. This form of permanent house swapping is more popular in the Sun Belt and other regions where the market is slower.Cite web|url=http://www.chicagotribune.com/business/chi-swap_nh_208feb08,0,6147708.story|title=Slow Market Prompts Some People to Try House Swapping|accessdate=2008-03-05|year=2008-02-08|author=Jennifer Levitz|work=The Chicago Tribune]

This system is not well-established and has a number of kinks that must be dealt with, including how to account for differences in the values of houses. In addition, lenders often must approve the swap and there may be issues related to the house's condition, capital gains and foreclosures that both parties must be aware of.Cite web|url=http://cbs13.com/local/house.swap.craigslist.2.657362.html|title='House Swapping' A Rising Trend in Home Sales|accessdate=2008-03-05|publisher=CBS 13|year=2008-02-18|author=Mike Dello Stritto]

Currently, none of the house swapping web sites release numbers of successful swaps, and there is speculation by some that they are merely lead generation sites that charge an up front fee to post property without creating successful transactions.Cite web|url=http://www.smartmoney.com/deal-of-the-day/index.cfm?story=20080603-home-swapping-web-sites|title=Home-Swapping Sites No Easy Fix for Desperate Sellers|publisher=SmartMoney|Author=AnnaMaria Andriotis]

ee also

*Real estate trading

References