- NEW!
by 000 on August 5th, 2009
Having a 'note' on a property means another person has a financial interest ( or mortgage ) in that property, registered against the current owner. The property cannot be sold or traded without honoring the note first, so if the property was purchased, the deal must include clearing the title for the next owner, in other words paying the note off before the sale proceeds. In a trade, since no money changes hands, the new owner could be liable for the value of the note above and beyond the value of the trade. Most note holders would demand to clear you as the new note holder before allowing the trade or sale to proceed. In real estate, the note is the same as the mortgage, and has the legal right to be paid off first, by the current owner.
I would like to trade my property for another property of greater value. My property is all paid for but the other property carries a note. Can you explain to me how the different equities and different values in the properties are handled in a trade?
by Patrick on August 4th, 2009
| 1 person likes this
Seeking long term house swap in Santa Monica for our 2 homes.1)Mexico, Sea of Cortez-walk to warm water beaches and 2)Tucson, 4 acres-horse property-hiking, bird watching in the Catalina mountains. Use both homes, desert and sea. Where to advertise?
by Anonymous on July 12th, 2009
| 1 person likes this
Would you rather live in the heat of Australia or the cold of Canada or Alaska?
by PrairieWind on November 16th, 2009
| 13 people like this
My mother passed away recently, how do i remove her name from our house warranty deed
by mo2657 on October 2nd, 2009
| 2 people like this
You're reading I would like to trade my property for another property of greater value. My property is all paid for but the other property carries a note. Can you explain to me how the different equities and different values in the properties are handled in a trade?
Your favorite Q&A site is on Facebook! Become a fan to connect with the ever-growing community of Answerbaggers, share your thoughts and find out what Answerbag's up to next!
Comments
The note would be paid off during escrow via refinance.
by Sherri on August 6th, 2009
yup - - as in your answer too.
by 000 on August 6th, 2009