House swapping
Encyclopedia
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.
Some estimates indicate that 15-20% of travelers are participating in some form of house swapping. 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 time while saving money over the traditional vacation costs and allowing them to take vacations that they may otherwise be unable to afford. 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, 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. The internet
has made the process of finding a swap significantly easier with a number of websites devoted to house swapping.
, 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. 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.
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.
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.
Tourism
Tourism is travel for recreational, leisure or business purposes. The World Tourism Organization defines tourists as people "traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes".Tourism has become a...
accommodation
Lodging
Lodging is a type of residential accommodation. People who travel and stay away from home for more than a day need lodging for sleep, rest, safety, shelter from cold temperatures or rain, storage of luggage and access to common household functions.Lodgings may be self catering in which case no...
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
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
real estate market. Less frequently, it may be used as a method of avoiding violence
Violence
Violence is the use of physical force to apply a state to others contrary to their wishes. violence, while often a stand-alone issue, is often the culmination of other kinds of conflict, e.g...
in war-torn areas.
Tourism
House swapping is believed to have developed in the 1950s, but rose to prominence in the 1970s as more people got involved and considered it to be a viable vacation option.Some estimates indicate that 15-20% of travelers are participating in some form of house swapping. 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 time while saving money over the traditional vacation costs and allowing them to take vacations that they may otherwise be unable to afford. 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, 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. The internet
Internet
The Internet is a global system of interconnected computer networks that use the standard Internet protocol suite to serve billions of users worldwide...
has made the process of finding a swap significantly easier with a number of websites devoted to house swapping.
Real Estate
Due to the current slump in the housing market in the United StatesUnited States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
, 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. 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
Sun Belt
The Sun Belt or Spanish Belt is a region of the United States generally considered to stretch across the South and Southwest . Another rough boundary of the region is the area south of the 36th parallel, north latitude. It is the largest region which the U.S government does not recognize officially...
and other regions where the market is slower.
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.
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.