| When people directly exchange their products or | | | | difference especially in the situations like recent |
| services with the goods or services of others, | | | | financial crunch when it's extremely hard to get |
| the trade is known as barter. Barter system was | | | | your hands on required funds. The barter system |
| the most commonly used trade system before | | | | eliminates the need of property agents and other |
| the advent of currency notes. As a matter of | | | | types of middle man, reducing selling cost to a |
| fact, invention of money hasn't put an end to the | | | | bare minimum. Even though it sounds really |
| barter system altogether, as it is still used in | | | | difficult to find some willing property owner who's |
| various forms (even more after the arrival of | | | | ready to barter his/her property with yours, it's |
| internet). A relatively new phenomenon being | | | | not that difficult anymore, thanks to the Internet |
| introduced on the internet is some websites | | | | which makes advertising and searching so easy. |
| offering their services for individuals who are | | | | Also, you can also save some certain types of |
| looking to trade their real property for any other | | | | taxes in case of barter trade. |
| asset of the same value. Given the fact that | | | | Coming to the flip side of this trade system, the |
| there are not many assets that can be | | | | first and the most obvious problem is the |
| exchanged with a real property, therefore most | | | | valuation of properties or assets being exchanged. |
| of these barters are supposed to be a real | | | | That is why you might need to hire an |
| property exchanged with another real property. | | | | independent valuator to see if both properties are |
| The idea has slowly picked up traction and many | | | | of the same value. Also, you need to remember |
| websites are providing a similar service (which | | | | that the value of the property will be different for |
| means people are taking interest in property | | | | both parties (valued less for the one who |
| bartering). | | | | currently owns the property and who's looking to |
| Barter creates a win-win situation for both parties | | | | exchange it for another property). In addition to |
| (not like the normal sale and purchase where | | | | the complexity in property valuation, barter |
| usually one party's gain is another party's loss). | | | | exchange is also subject to legal complexities, |
| Buyer doesn't need to go through the long | | | | therefore you must arrange for proper |
| procedures of arranging finance or mortgage for | | | | documentation. |
| property purchase, which makes a lot of | | | | |