Can you sell your home (no mortgage) for $1?

[AWW$HEEET]

ARM LOL

[Richard Cranium]

This is the situation. We will be purchasing my Parent's house. The thought is to buy it for $1. I know this will throw a Red Flag, and I will have to pay SOMETHING (what would be normal for a realistic purchase).

 

Once the house is mine, get a Home Equity Loan for the Purchase amount. The interest would be ~ 1/2.... so.... win /win!

 

KillJoy

 

Actually what my dad did when he transferred ownership of the house to my sister and I was to add my name to the deed, then later my sisters name, then removed my mother, and then last removed himself. The whole process was pretty transparent, but there was no actual single transaction when the house changed hands.

 

I'm not sure how long he took doing that, it might have been over the course of several years.

[AngryBMW]

Actually what my dad did when he transferred ownership of the house to my sister and I was to add my name to the deed, then later my sisters name, then removed my mother, and then last removed himself. The whole process was pretty transparent, but there was no actual single transaction when the house changed hands.

 

I'm not sure how long he took doing that, it might have been over the course of several years.

 

This is known as an 'arms length' transaction. Very very common.

-Marc

[supldys]

if you legitimately sell a house for $1, as opposed to being a "gift", wouldnt that screw home values in the area? I know they assess homes by seeing what comparable ones in the neighborhood sold for, and if one sells for a dollar I could see neighbor's rising up and murdering you for ruining their home value.

I could be off though