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Let's Trade Places . . .

(Central Kentucky Division) We'll help make your move to a brand new Ball Home as easy as possible by taking your current home in trade.  Trading in your current home can eliminate the hassles and expense of showings, contract negotiations, and advertising. Avoid moving twice by closing on the trade of your current home the same day you close on the purchase of your new Ball Home.  

What kind of homes may be eligible to be traded in?
Single family homes in the Fayette County or Georgetown that have an estimated market value of $200,000 or less are eligible for trade consideration.   We also consider trades of properties in Nicholasville and Versailles, with an estimated market value of $180,000 or less in those areas.  Townhomes or condominiums are not eligible.  The program is currently not offered with the purchase of a new Ball Home in the Knoxville or Louisville area, Richmond, or Frankfort, except in cases where the proposed trade property is located in an eligible part of Central Kentucky.  

How does the process work?
An upfront application fee of $200 is paid by the owner of the prospective trade property, which is not refundable.  Properties then are subject to a market evaluation by a Milestone Realty Consultants agent on behalf of Ball Homes to assess the probable market value, condition, and eligibility of the proposed trade home.  If the home is determined to be eligible for a trade,  Ball Homes will make an offer for the property.  If an agreement is reached with the owner, a trade contract will be executed.  The trade contract will be subject to a satisfactory termite inspection and a satisfactory third party professional inspection, at an additional cost to the the owner of $250, which is non-refundable.

How is the sales price of the trade home determined?
Ball Homes will make an offer on an eligible trade home that represents 93% of the estimated market value of the home, as determined by the market evaluation.   

Is the market evaluation the same as an appraisal?
No.  The market evaluation is not the same as an appraisal, which is a more formal process performed by a certified appraiser to establish the value of a property for a lender. 

Is a commission paid on the trade?
Neither the homeowner nor Ball Homes pays a commission on the traded home.  The homeowner must be free of any obligation to a realtor to pay commission on the sale of the home for the property to be eligible.

How long does the market evaluation and offer process take?

Once the application fee is received, the market evaluation can be completed and any subsequent offer can be made within just a few days.  The homeowner has 48 hours to respond to an offer from Ball Homes.  After this time, an offer is considered to be withdrawn if there is no response from the homeowner, and any future application to trade the property may be considered as a new application, based on how much time has passed.  A new application would be subject to a new market evaluation and the associated fees.

If a home is determined to be eligible and a trade agreement is reached, can the trade home still be marketed for sale by the homeowner?  
The trade contract, which is a written agreement signed by both parties, is considered a back-up offer.  This means that the homeowner has the option to pursue other offers as long as they see fit to do so, and replace the back-up contract with another offer so long as that does not cause the closing on the new Ball home to be unreasonably delayed.  However, as stated above, no commissions will be paid on a traded home, so the homeowner must reach an independent agreement with any realtor that they arrange to have market their home.

What kind of inspections are required on a trade home?
The market evaluation serves as an informal inspection by Ball Homes to determine a property's eligibility.  If a trade property is accepted, the contract is subject to a satisfactory inspection by a third party professional inspector.  A satisfactory termite inspection is also required prior to closing.  Within about 30 days of closing, Ball Homes will also schedule a lender inspection of the property, which is related to their own purchase of the property.  Ball Homes will also schedule an informal final walk-through of the traded home at closing, to verify that the condition of the home has not substantially changed.  This walk-through will be scheduled within 48 hours after closing, and the keys and possession are delivered at that walk-through.

How long can the homeowner stay in the home if a trade is accepted?
Typically, the closing on the traded home and the new home take place at the same time, and the homeowner has up to 48 hours to vacate the traded home.  The keys to the traded home are delivered at the final walk-through as described above.

What kind of restrictions are placed on the new home that is being purchased from Ball Homes?
The spread, or difference, between the price of the new home and the estimated market value of the traded home as determined by the market evaluation must be at least $50,000.  The price of the new home for the purpose of determining the spread is based on the sum of the following:  base price, elevation price, lot premium, fireplace, master bath plumbing upgrades, foundation changes, garage extensions, attic storage packages/finished bonus rooms, covered porches. The $50,000 spread is not affected by cosmetic upgrades:  flooring, appliances, cabinets & countertops, interior finishes.  For example, to trade in a home with an estimated market value of $130,000, the new home being purchased must have a base price of at least $180,000.  The spread may not be reduced as the result of deleting options or other credits. 

Can a Quick Move Home or other spec home be purchased using the Trade Program?
Yes.  However, a Quick Move Home or other spec home that is sold subject to a successful trade agreement will be considered in immediate kickout until a trade offer has been accepted by the homeowner.  This means that Ball Homes will continue to market the new home for sale and may accept another contract on that home up until the time that any trade offer made is accepted by the homeowner.  For Quick Move Homes or other specs, the spread (as described above) is based on the total selling price of the spec home, which may reflect more options and upgrades than a build-to-suit contract.  

Can financing incentives offered by Ball Homes be combined with the Trade Program?
Certain special Financing Incentives that may be offered from time to time by Ball Homes may not be combined with the Trade Program, but contracts utilizing the Trade Program are eligible for the 2% Walden Mortgage Incentive.

What happens to homes that are traded in?
They are offered for sale by Ball Homes, or for rent.

To find out if your home is eligible for our Trade Program, see a Ball Homes specialist at one of our open houses, or call 859.245.1179.