🏡 Exchanging property in Wallonia: an alternative to a conventional sale?

Selling in order to buy. Buying before selling. Finding the right property at exactly the right time…
For many owners, moving home can quickly become a difficult balancing act.

Yet there is a third, much less familiar possibility: a property exchange.

The principle? Two owners transfer their respective properties to each other. When the values differ, a financial balancing payment can compensate for the difference.

In Walloon Brabant, where one family may be looking for a house with a garden while the owners of a large villa are seeking a more manageable apartment, this is an option worth knowing about.

💡 Key point

A property exchange does not necessarily replace a conventional sale. It can simply add another possibility to an owner's property strategy.

🔄 How does a property exchange work?

The basic principle is fairly simple.

Two owners wish to acquire each other's properties.

For example:

• 🏠 house ↔ house
• 🏠 house ↔ apartment
• 🏢 apartment ↔ apartment
• 🌳 land ↔ house
• 🌳 land ↔ land

The properties therefore do not need to be identical or have the same value.

An example in Walloon Brabant

A house in Chaumont-Gistoux is valued at €600,000.

Its owner would like to acquire an apartment in Wavre valued at €450,000.

At the same time, the apartment owner is looking for a house corresponding to the first property.

House value: €600,000
Apartment value: €450,000
Difference: €150,000

This difference may be compensated within the transaction by means of a balancing payment.

The example appears simple. In reality, financing, taxation, existing mortgages, suspensive conditions and the timetable must of course be examined with the notary.

📍 Why can this be particularly interesting in Walloon Brabant?

The Walloon Brabant property market brings together owners with sometimes completely opposite requirements.

On one side, a family living in an apartment in Wavre or Ottignies-Louvain-la-Neuve may be looking for more space, a garden and a residential environment.

On the other, the owners of a large property in Chaumont-Gistoux, Grez-Doiceau, Rixensart, Walhain or Incourt may wish to downsize and move closer to shops and services.

On paper, these projects are opposites.

In practice, they can be perfectly complementary.

That is precisely where a property exchange can become interesting.

⏱️ Selling and buying at the same time: the real advantage

Two questions frequently arise during a property move:

“What happens if the house is sold before another property has been found?”

And conversely:

“The ideal property has been found… but the current home has not yet been sold.”

Between the two, owners may face:

• bridge financing;
• temporary ownership of two properties;
• temporary accommodation;
• two separate moves;
• and considerable uncertainty.

With a property exchange, the two transactions are directly connected.

Each owner knows which property they are leaving and which property they will receive.

It does not remove every constraint, but it can make the overall project considerably easier to manage.

⚖️ First rule: compare two realistic market values

This is probably the most important point in the entire transaction.

If one owner overvalues their property, the whole exchange can become unbalanced.

The comparison should therefore be based on the genuine market value of both properties.

And in Walloon Brabant, even a few kilometres can make a substantial difference.

A 180 m² house in Chaumont-Gistoux will not automatically have the same value as a 180 m² house in Incourt, Wavre or Rixensart.

Factors to consider include:

📍 Location • 🌳 Land • 📐 Floor area • 🏗️ Condition • ⚡ Energy performance • 🏡 Equipment • 🔇 Surroundings • 📋 Planning situation

A property exchange should therefore always begin with a serious valuation of both properties.

💶 The balancing payment: when the two properties have different values

Another example:

This difference can be compensated financially.

This is the balancing payment.

But another question immediately arises:

How will the difference be financed?

Own funds? A mortgage? A new financing structure?

The banking feasibility should therefore be examined sufficiently early in the process.

💰 What about registration duties?

This is an area where shortcuts should be avoided.

In Wallonia, the rules governing registration duties cover not only sales but also exchanges and other transfers for consideration involving immovable property.

The standard rate is 12.5%.

Since 1 January 2025, certain acquisitions intended to become the purchaser's principal residence may, subject to specific conditions, benefit from the reduced 3% rate.

Under certain conditions, the scheme may also apply to the acquisition of building land intended for the construction of the purchaser's principal residence.

⚠️ Important

In an exchange, each owner transfers one property AND acquires another.

It should therefore never automatically be assumed that registration duties are simply calculated on the balancing payment.

The taxable basis, applicable rate and possible eligibility for the 3% rate should be checked individually for each party by the notary.

🏢 What if an apartment in co-ownership is involved?

That is entirely possible.

However, comparing only the price and floor area would be a mistake.

The financial and legal health of the co-ownership must also be examined.

🔎 What should be checked?

• minutes of general meetings;
• reserve fund;
• working capital fund;
• works already approved;
• calls for funds;
• possible legal proceedings;
• the financial position of the co-ownership.

Consider two apartments each valued at €400,000.

In the first building, the roof and façades have recently been renovated.

In the second, significant works may soon need to be financed.

The same price does not necessarily mean the same economic value.

This analysis should form an integral part of the comparison.

🌳 Can land also be exchanged?

Yes.

An exchange may involve:

🌳 land ↔ land
🌳 land ↔ house
🌳 land ↔ apartment

But surface area alone is certainly not enough to determine the value of a plot.

For land, it is important to examine:

Zoning • Building potential • Planning regulations • Access • Easements • Topography • Road frontage • Surroundings • Possible constraints

Two plots of 1,000 m² in the same municipality can therefore have very different values.

🏦 What if there is still a mortgage on the property?

That does not necessarily prevent an exchange.

It does, however, make the transaction more technical.

The bank and the notary will need to consider:

• the existing financing;
• mortgage registrations;
• guarantees;
• financing of the new property;
• any balancing payment.

It is clearly preferable to examine these issues before both owners become definitively committed to the transaction.

🔑 A very practical question: how is the move organised?

It may sound like a minor detail.

It isn't.

When two owners exchange their homes, each party needs to leave their property while the other is doing exactly the same thing.

The handover of keys, vacation of the properties and any transitional occupation arrangements therefore need to be organised carefully.

A difference of a few days may sometimes be necessary.

It is better to anticipate this from the outset.

⚠️ A property exchange is not a miracle solution

The main obstacle is obvious:

The right “match” has to be found.

It is not enough for a potential buyer to like a property.

The owner of that property must simultaneously want to acquire the other party's property.

The number of potential matches is therefore naturally smaller than with a conventional sale.

It is also important to know when to abandon the exchange if:

❌ one property is overvalued;
❌ the balancing payment cannot be financed;
❌ a planning issue emerges;
❌ the position of a co-ownership creates concerns;
❌ the interests of the two parties are no longer properly balanced.

A property exchange should remain an opportunity, not an obligation.

🤝 What role can a real estate agency play?

The value of a real estate agency in this type of transaction goes beyond simply matching two listings.

It involves understanding two property projects at the same time:

What property does the owner currently have?
What is its realistic market value?
Why does the owner want to move?
What exactly are they looking for?
In which area?
What additional budget is available?

It is the combination of all this information that can reveal a potential match.

In this context, detailed knowledge of the Walloon Brabant property market and a database of potential buyers and owners can make a real difference.

🔄 Do owners have to choose between an exchange and a conventional sale?

No. And that is probably the most important point to remember.

An owner can market a property in the conventional way while remaining open to an attractive exchange proposal.

Conventional sale

+

Search for the next property

+

Possibility of an exchange

= more options for completing the property project

📍 A property project in Walloon Brabant?

When an owner is considering selling a house, apartment or plot of land in Walloon Brabant in order to acquire another property, the possibility of an exchange is at least worth exploring.

Génération Immo can begin by establishing the realistic value of the existing property and defining precisely the type of property being sought.

Several strategies can then be considered: a conventional sale, a simultaneous search, a property exchange when the right opportunity arises, or a combination of several approaches.

Génération Immo operates notably in Chaumont-Gistoux, Wavre, Grez-Doiceau, Ottignies-Louvain-la-Neuve, Rixensart, Mont-Saint-Guibert, Walhain, Perwez, Incourt and Ramillies, as well as throughout the wider Walloon Brabant area.

🏡 Planning to sell in order to buy another property?

Consider the options before putting the property on the market.

Establishing the true value of the existing property and clearly defining what is being sought can sometimes open up possibilities that had not initially been considered.

❓ Frequently asked questions about property exchange in Wallonia

Can two houses legally be exchanged in Wallonia?

Yes. Property exchange is a legally recognised transaction. The Walloon rules on registration duties include exchanges and other transfers for consideration involving immovable property.

Do both properties need to have the same value?

No. A difference in value may be compensated financially through a balancing payment.

Can a house be exchanged for an apartment?

Yes. The exchanged properties do not have to be of the same type.

Can land be exchanged for a house?

Yes. However, the planning position and true market value of the land should be carefully analysed.

What is a balancing payment?

It is an amount intended to compensate for the difference in value between the two properties.

Are registration duties calculated only on the balancing payment?

This should not be assumed. The applicable tax rules depend on the transaction and the circumstances of each party. The calculation should be confirmed by the notary.

Can the 3% rate apply?

The reduced Walloon rate of 3% may apply, subject to certain conditions, to specific acquisitions for consideration intended to become the purchaser's principal residence. In an exchange, each party's circumstances must be assessed individually.

Can an apartment in co-ownership be exchanged?

Yes. However, the financial and legal position of the co-ownership should form part of the analysis.

Can a property with an outstanding mortgage be exchanged?

It may be possible. The bank and notary will nevertheless need to examine the existing financing and mortgage guarantees.

Is a real estate agent compulsory?

No. It is not a legal requirement. However, an accurate valuation, identifying a potential match and coordinating the transaction may be facilitated by a professional with detailed knowledge of the local market.

📚 Sources

The main legal and tax points discussed in this article are based in particular on:

• the Walloon rules on registration duties, available through WALLEX;
• the Walloon Decree of 5 December 2024, including provisions concerning the reduced 3% rate;
• information from the Walloon Public Service concerning property taxation;
• information from the Belgian Federal Public Service Finance regarding registration duties and market value;
• information published by Notaire.be, including material concerning property transactions and co-ownership.

This article is provided for information purposes only and does not constitute legal, tax or notarial advice. The consequences of a property exchange may vary depending on the owners' individual circumstances, the nature of the properties and their financing.