What does 'Trading Gap' mean when buying a property?
Find out what Trading Gap means when you are buying a property. 'What does Trading Gap mean?' plus over 150 other property related terms and jargon in plain English
Trading Gap
This is the difference between the price of a property that you are selling and the price of the property you are buying when the place you are purchasing is more expensive than the place you are selling.
So if you are selling a property for £100,000 and buying for £150,000 the trading gap is £50,000.
Smart buyers moving up the property ladder do so in a market where property prices are falling because although their property is worth less, the one they are trying to buy will have lost a greater value - the trading gap is decreased.
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