Your Dream Vacation Is One Move Away

At least you won't get burnt.

How much will a real estate agent give back to earn your business? Well that depends on how much they stand to pry out of your wallet.

Aeroplan has a program entitled "Aeromove" that earns you points when selling or buying a home with an agent enrolled in their program. They recently announced a promotion that could get you to Hawaii when you buy and sell a home with one of their "referred agents". I found a flight to Hawaii departing on April 5th and returning April 12th on Air Canada. It worked out to be $1,457.28 per person from Pearson to Maui. Sure is nice of the agent to send you on vacation for using their service.

Based on a 5% commission let's see just how they can afford to send you away to Hawaii.

Selling your house ($300,000).
Commission paid by you $15,000
Less paid to buyer's agent $7,500 (based on 50-50 split)
Less paid to broker $3,000 (based on a 60-40 split)
Less advertising $1,000 (estimated @ $100 per week)
Net Commission $3,500

Buying your house ($300,000). (Don't ask why you would buy a house of the same value, it is the example Aeroplan uses)
Commission paid by seller $15,000
Paid to your buyer's agent $7,500 (based on 50-50 split)
Less paid to broker $3,000 (based on a 60-40 split)
Net Commission $4,500

Total Net Commissions $8,000

Less the $1,500 for your one return flight it leaves a mere $6,500 for your agent to cover off any other sundry costs they may have like assistants, desk fees or office space.

Poor buggers, not sure how they survive.

Now let's look at the same scenario for you selling privately.

Selling your own home ($300,000)
Commission not paid to an agent $15,000
Marketing costs $1,500 (Elite package with PropertyGuys.com)

Net Commission paid to you $13,500

Flight, Hotel, Rental Car and $200 per day for a week in Hawaii (Family of 4) $11,340

That still leaves you $2,160 to spend on upgrading the lights (or bathroom fixtures or a new washer and dryer) in your new house.

The best part is if the house you bought was listed privately, you can go on vacation with the new friends you made because they saved the same amount of money.

If Hawaii doesn't float your boat...


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