Private house sale benefits and calculations for homeowners.
Below are the financials when you use annuities to sell your home to a co-operative.
Private Sale: Most money to you.
- House $1,000,000: Not listed by anyone.
- Real Estate Agent Commission: $0.
- Land Tranfer Tax: Paid by Co-op $32,950.
- You net: $1,000,000
- 10 year 6% annuity: You receive: $11,064/month for 10 years.
- Total $ to you over 10 years $1,327,811.
Real Estate Agent: 3%-5% less money to you.
- House $1,000,000: Listed by Real Estate Agent.
- Land Tranfer Tax: Paid by Co-op: $32,950.
- 5% Real Estate Agent Commission: $50,000.
- Plus GST on Agent Commission: $6,500.
- Total Real Estate Agent costs: $56,500.
- You net (1,000,000 -$56,500): $943,500
It is possible for a homeowner whose house is listed by a Real Estate Agent to have a 6% annuity
What we would do in this case is to include the Real Estate Agents commission to the downpayment so you have the money to pay it. Each situation will have a customized solution to include the agents commission.
Why choose an annuity?
- Guaranteed Income: Annuities provide a steady income stream, which can be particularly valuable in retirement.
- Protection Against Market Volatility: Our annuities offer 6% fixed returns, providing stability against market fluctuations. This can be particularly appealing if you're retired and worried about outliving your savings.
Examples of Annuity Monthly amounts
- A $299,900 6% annuity returns $3885 per month for 10 years.
- A $799,900 6% annuity returns $9407 per month for 10 years.
- A $900,000 6% annuity returns $9,958 per month for 10 years
Plus you could stay resident in the house on the same terms as all other residents. You could then travel without worry and have a home base.
My name is Richard Hirtle also known as Ricky McMountain and I will be joining one of the co-operatives personally! Likely in British Columbia, Vancouver Island.
My name is Richard Hirtle also known as Ricky McMountain and I will be joining one of the co-operatives personally!