There are times when a relocation to another part of the country or world is in order due to a change in jobs, a promotion, or educational opportunities. While change can be an adventure that comes with a mix of excitement and stress, a relocation doesn’t have to be a journey into the unknown. You may be required to work with a relocation company during the moving process. A relocation company can assist you when it comes to organizing, marketing, and selling your home.
🚚 What Is a Relocation Company?
A relocation company is a firm that corporations and businesses hire for their employees when a transfer or move to a new home is required. These companies can help the employee being transferred when it comes to finding movers and a new home. In the case where the transferred employee is a homeowner, the relocation company can help them sell their existing home through a real estate agent who lists the house on the real estate market.
A relocation company helps with home sales in two ways. In the first months, the home is listed on the market, the home stays in the homeowner’s name. The relocation company will give the homeowner advice on the asking price and the market they should appeal to at their location. The second way they can help is if the home has not sold during the first few months, the employee’s company agrees to buy the property completely or in part.
Using a relocation company can make negotiations during this part of the process move along a bit smoother and take less time than a traditional sale. When the company buys the existing home, employers provide the homeowner with the opportunity to buy a new home in their new location. After the company has bought the home, the relocation company then becomes the key player in sale negotiations for the house.
📝 What Is a Relocation Addendum?
A relocation addendum is a contract that makes it clear the transferred employee no longer has liability for selling their home. The relocation company has acquired the responsibility and legal obligations involved in the real estate contract for the home. In other words, the transferred employee will not be stuck with the costs and liability associated with their existing home.
📑 What Are Relocation Documents?
Relocation documents are the hard copy documents that are required to be signed off on to sell the home. These documents consist of disclosures that tell the buyer any required inspections and/or other contracts/obligations have been completed.
🙋♀️ Can I Choose My Own Real Estate Agent?
If you are not satisfied with the real estate agent the relocation company has provided, you can choose your own real estate agent. Real estate agents who are assigned by the relocation company have taken relocation certification courses; therefore, they know what they are doing. These real estate agents have agreed to pay the relocation company a percentage of the commission they earn for helping you with the sale of your existing home or the purchase of a new home. If you choose your own real estate agent, they will agree to pay that percentage.
What Happens If My House Sells for Less?
If your house sells for less, you have some options to recover your loss. First, you can claim a capital loss to gain a tax exemption from your income. You can also ask yourself if the asking price was above market value, or you can ask for a reassessment of your property’s value. Second, besides claiming a capital loss, you can choose to rent your house out instead of selling where you can claim expenses for maintenance and marketing of the rental home. Be aware though, rental properties can involve some risk as not all renters are reliable or responsible. Property damage can happen that will outweigh any profit you make. A relocation company will typically pay closing costs that includes the real estate agent’s commission. Make sure you read the relocation package before signing
In the fast-paced society we live in today, relocation is a prospect many of us face. Sometimes it can happen more than once. A relocation company can make your move organized and cost-effective with added value. They take on many real estate sales headaches and burdens. They help you get the job done.