Corporate relocation services often offer employee relocation assistance, including selling the employee's current residence, as well as purchasing a new home in the desired location. Many companies go one step further and offer incentives to buy a home in their new city within the year of the move. In turn, for companies that “help with taxes” or “make employees earn gross income”, the gross home sale is the largest gross increase in the employee relocation process. Relocation management companies generally maintain a network of preferred brokers and mortgage lenders who have a extensive experience in helping employees move successfully.
Below is an overview of the program, how it works and why ARC is considered one of the world's leading relocation companies in managing a BVO program. After the employer buys the house, the relocation company becomes the main party in the sale negotiations. According to the BVO, the Third Party Relocation Management Company (RMC) buys the Employee's home, and broker commissions and closing costs are not charged to the employee. Buyers should have a ready source of guarantee money that they can quickly send to the relocation company, says Tonya Hamilton, vice president of relocation at Prudential Woodmont Realty in Brentwood, Tenn.
In fact, ARC offers a buyer value option program to employees who move to many of the agencies that regulate the relocation industry. Working with a moving company can be a great experience, just make sure you do your research beforehand. Having the sale of a home as part of your company's relocation program can be a major benefit that makes the move more enjoyable for the employee, and gives the company an employee who, as they say, “is on the ground and firmly planted in a new location. While relocation sales don't necessarily translate into quick-sale prices, buyers can count on the home to be priced right for their market, says Michael Nimer, chief operating officer of OneSource Relocation, a relocation company in Marietta, Georgia.
For the first few months the house is on the market, the home usually remains in the employee's name, and the relocation company provides pricing and marketing advice. The relocation management company (RMC) used by the employer, such as Lexicon, then buys the house on behalf of the company and sells it to the buyer. Relocation properties also tend to be in good condition because most relocation companies recommend necessary repairs or do them themselves.