Transferring Homeowners Faced with Unprecedented Challenges
The real estate market has significantly impacted the domestic mobility industry in the United States, creating a domino effect for transferring homeowners and their employers. Some individuals have experienced a significant loss on sale and have had to choose between accepting the financial loss and simply ‘moving on’ or keeping their origin home and finding a creative way to address the relocation challenges. Some individuals received exceptions to traditional policy in terms of dual housing or increased temporary living. Some employees were fortunate to have a guaranteed buyout offer from their employer while others had to ride the current market and remain patient while a ‘bona fide’ buyer was identified and secured. In all, most corporations have been willing to work with individuals to provide continued assistance during this unprecedented economic time.
But the challenges don’t stop there for the employee or the corporation. Selling at a loss prevents the majority of transferees from purchasing a home in their new location. Recent changes from Fannie Mae have eliminated the ability to consider spousal income for a new loan without confirmed employment at destination. The tight economic times, combined with a continually declining real estate market have forced employees to make compromises and, as such, duplicating their current lifestyle is difficult if not impossible for many transferring employees. In today’s environment, relocation becomes more than just a change in zip code; it represents a complete change in lifestyle, for both the employee and their family.
As a twenty-eight year old relocation management company, our hats go off to the mobile workforce who forge ahead and face these challenges head-on. We will continue to partner with both our clients and their employees to find new and creative solutions to meet these challenges head-on and weather these turbulent times.
Posted on 07/2/2009 in Domestic Relocation | Comments (1)
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