Yes, there is a definite new trend out there in the relocation world. Reluctance to transfer is up 79% according to an article in Mobility magazine’s September issue. The main reason cited is that most transferees are having a hard time selling their current homes.
No surprise there. Most sellers cannot believe that they may have a “loss-on-sale”. They want to know what their options are first. We now know that these and other issues facing transferees are causing a shift in the strategies employers are using to evaluate the employees chances of having a successful move and giving the transferees more options for a new assignment.
Here are a few of the new tools used by Relocation Companies to evaluate a relocation:
1. Get a pre-move offer CMA on the prospective transferee’s current home.
2. Send the transferee to the new location for an area tour. I’ve scheduled four of these in the past two weeks.
3. Offer temporary assignments with several rental options.
4. Offer a loss-on-sale allowance to the transferee who is very desirable, so he/she will consider the move.
What can you do to turn these strategies into commission dollars? The obvious answer is to embrace these new policies and make it work for you. Here are some ways to turn the above policies into new business.
1. Pre-move CMA’s are a great way to show the client you are willing to do the ground work, therefore you’ll be the right agent and get the next actual listing.
2. A great agent knows that any opportunity to talk in person with a prospective transferee could result in a sale OR a possible referral from them.
3. If you work with renters you’ll have buyers just a few months down the road. These are becoming increasingly more important.
4. If a transferee takes a loss-on-sale, they’ll probably spend less on a house on their new move. Turn this in to a positive strategy for them. Point out that they’ll have an easier time selling in a lower price range (You’ll also have an easier listing to sell when they move again). They’ll have smaller utility bills and less house maintenance. If you make it a happy experience they’ll feel good about their choices and think you’re the best agent ever.
The new relocation landscape may be a bumpy one, but I think the road can be made smoother if we continually re-think how to accommodate the transferee in the coming years. What are you seeing in the relocation market?
Tags: dana eskridge, Metro Brokers, moving, relocation, transferee
October 8, 2009 at 6:32 am |
Great information Dana, we have to shift our thinking as the market changes and adapt to the changes in a positive way.
October 8, 2009 at 8:00 am |
Well said Dana. If a temporary solution is a rental home, you may want to provide a rental market analysis as well. Many clients only want to pay a fair price, even if it a rental and a temorary lease.
They will appreciate you now, and will want that same level of service when they are in the market again selecting an agent. Take a look at http://www.NorthMetroMLS.com/Rentals for a look at rental homes in the North Metro Area.
October 8, 2009 at 8:54 am |
I just found out last week that my brother is being moved by his company (DuPont) after being in the same little town in Ohio for over 20 years. He had successfully evaded transferring to “HQ” for years, but has no choice in the matter now – his paycheck is moving to Delaware and he must go there to collect it. He and his wife are planning on doing exactly as you describe – renting. They plan to hang onto their home in Ohio, too, and rent it out rather than sell in this market.
October 11, 2009 at 12:32 pm |
We have to be able to change with the times. We can provide a valuable service to our clients by helping them find rental properties. They will appreciate you just as much and by staying in touch with them, we can provide the same level of service when they get ready to make a permanent move.
October 13, 2009 at 4:33 pm |
I lived in Dayton, Ohio from 2002-2007 and I have been in contact with NCR transferees. Most of the transferees are still sitting in Dayton, OH because they can’t sell their homes and they say that NCR is refusing to budge in helping them make the transfer. So most are stuck in limbo and NCR has a deadline looming. I guess tough decision time is coming soon.