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How Does A Relocation Company Sell Your Home?

You may have never heard of a relocation home sale. Oftentimes, these types of home sales are misunderstood and many overlook the possibility of buying a great home simply because of the title. A relocation sale is when the sale of a home is through a relocation company’s help. There are advantages and disadvantages to this. Sometimes this happens with military families or large corporations. In order to determine if a relocation sale or purchase is right for you, read below and continue your research.

How Does A Relocation Company Sell Your Home?

Types of Relocation Sales

There are three different types of relocation sales and to understand how a relocation company sells your home, you need to understand the different types of sales that can happen. It is important to do your research on all of these types of sales before you decide to enter into a contract or avoid a potentially great purchase.

Direct Reimbursement

A Direct Reimbursement relocation sale is the most straightforward of all three types. This is where the employee will sell their home and then submit all closing costs to their employer for reimbursement of those fees. The reimbursement can be considered income to the employee so it is still going to be through payroll and subject to all of the withholdings. Depending on what is decided upon between the company and the employee, someone will end up paying the taxes.

Buyer Value Option

The Buyer Value Option relocation sale will help you avoid reimbursement. This is usually the most affordable of all the options. The employee will market the home until they find a buyer. Once a buyer is found then the relocation company will purchase the home and sell it to the buyer. This saves on taces for the company and the employee. This option saves the employee from paying closing costs or a real estate commission.

Guaranteed Buy Out

A guaranteed buyout relocation sale is when the relocation management company with orders appraisals for the home and then markets the home on your behalf. This appraisal will determine how much the buyer would pay for the property within the same area. The relocation company will purchase your home for the average cost between two appraisals and list your home for a period that is usually between 30-120 days. The employee gets their guaranteed buyout and if their home stays on the market longer than expected, they are not in a difficult financial situation. This is typically the most commonly used relocation sale, because of how it benefits the employer and employee.

In Conclusion

Relocation sales can seem complex, but the right education and real estate agent by your side can advise you and help make the process much smoother. If you are in need of a relocation company, check with a local real estate office that may be able to assist you. As always, it is so important to work with an experienced agent who can lend their expertise as you work towards buying or selling a home.

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