Category: Home Purchase

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Buy a Home Domestic Relocation Domestic Relocation Challenges Domestic Relocation Tips Domestic Relocation Trends Home Purchase

Virtual Agent Services: Helping Home Buyers and Sellers During COVID-19

Mature realtor holding open house" sign in front yard.

Home buyers and sellers can use a variety of virtual agent services during the current COVID-19 pandemic, if they find the right agent. A few select real estate agents offer a full suite of services to clients that are flexible and effective, meeting the demands of today’s real estate market. These virtual agent services are ideally suited to help ensure proper social distancing and other requirements necessary to protect buyers and sellers from exposure to COVID-19.

What are Virtual Agent Services?

GMS spoke with Erik R. Brown of Compass, Realtor®, TV host, speaker, and author of “One in a Million: Everything You Need to Know to Find the Best Realtor®.” Erik agreed to share his industry knowledge and market expertise on virtual agent services.

Erik notes that buyers are still buying, and homes are still selling, even during COVID-19. Many clients who were in the process of buying and selling prior to the pandemic have turned to virtual agent services. Many of these services had been in place prior to the precautions, often as part of a broader suite of exclusive marketing services. Additionally, newer tools have been created that leverage proven technology already in use in the real estate industry.

Ensuring Health and Safety with Virtual Agent Services

The health and safety of clients and communities is always a priority for the real estate industry. Erik states that these virtual agent services allow him to continue to provide the best-in-industry service that his clients deserve. Most services can be provided through digital, mobile, and social media platforms, enhancing their reach and visibility.

Virtual Agent Services for Buyers

  1. Virtual Neighborhood Walks let buyers explore new neighborhoods and communities, and help them see nearby local features such as parks, schools, and shopping centers
  1. Interactive Video Showings where a real estate agent will take buyers on a virtual journey through a home, noting specific features to enhance desirability and highlight items of interest to buyers
  1. Video Mail (V-mail) provides video directly to interested buyers so they have an immediate experience and memory of their first interaction with the home
  1. Live Virtual Buyer Events helps buyers see homes as they are used for cooking demonstration, game nights, or social events that bring life to the home and highlight unique features

Virtual Agent Services for Sellers

  1. Virtual Open Houses let sellers share their home with a targeted audience while showcasing key features to interested buyers across multiple platforms
  1. Dynamic Digital Listing Brochures helps highlight the most desirable features of a home in an immersive experience to help buyers see virtually everything of interest
  1. Digital Ads for Facebook & Instagram promote the home to a highly targeted audience with expertly designed ads optimized for the highest performance on the social media platform
  1. Real-time Digital Ad Insights capture ad campaign results quickly and easily, and let real estate agents act swiftly to market and sell the home
  1. Enhanced 3D Staging provides an upscale and sophisticated visual experience that increases appeal with high-end design and state-of-the-art visual staging technology

What Does This Mean?

As Erik notes, virtual agent services leverage proven technology to help home buyers and home sellers remain safe and protect their health during the current COVID-19 pandemic. These services also enable real estate agents to provide clients with best-in-industry solutions, valuable information, and superior results.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients understand how to provide solutions for their new hires and transferees who are looking to buy or sell a home. Our team can help your company understand how to leverage virtual agent services during the current COVID-19 pandemic. This will help employees to conduct successful real estate transactions while focusing on the health and safety of everyone.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Contact our experts online to learn more about virtual agent services, or give us a call at 800.617.1904 or 480.922.0700 today.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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Domestic Relocation Domestic Relocation Challenges Domestic Relocation Tips Domestic Relocation Trends Home Purchase Household Goods Relocation Best Practices Relocation Challenges Relocation Management Talent Mobility

Summer Move on Tap? Start Planning Now

African descent family moving into a new home. Mother, father and daughter. Real estate sign. Home in background. Spring or summer season.

Many relocating employees choose a summer move over any other time of the year. However, several factors make this time of the year the busiest for relocation. As a result, the household goods (HHG) moving industry is often running at nearly full capacity to meet demanding schedules.

The current COVID-19 pandemic presents a significant number of additional considerations. However, transferees who plan ahead and learn basic guidelines for safe HHG moves can expect a smooth summer move.

Factors That Result in Preferences for a Summer Move

1. School Breaks

Families with children prefer to stay in place during the school year. The vast majority of school years follow certain patterns, with holiday or seasonal breaks. The months of June, July, and August are traditionally times when schools are not in session. This includes colleges as well, where students are often on the move back home once they have taken their last final exam. By planning a summer move, schoolwork is less likely to face any disruptions.

2. Weather Patterns

In much of the United States, the months of May through September offer warm temperatures, grounds covered with grass, and a number of bright sunny days. In comparison, other months offer less than ideal weather conditions. Snow and ice make travel difficult, streets and sidewalks may be muddy, and days may be gray with sleet and snow showers.

3. Common Beliefs and Practices

Many home buyers and sellers believe the best seasons for real estate transactions are spring and summer. Although other seasons offer a number of benefits, a summer move is often the result of a busy spring and summer home buying and selling season.

How to Plan Ahead for Your Summer Move

Companies that are planning to relocate employees should be aware of several important points that can make for a smooth and easy summer move. Communication is important to ensure that every relocating employee has a good experience. Employees who have a good experience in their relocation process will arrive at the destination ready to start their new job.

Top 4 Points to Ensure a Smooth Summer Move

1. Engage your Relocation Management Company (RMC) as Early as Possible

Employers looking to arrange an employee transfer or a new hire that will be relocating, early notification to the RMC is best. A best practice is to integrate all of the company’s pre-decision services directly with the RMC. This will help ensure the RMC has visibility for any upcoming summer move, and initial planning can quickly proceed.

2. Leverage Multiple Bids to Obtain the Lowest Costs

With HHG moving demand at its peak, RMCs should provide multiple bids for a summer move. However, this requires companies to provide enough time for the RMC to obtain these bids. The last week of June is the busiest week for moves. Companies that do not provide enough time for the RMC to obtain competitive bids may miss out on substantially lower costs for the summer move. In general, RMCs who obtain multiple bids for a summer move can save companies over $1,500 per move.

3. Providing a Range of Dates is Better Than a Specific Date

As with many things in life, the ability to be flexible works well for planning a summer move. HHG moving companies appreciate flexibility for their scheduling needs. Transferees also have many other things to take care of related to their relocation. Relocating employees who can provide a range of dates for pickup and delivery are often likely to have their household goods picked up and delivered on their preferred date or the nearest alternative date.

4. When Time is of the Essence, Services Can be Provided at Additional Cost

Some situations require an employee to be on site in a new location by a specific date. Critical delivery dates may arise due to home sale closings, expiring leases, and company requirements. These situations may require services that cost extra, above and beyond the traditional summer move cost. Companies that need a transferee to be on site in a new location by a certain date should provide enough time for the employee to make the move.

NOTE: Transferees that are given very short notice for a summer move often face significant issues in terms of cost to move and space for their household goods on moving company vans and trucks. Late requests for space may result in a moving company providing space but only for a specific size such as 10,000 pounds of goods. As a result, transferees with 2,500 pounds of household goods may have no other option but to pay for the extra unused space in order to meet the deadline set by their company. Best practice is to provide a quote that covers only the space needed for the transferee’s household goods. This way, they transferee is not paying extra for space they cannot use.

What Should Employers do About a Summer Move?

Employers should contact their RMC as early in the relocation process as possible. Best practice is to work with the RMC for pre-decision services. To ensure this engagement starts as early as possible, employers should create an Application Programming Interface, or relocation API.

An API provides a framework for different computer systems to communicate and share information. Employers with a relocation API will have their internal Human Resource Information System (HRIS) integrated with their RMC’s relocation technology. RMCs with industry-leading relocation technology solutions have designed their platforms to quickly and easily integrate with each client’s HRIS.

Employers should work with a qualified and experienced Relocation Management Company (RMC) that can provide guidance and insight as to best practices for obtaining multiple bids and arranging for a summer move. RMCs can help clients and transferees understand how to communicate important dates and other information relating to their summer move with HHG moving companies.

Conclusion

Global Mobility Solutions’ team of corporate relocation experts has helped thousands of our clients understand how to leverage the multiple bid process to save on a summer move. Our team can help your company follow industry best practices to communicate early, incorporate flexibility, and understand all of the various options that are available for relocating employees facing a summer move.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Learn best practices from Global Mobility Solutions, the relocation industry and technology experts who are dedicated to keeping you informed and connected. Contact our experts online to discuss your company’s interest in learning best practices relating to arranging a summer move for your relocating employees, or give us a call at 800.617.1904 or 480.922.0700 today.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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Buy a Home Domestic Relocation Domestic Relocation Tips Home Purchase Relocation Management

What is a Home Relocation Appraisal?

Real estate agent showing a young couple a home for sale.
Medium shot of a real estate agent showing and explaining property to a couple

Transferees participating in a home sale as part of their relocation package often submit to a Home Relocation Appraisal process. Since “Appraisal” is part of this term, transferees may think this will be an indicator of their home’s market value. However, this is not the case. A Relocation Appraisal is completely separate from a Home Mortgage Appraisal. From the purpose to the format, the differences are dramatic.

A review of the specific points of this report will clarify its purpose, intent, and use within a transferee’s moving process.

8 Specific Points of a Home Relocation Appraisal

1. What is the Intended Use?

The use of this report is to help facilitate the transferee’s move to another location. The results go to the client, not the transferee. Clients may review the information to help understand how long the home may be on the market before selling.

2. Who Conducts the Home Relocation Appraisal?

Trained and licensed real estate appraisal professionals who follow the ERC’s specific set of definitions and guidelines complete the Appraisal. The professional works for the client, and will use the Worldwide ERC® Summary Appraisal Form (updated 2010) to complete the Appraisal.

3. What are Critical Considerations?

In this report, design and appeal of the house are critical considerations. Since the Appraisal has a short time frame that relates specifically to the transferee’s relocation, these two factors will have a major impact on the relocation process.

4. What will the Report Provide?

This type of Appraisal provides an estimate of the home’s anticipated sales price. There is no correlation to any other figure or value; the Appraisal looks solely at the anticipated sales price.

5. What is the Timeframe?

Home Relocation Appraisals have a short-term focus. The decision making timeframe only covers up to 120 days. This accounts for the planning, review, and implementation of the transferee’s relocation process.

6. When Should Marketing for the Home Begin?

Marketing for the house occurs after the date of this report. As a result, the marketing plan for the home has no bearing on this Appraisal.

7. How does Marketing the House Relate to a Home Relocation Appraisal?

The marketing time for this report is not to exceed 120 days. This timeframe only reflects the period covering the transferee’s relocation process.

8. How Does a Retrospective Analysis Relate to a Home Relocation Appraisal?

A retrospective analysis for a Home Relocation Appraisal is an overall review of factors that could impact the Appraisal’s results, such as any risks that could affect the sale price of the home. This information is used for forecasting purposes. This is important for clients so they can understand aspects of the report that may have future budgetary impacts.

What Should Employers Expect?

Employers should expect that transferees who participate in a this type of sale program for their house may not understand the purpose of this Appraisal. Employers should understand that they are the client for this report. As such, they will receive the Appraisal from the professional. Employers should understand and communicate with the transferee that this report is not a Home Mortgage Appraisal.

What Should Employers do?

Employers should communicate guidance for their transferees who may have questions regarding their Home Relocation Appraisal. Employers should work with their Relocation Management Company to understand the Home Relocation Appraisal and how it relates to their company’s relocation and home sale program.

Conclusion

Global Mobility Solutions’ team of global relocation experts has helped thousands of our clients with their Home Relocation Appraisals. We can help your company understand how a Home Relocation Appraisal relates to your company’s home sale program.

GMS was the first relocation company to register as a .com, created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Learn more about Home Relocation Appraisals from Global Mobility Solutions, the relocation industry and technology experts who are dedicated to keeping you informed and connected. Contact our experts online or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

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Buy a Home Home Purchase

What are the BVO Program Benefits?

Happy African American family with two young children (4-5 years) waving in front of house with 'Sold' sign.

Many companies understand they can save money with the GMS Buyer Value Option (BVO) program. However, they are not sure of the other BVO program benefits. There are several benefits for clients beyond saving money. Reviewing the process will highlight several BVO program benefits for clients.

BVO Program Benefits #1: Cost Savings to the Client

A form of tax assistance known as tax gross-up helps offset the tax impact felt by transferees who receive reimbursements. This gross-up expense can add substantial costs, especially if a home sale generates reimbursement requests.

The GMS Buyer Value Option program avoids the costly process of “grossing up” dollars used to pay for the commissions and closing costs on the sale of a transferee’s home.

BVO Program Benefits #2: Risk Reductions for the Client

The home sale process carries some inherent risks. Importantly, the Internal Revenue Service requires putting the client at risk of owning the home in order to receive the tax benefit. If the home buyer does not proceed through to the closing and purchase the home, the client will be financially responsible until a new buyer is found.

Generally, the industry average of properties falling through during the sale process is up to 1.5%. However, GMS’ average over the past three years is less than 0.5%. As a result, clients that utilize the GMS Buyer Value Option program avoid risks of properties falling through prior to closing.

BVO Program Benefits #3: Time Savings for the Transferee

Transferees who participate in the GMS Buyer Value Option program are freed from the responsibility to attend the closing for their home sale. Transferees gain the freedom to focus on their new location and job responsibilities from the moment they leave their home.

Acclimating to a new location can take as long as three months to one year. Not having to arrange a home sale or return for a closing lets transferees and their families settle in to life at their new location and gives them peace of mind. Time savings are valuable BVO program benefits that help the transferee and their family members. Clients also benefit, as the transferee can give full attention to their new position.

What Should Companies With a Home Sale Program Do?

Companies that currently reimburse employees for the commission and closing costs on their home sale should look into the GMS Buyer Value Option program. Home sale expenses are the only remaining tax-protected relocation benefit when a company utilizes the GMS Buyer Value Option program. Companies can save the tax gross up on the reimbursement, and gain additional BVO program benefits including:

  • No need for the employee to be at the closing of their home sale
  • No return trips necessary to attend the closing if your employee is already at the new destination
  • The employee can more quickly adapt to their new role and become an effective member of the team

Conclusion

GMS’ team of corporate relocation experts has helped thousands of our clients develop their home sale and Buyer Value Option program. Our team can help your company understand how to gain access to all of the BVO program benefits.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Contact our experts online to learn more about the BVO program benefits, or give us a call at 800.617.1904 or 480.922.0700 today.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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Buy a Home Domestic Relocation Domestic Relocation Tips Domestic Relocation Trends Home Purchase Job Market Job Seekers Labor Force Talent Mobility United States Economy

Choose Topeka Incentives Aim to Draw New Residents to Kansas

The Kansas state capitol building is located in downtown Topeka on land donated by the Atchison, Topeka and Santa Fe Railroad company. Construction began in 1866 and was officially completed 37 years later in 1903 at a total cost of just over 3.2 million dollars. The building is over 300 feet tall and is 17 feet taller than the U.S. Capitol building in Washington D.C.

Choose Topeka is a new incentive program that will draw new residents to Topeka and Shawnee County, Kansas. The program begins in 2020 with a public launch and full promotion. The incentives are performance based. As a result, new residents will become eligible after residing in the community for one year.

The program arose from a partnership between GO Topeka and local Topeka businesses. Over the past year, organizers have been working to develop the program and marketing materials to reach a wide audience. GO Topeka focuses on creating economic opportunities and growing the local business climate. The Joint Economic Development Organization has an agreement for services with GO Topeka. Both organizations are working together on the Choose Topeka incentive program.

What are the Eligibility Requirements for Choose Topeka?

The Choose Topeka incentive program is to help draw employees to work at local businesses. Therefore, the eligibility requirements center on meeting the needs of local employers and full-time positions:

  1. Participants must be eligible to work in the US
  2. Program requires participants to move to Topeka for a full-time position
  3. Employers must participate in the program for participants to receive matching funds
  4. Participants must purchase or rent a home in Shawnee County within a year of their hire and move to the area

What are the Benefits for Participants in Choose Topeka?

The benefits for participants in Choose Topeka are generous, and apply to both the participant as well as to the employer.

Participant Benefits

Up to $15,000 in funds in Year 1

  • Renting: $10,000
  • Home Purchase: $15,000

Source of funds: GO Topeka/Joint Economic Development Organization (JEDO) and Employer, match at 50%

Employer Benefits

  • Employer fully funds $10,000 up to $15,000 with employee transfer
  • After Year 1, GO Topeka/JEDO reimburse up to $5,000 ($10K) or $7,500 ($15K) to employer for employee retention

The Choose Topeka incentives are based on performance. Employees must move to the community and reside for at least one full year before becoming eligible. Only primary residences are eligible for the incentives. The incentives may be used for all expenses related to moving.

What is the Goal of Choose Topeka?

The goal of Choose Topeka is to draw up to 60 new residents and their families to the city. Employers will gain new workers with requisite skills. Also, several industries will receive economic benefits as the new residents move in and purchase locally.

GO Topeka estimates the total local economic impact of the Choose Topeka incentives to be:

  • Over $2.14 million/Year 1
  • Up to $11.38 million/By Year 5

What Should Employers do About Choose Topeka?

Companies in Topeka and the surrounding Shawnee County area that have growth initiatives may be able to leverage the Choose Topeka incentives in their talent acquisition and relocation programs. Companies should examine their plans for corporate expansion. They should also consider participating in the Choose Topeka incentive program to gain the matching funds provided by GO Topeka/JEDO.

Many other US locations offer similar moving incentives. As a result, companies should leverage GO Topeka’s 2020 marketing and promotional efforts for the Choose Topeka incentive program into their employee recruitment efforts.

Conclusion

GMS’ team of domestic relocation experts has helped thousands of our clients understand how to leverage moving incentives such as those in the new Choose Topeka program to attract and retain talent. Our team can help your company by using industry best practices to design your relocation program. This will increase your company’s ability to hire and retain new employees.

GMS was the first relocation company to register as a .com, created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Contact our experts online to discuss your company’s interest in learning how it can leverage the Choose Topeka moving incentives to attract and retain talent, or give us a call at 800.617.1904 or 480.922.0700 today.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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Buy a Home Domestic Relocation Domestic Relocation Tips Domestic Relocation Trends Home Purchase United States Economy

Winter Home Sellers More Likely to Find Serious Buyers

When it comes to the best season for home sales, winter home sellers are more likely to find serious buyers. Most people commonly believe spring is the most ideal season for home sales. As a result, sellers often wait until spring arrives to consider listing their home for sale.

Home sales during summer and fall lead to a reduction in market inventory. Sellers who wait for spring to place their home on the market further reduce the number of homes for sale in the winter months. As a result, winter home sellers gain a clear advantage. Less homes on the market allows their home to have greater visibility among serious buyers.

5 Specific Advantages for Winter Home Sellers

Beyond less competition from other homes, there are 5 specific advantages for winter home sellers:

1. Buyers in winter are serious buyers

Many people enjoy winter for its snow-filled beauty and wide range of outdoor sports such as ice skating, skiing, and sledding. However the season is also known for several major holidays, unpredictable and sometimes caution-producing weather, travel, and year-end work commitments. Only serious buyers would be looking for a home during this season. Buyers who make an appointment to see your home are not window shopping for homes as spring buyers often do. Rather, they are specifically interested in your home and its amenities. Winter home sellers can be assured that buyers truly want to purchase in the near term. Many times these serious buyers are relocating to take a new job or transferring to a new location with their current company.

2. Days on the market are less of a concern to serious buyers

Some home buyers use the number of days a home is on the market as an indicator. This indicator could mean any of several things, such as:

  • Condition of the home and property is not comparable
  • Location of the home is not desirable
  • Pricing compared to other homes on the market is not consistent
  • Seller does not have motivation to sell or is hard to work with

However, days on market is less concerning to serious buyers in winter. For example, winter home sellers whose home has been on the market since fall may benefit from buyer’s interest in working with sellers who are fully intending to sell.

3. Realistic decisions on pricing are easier to make during winter

Winter home sellers have an advantage when listing their home. Comparable homes on the market since the summer and fall seasons provide an excellent guide for realistic pricing. These home sellers often have adjusted their pricing to be consistent with or slightly below recent sales. This in turn will help them attract the right buyers looking for homes like theirs. Realistic pricing decisions for winter home sellers are easy to make by reviewing comparable homes.

4. Sellers who need to buy face less competition as they search for their new home

While buyers are searching for homes, winter home sellers gain from having less inventory for their home to compete with. At the same time, if those sellers need to buy a home, they also benefit from having less buyers to compete with. Sellers who must also buy have an advantage since winter holds down excess competition from other buyers. If they are the only ones looking at a specific home, chances are good that their offer will be taken seriously.

5. Spring season is just around the corner, just in case more buyers are needed

Some winter home sellers may not sell their home before spring arrives. The arrival of spring usually brings many more buyers into the market, including more families with children who want to plan moves during the summer. More buyers coming into the market means there will be more views of the home listing and perhaps more visits to the home. Winter home sellers may be seen as especially motivated to sell. As a result, homes should be freshened for the new season, and pricing should be reviewed to determine if it is still comparable or if adjustments must be made.

What Should Winter Home Sellers do?

Winter home sellers should consider placing their home on the market. Those who are able to do so benefit from serious buyers, less competition, and the ability to have their home ready to sell early in spring if they have not yet sold. Something to keep in mind is that a few markets exhibit stronger buying patterns during the winter season. Scottsdale, Arizona winter home sellers often experience the best home sale outcome by listing their home for sale in January.

Conclusion

Global Mobility Solutions’ team of corporate relocation experts has helped thousands of our clients and their transferees with real estate needs when it comes to relocation. We can help your company understand how to obtain the best advantage for home sales and purchases, whether selling a home during winter as part of a relocation by leveraging the GMS Buyer Value Option (BVO) program, or buying from winter home sellers in a new location.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Learn best practices for winter home sellers from Global Mobility Solutions, the relocation industry and technology experts who are dedicated to keeping you informed and connected. Contact our experts online or give us a call at 800.617.1904 or 480.922.0700 today.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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Buy a Home Domestic Relocation Domestic Relocation Challenges Domestic Relocation Tips Home Purchase Household Goods Relocation Challenges

What do Relocating Employees Moving with Children Need to Know?

Many relocating employees who are looking for a home are moving with children. According to the United States Department of Labor Bureau of Labor Statistics, over 33.6 million US families include children under the age of 18. Transferees are more likely to have a successful relocation if spouses, partners, and family members also support the decision.

What is Important for Families Moving with Children?

The National Association of Realtors® Research Group published a new report, “2019 Moving with Kids.” As a result, the findings show that among families moving with children:

  • 50% consider a neighborhood’s distance to neighborhood schools
  • 53% consider a neighborhoods’ school district quality
  • 86% purchase their home with assistance from a real estate agent

Therefore, relocating employees moving with children are likely to have these same considerations. As a result, companies should provide Pre-Decision Services for transferees to help them learn about their new relocation assignment.

Pre-Decision Services for Relocating Employees Moving with Children

Candidate assessments and family pre-decision evaluations help companies determine the relocating employee’s expectations about their new role and their level of skills. These assessments also highlight the candidate’s personal qualities, their family situation, and their financial readiness for the relocation. Specific points that are important to all family members including children should be part of this pre-decision evaluation.

The types of information that companies can provide to transferees moving with children for their decision-making process include:

  • Community highlights and detailed information for the local area
  • Tours of communities to help employees and family members become familiar with the area
  • School information and reports on schooling options
  • Cost estimates to cover all aspects of the household goods moves.
  • Comparison of the cost of living in the new location
  • Home sale information including market analysis

By providing helpful information, the organization gains several benefits including:

  • Higher job acceptance rates, satisfaction, and engagement
  • Greater budget accuracy
  • A reduction in policy exceptions
  • Significant cost savings

Also, employees and their family members gain several benefits as well:

  • Dedicated consultant as their point of contact
  • Expert counsel and assistance for all of their relocation process
  • Career and other support services for spouses and partners

What are the Questions a Realtor® asks Relocating Employees?

As noted in the NAR report, relocating employees moving with children are likely to work with a real estate agent for their home buying process. Transferees who work with a Realtor® should be ready to answer questions that will help guide the search for their new home. Some of the top questions a Realtor® asks relocating employees moving with children focus on what is most important to their home decision. Knowing that children are part of the family helps the Realtor® understand important questions to ask. The answers will provide the Realtor® with valuable insight as to the buyer’s objectives, including those of their children.

Tips to Help Relocating Employees Moving with Children Prepare for the Move

Relocating employees moving with children should prepare them for the move. An important part of this preparation is communication. Engage children early, and share as much about the move and the new location with them as possible. This will help ease the children’s minds, and help them feel important to the process. Consider giving them things to do to help them participate in the move if they are able and willing. Activities such as helping unpack, choosing colors, and deciding where their things should go are important to them. As a result, this will give children a sense of ownership and belonging. Help children learn how to meet people in their new surroundings by practicing conversation. Also, teaching games that other children play in their new school will help them build skills and expand their social network.

What Should Employers do For Relocating Employees Moving with Children?

It is important for employers with relocating employees moving with children to be sure to include the entire family in the relocation process. Pre-Decision Services should have full family participation so every member can feel they are an important part of the process. Family support is critical to the success of relocations. In our Case Study on Educational Institution Relocation Programs, we describe how our client was losing new hires due to a lack of spouse and partner career support.

The rise in demand for spouse and partner assistance shows how important family concerns are to transferees. Relocating employees moving with children often will also be moving with pets. Companies that also show consideration for the needs of a family’s pets will demonstrate their commitment to the employee and their family’s welfare.

Conclusion

Global Mobility Solutions’ team of corporate relocation experts has helped thousands of our clients understand how best to help relocating employees moving with children. Our team can help your company understand how to use family pre-decision services to identify matters of importance to all family members. As a result this will help ensure a smooth and success relocation process for the transferee and their family members.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation™ technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Learn best practices from Global Mobility Solutions, the relocation industry and technology experts who are dedicated to keeping you informed and connected. Contact our experts online to discuss how your company can enhance the relocation experience for employees moving with children, or give us a call at 800.617.1904 or 480.922.0700 today.

 

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Categories
Buy a Home Domestic Relocation Domestic Relocation Challenges Domestic Relocation Tips Home Purchase

Los Angeles Housing Options for Relocating Employees: Part 2, Single Family Homes

In part 2 of our series on Los Angeles Housing Options for relocating employees, we focus on single family homes. For transferees moving to Los Angeles, there are many advantages to buying a single family home as opposed to renting. While there are many housing options including condominiums and apartments, those who buy single family homes often enjoy significant benefits compared to renting.

Advantages to Buying Single Family Homes in Los Angeles

Rents in some markets exceed the cost of home ownership, so buyers can save money each month if they buy instead of rent. Also, mortgages are similar to savings plans and investments, and buyers often gain equity in the home. Buying single family homes may help transferees move up to larger homes at a later date. Transferees looking at buying single family homes will gain the most compared to renting if they plan to live in the home more than seven years. The ability to claim home mortgage interest as a deduction is a major benefit to owning single family homes with a mortgage less than a million dollars.  Employees should consult their tax advisor.

Companies should encourage transferees to buy instead of rent, in order to help them establish roots in their community. Relocating employees will be more likely to view their opportunity as a career if they commit to their new location. Companies that offer home purchase benefits are more likely to be seen as committed to the transferee. They can also save money with the Buyer Value Option Program to avoid paying tax gross-ups on commissions and closing costs.

Los Angeles Single Family Homes

Highlights of Los Angeles Neighborhoods with Single Family Homes

Los Angeles has hundreds of neighborhoods and districts. Choosing where to buy single family homes can be a daunting task. Many helpful resources are available to help home buyers learn about the history and features of locations in and around the city. If a home buyer has a few general ideas of what they are seeking, chances are they will be able to find it in Los Angeles.

Comparison of five different neighborhoods:

Santa Monica and Venice Beach: Close to the beach, thriving restaurant scene, weather about 10 degrees cooler than in the city, and the funky Venice Beach Boardwalk with street performers and public art.

Hollywood: One of the most famous neighborhoods in the world, with iconic locations like TCL Chinese Theatre, star-studded Walk of Fame, the capital of the entertainment industry, and the huge Hollywood sign on the hills above so you always know where you are.

Elysian Valley, also known as Frogtown: An up-and-coming spot along the Los Angeles River and its Bike Path, home to artists, manufacturers, several warehouses, and innovative entrepreneurs.

Beverly Hills: Featuring legendary Rodeo Drive shopping, ultra-luxury glamour, exemplary of the Los Angeles dream of making it big in the entertainment industry.

Silver Lake: East-side trendy spot with green spaces, the Silver Lake Reservoir and Dog Park for recreation, hipster-friendly lifestyle, and famous Sunset Boulevard.

What You Should Know About Buying Single Family Homes in Los Angeles

Los Angeles neighborhoods have much to offer residents and visitors. Transferees looking to buy single family homes should work with a Realtor®. A qualified local Realtor® will have knowledge of the city and the market for single family homes.

GMS spoke with Erik R. Brown of Douglas Elliman Real Estate, Realtor®, TV host, speaker, and author of “One in a Million: Everything You Need to Know to Find the Best Realtor®.” Erik agreed to share his industry knowledge and market expertise on Los Angeles housing options for relocating employees.

Erik notes that Los Angeles is enjoying a strong seller’s market right now, so what is a potential buyer to do? In part 2 of a 3 part series, Erik shares his 9 tips and ideas for buying single family homes in Los Angeles.

Los Angeles Housing Options: Single Family Homes

9 Tips and Ideas for Buying Single Family Homes in Los Angeles

1. Know What You Want

Know what you want before you start looking. What you want (and where you want to live) will play a huge role in the cost as well. Beyond the type of home, decide on what features you want, from the home style to the neighborhood. If you have non-negotiables, identify those from the beginning.

2. Be Realistic

Related to the tip above, you do need to be realistic. Tons of square footage, updated fixtures, and a pool might not be realistic in your budget. Or, you might need to broaden where you are looking to find single family homes that fit into your budget. The first home you purchase in Los Angeles might not be your dream home, but buying any home in Los Angeles is a big deal, given the high cost and competitive market.

3. Obtain Pre-Approval for a Mortgage

Before you even go look at a house, get your finances in order. Decide on your budget, how much you can put down, and obtain pre-approval for a mortgage. A pre-approval doesn’t guarantee that you will get the mortgage. However, it does mean that the bank determines that you are a good borrower. As a result, they will make a commitment to finance your home once you find one. In a market as competitive as Los Angeles, there is a good chance that sellers won’t even consider an offer if a buyer can’t provide a pre-approval letter from their lender.

4. Offer Cash

If you want to sweeten your offer, you should make a cash offer. A cash offer is more attractive to a seller because they don’t have to worry about dealing with your mortgage lender or appraisals. Cash offers can usually close quicker as well, making it much more likely that a seller will choose a cash offer over one where the buyer is financing the home purchase.

5. Shop Around and Have Options

Because the market is so competitive, single family homes aren’t on the market very long. As a result, you have to be ready to put in a bid right away. You will also want to make sure you have backup choices. Bidding wars are becoming more and more common, so you can’t assume that you are going to get the house. Make sure you have other single family homes that you like in the event that your bid is not selected.

6. Personal Enjoyment versus Investment

A buyer may also consider an area that fits their lifestyle versus an area that is gentrifying or improving. Gentrifying areas can be on the rise, but may not have all the established amenities of a more established neighborhood or area. However, this is often reflected in the price of the homes.

7. Consider a Fixer-Upper

If you are really tied to a certain location but can’t find an updated home with everything you want, consider buying a fixer-upper and put in the work to get it to what you want. This is a great way to get a home in a pricier neighborhood and give you a home that has what you want by building or renovating. Envision what a dated or non-updated home could look like with your updates, rather than focusing on what they look like currently.

8. Compromise on the Area

If you want a home less than $1 million in Los Angeles, you might have to look outside of the more upscale neighborhoods. You can explore outside of the greater Los Angeles area, but still stay in Los Angeles County, and find single family homes for much less money. The median home price in Los Angeles County is around $600,000, making it more affordable for you if you are willing to be flexible. Outlying communities still give you a close proximity to the city, but at a much lower cost.

9. The Bottom Line

Buying single family homes in Los Angeles requires you to do some work ahead of time. You need to get your finances in order. You will also need patience, and the ability to move quickly if you find a home that you like. With the right Realtor® helping you navigate the real estate market, you can make it out of the process with your sanity intact.

What Should Employers do?

Employers should share helpful information about single family homes in Los Angeles with their relocating employees. This will help transferees and their family members learn about the housing market in the city. As a result, relocating employees will have valuable information to help them easily find single family homes that meet their requirements.

Employers should also provide as much information about the new location as possible. They should work with a qualified and experienced Relocation Management Company (RMC) that can provide many useful resources to assist relocating employees and their family members. Destination spotlights that highlight many aspects of a location are helpful reference materials to share with transferees during their pre-decision process. Video destination spotlights are a great resource to visually show employees and their family members their new location in Los Angeles.

Conclusion

Global Mobility Solutions’ team of corporate relocation experts has helped thousands of our clients understand how to identify and share valuable real estate and neighborhood information with transferees. Our team can help your company share helpful information on single family homes in Los Angeles that will give transferees peace of mind as they go through their relocation process.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation™ technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Learn best practices from Global Mobility Solutions, the relocation industry and technology experts. GMS is dedicated to keeping you informed and connected. Contact our experts online to discuss your company’s need for information about single family homes in Los Angeles to share with your transferees, or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

Categories
Buy a Home Home Purchase

Los Angeles Housing Options for Relocating Employees: Part 1, Condominiums

Many of Global Mobility Solutions’ clients want to know about the Los Angeles housing options for their relocating employees. Los Angeles is a top destination for relocations. The city is also large in size as well as population, so knowing Los Angeles housing options is a priority for transferees and their families.

Los Angeles Facts

  • City limits consist of 469 square miles
  • Population is approximately 4 million residents
  • Density of population is around 8,500 people per square mile
  • Los Angeles Metropolitan Area population is approximately 13 million residents
  • The city is part of the “Southland” region with an estimated population of 18 million residents

Highlights of Los Angeles

Economy

Los Angeles is one of the most substantial economic engines within the US, with a diverse economy in a broad range of professional and cultural fields. A global city, it has been ranked 6th in the Global Cities Index and 9th in the Global Economic Power Index. The Los Angeles combined statistical area also has a gross domestic product of $881 billion (as of 2017).

Film and Television Industry

Los Angeles is the center of the nation’s film and television industry. Near its iconic Hollywood sign, studios such as Paramount Pictures, Universal, and Warner Brothers offer behind-the-scenes tours. On Hollywood Boulevard, TCL Chinese Theatre displays the handprints and footprints of famous celebrities, the Walk of Fame honors thousands of luminaries, and vendors sell maps to the homes of movie stars.

Lifestyle

Santa Monica, located west of downtown, has beautiful beaches and a vibrant nightlife. The beach is fringed by Palisades Park, with views over the Pacific Ocean. Santa Monica Pier is home to the Pacific Park amusement park, historic Looff Hippodrome Carousel, and Santa Monica Pier Aquarium. Hollywood, the home of the film industry, has music venues like the Hollywood Bowl, and Dolby Theatre, home of the Oscars.

Downtown Los Angeles has a number of excellent restaurants, museums, concert venues, sports arenas, and five-star hotels. Local favorite destinations include the Getty Center, The Grove, Griffith Park, and Olvera Street. Los Angeles was home to the Olympic Games in 1932 and 1984. It will host the Olympic Games a third time in 2028.

What are the Los Angeles Housing Options?

With all that Los Angeles has to offer, demand for housing is high. The city and the surrounding area offer many choices for housing, depending on location, interests, and preferences. Because the city is so large and diverse, there are a number of Los Angeles housing options for transferees to consider. These options include condominiums, single family houses, and apartments.

GMS spoke with Erik R. Brown of Douglas Elliman Real Estate, Realtor®, TV host, speaker, and author of “One in a Million: Everything You Need to Know to Find the Best Realtor®.” Erik agreed to share his industry knowledge and market expertise on Los Angeles housing options for relocating employees.

In part 1 of a 3 part series, Erik shares his 10 tips for buying a condominium in Los Angeles. Erik has published “Essential Tips to Buying or Selling a Condo in LA,” a helpful guide for relocating employees to learn more about Los Angeles housing options for condominiums.

Los Angeles Housing Options: Condominiums

10 Tips for Buying a Condominium in Los Angeles

  1. Determine whether a condominium is the “right fit” since you will be close to neighbors, maintenance of shared amenities is done for you, and you must comply with association rules and regulations.
  2. Hire a real estate agent who has experience buying and selling condominiums. They will know how to guide relocating employees through the process and ensure important documents are included.
  3. Obtain financing for the purchase. For buyers using a Federal Housing Administration (FHA) loan, they need to confirm the community is on the approved list. FHA usually requires 80% of units in a building to be owner-occupied.
  4. Confirm what the condominium includes, such as reserved parking, storage, and guest parking.
  5. Know how much the association fees will cost each month.
  6. Determine what the association fees include, such as shared expenses for maintenance of amenities, landscaping, and insurance.
  7. Review the association’s rules and regulations, especially with respect to pets, rental restrictions, and quiet hours for the community.
  8. Inquire about any planned special assessments that might be required for projects such as a roof replacement.
  9. Research the maintenance and management company, and determine the appropriate contacts for any issues. The company should be responsive and actively engage in enforcing the rules and regulations.
  10. Think about your future plans, as condominiums typically do not appreciate in value as much as a single family home. If you plan to remain in the condominium for up to ten years, your experience will be different than if you plan to remain only a few years.

What Should Employers do About Los Angeles Housing Options?

Employers should share the Los Angeles housing options with their relocating employees. This will help transferees and their family members learn about the housing market in the city. As a result, relocating employees will have valuable information to help them find housing that works well for their own needs, as well as for family members.

Employers should also provide as much information about the new location as possible. They should work with a qualified and experienced Relocation Management Company (RMC) that can provide many useful resources to assist relocating employees and their family members. Destination spotlights that highlight many aspects of a location are helpful reference materials to share with transferees during their pre-decision process. Video destination spotlights are a great resource to visually show employees and their family members their new location.

Conclusion

Global Mobility Solutions’ team of corporate relocation experts has helped thousands of our clients understand how to identify and share valuable information with transferees. Our team can help your company share helpful information on Los Angeles housing options that will give transferees peace of mind as they go through their relocation process.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation™ technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Learn best practices from Global Mobility Solutions, the relocation industry and technology experts who are dedicated to keeping you informed and connected. Contact our experts online to discuss your company’s need for Los Angeles housing options to share with your transferees, or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

Categories
Domestic Relocation Home Purchase

What is the Buyer Value Option Program, and How Does it Work?

Family With Children And Pet Dog Outside House On Moving Day

Companies can save money with the Buyer Value Option program. However, many companies are not aware of what this program is, and how it actually works. Global Mobility Solutions (GMS) has many clients who use this program. As a result, our clients have much success and higher satisfaction levels for new hires and transferees.

What is the Buyer Value Option Program?

Most corporations use a form of tax assistance, known as tax gross-up, to help offset the tax impact felt by the transferee receiving reimbursement. The gross-up expense can add substantial costs.

The GMS Buyer Value Option program lowers costs from income tax gross-ups associated with the reimbursement of transferee real estate closing costs.

The GMS Buyer Value Option program avoids the costly process of “grossing up” dollars used to pay for the commissions and closing costs on the sale of a transferee’s home. Typically, commissions and closing costs are associated with the sale of a transferee’s home. These two expenses represent the majority of the total costs incurred during a relocation. Reimbursement to a transferee of these expenses is considered taxable compensation by federal and state authorities.

How Does the Buyer Value Option Program Work?

Once a transferee receives a valid offer to purchase from a 3rd party buyer, and after GMS has been able to verify that all contractual terms are customary, the transferee turns the sale of the home over to GMS. GMS purchases the home from the transferee and subsequently transfers the home to the 3rd party purchaser. All closing costs and realtor commissions are paid by GMS and billed directly to the employer. Since the transferee does not incur any home sale expense, regular reimbursement of these expenses is not required.

The Buyer Value Option program allows the transferee to move quickly, and maintain their focus on the new job and community rather than on the sale of their home. Once their home is turned over to GMS, the transferee relinquishes all obligations including attending the actual closing. GMS manages the entire sale and closing process on behalf of the transferee. Transferees gain peace of mind with the knowledge that GMS is handling the sale of their home. They can also focus on their new home and enjoy their new surroundings.

What is the Buyer Value Option Process?

  1. Employee lists home with the help of GMS
  2. Similar to a traditional sale in the transferee’s eyes
  3. Once a buyer is found, GMS transfers the title from seller to GMS
  4. GMS sells to the outside buyer at closing
  5. The client is billed 10% for commission and closing costs prior to closing, eliminating the transferee’s out-of-pocket costs
  6. Home sale is closed by GMS
  7. Equity is wired in full to the transferee’s account of choice after closing
  8. GMS refunds the difference back to the client
  9. To complete the transaction there are strict IRS guidelines that must be followed

How Does the Buyer Value Option Program Reduce Risks for Clients?

The Internal Revenue Service requires putting the client at risk of owning the home in order to receive the tax benefit. If the buyer falls through prior to closing, the client will be financially responsible until a new buyer is found.

  • On average, 1.5% of properties fall through within the industry
  • However, less than 0.5% have fallen through in the last 3 years at GMS

How Do Employees Save Time?

The GMS Buyer Value Option program does not require the transferee to appear at closing. This lets the employee focus on their position and objectives, while settling in to life in their new community.

How Does a Company Save Money With the Buyer Value Option Program?

Since tax gross-ups are not required, companies can achieve significant savings. In order for an employee receiving a $24,000 home sale reimbursement to net the actual amount of the reimbursement and not feel an impact on their take home pay, it will cost a company $43,800. This cost can escalate even further if a company elects to take an individual’s actual tax bracket into consideration.

By utilizing the GMS Buyer Value Option program there is no tax gross up, and a company saves $19,800. Since the transferee does not have to appear at closing, companies also save on return trip costs.

What Should Companies With a Home Sale Program Do?

Companies that are currently reimbursing employees for the commission and closing costs on their home sale should look into the GMS Buyer Value Option program. Home sale expenses are the only remaining tax-protected relocation benefit when a company utilizes the GMS Buyer Value Option program. Companies can save the tax gross up on the reimbursement, and gain additional benefits including:

  • No need for the employee to be at the closing of their home sale
  • No return trips necessary to attend the closing if your employee is already at the new destination
  • The employee can more quickly adapt to their new role and become an effective member of the team

Conclusion

GMS’ team of corporate relocation experts has helped thousands of our clients develop their home sale and Buyer Value Option program. Our team can help your company understand how it can save the tax gross up on home sale reimbursements.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Contact our experts online to discuss your interest in the GMS Buyer Value Option program, or give us a call at 800.617.1904 or 480.922.0700 today.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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