Category: Relocation Challenges

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Why Outdated Relocation Policies Are Holding You Back

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Young woman enjoying a cup of coffee on a rainy day

What to do about it

Today’s workforce has changed, and so have their expectations around mobility. Employees, especially Millennials and Gen Z, are looking for relocation support that’s flexible, tech-enabled, and personalized. Unfortunately, many companies are still relying on rigid, traditional relocation policies that no longer meet modern needs. The result? Low satisfaction, weak program adoption, and missed opportunities to retain top talent.

The Disconnect: Traditional Policies vs. Modern Expectations

Legacy relocation programs often operate with a one-size-fits-all approach. But employees want choice, real-time support, and tools they can access on the go. Relocation can be a significant life event, often filled with excitement and anticipation. Still, it can quickly turn into a source of considerable stress if the essentials are not in place. When individuals or families move to a new location for work or personal reasons, they typically rely on a variety of support systems and resources to facilitate a smooth transition. These essentials may include things like housing assistance, information about local schools and healthcare facilities, help with navigating the community, and support for acclimating to a new workplace environment.

Moreover, when employees feel disconnected and unsupported during their relocation, it can create friction between them and their employer. This friction can manifest in various ways, such as decreased morale, lower job satisfaction, and reduced overall engagement with their work and the organization as a whole. Employees may feel that their needs are not being prioritized, which can lead to feelings of resentment or disengagement from the company.

From an organizational perspective, this situation can have significant implications for talent strategy. A negative relocation experience can lead to high turnover rates, as employees who feel unsupported may choose to leave the organization in search of a more supportive work environment. Furthermore, it can tarnish the company’s reputation, making it less attractive to potential talent in the future. A robust talent strategy should prioritize the relocation experience, ensuring that employees have access to the necessary resources and support to make their transition as seamless as possible. By addressing these essentials, organizations can foster a culture of support and engagement, ultimately enhancing employee satisfaction and retention.

The Modern Solution: Customizable, Employee-Centric Mobility Programs

Forward-thinking HR leaders are partnering with relocation providers that offer flexible policy frameworks and digital tools, such as mobile apps, 24/7 chat support, and interactive relocation planners. These services empower employees to navigate their move with confidence, while giving HR teams the ability to track and manage the process seamlessly.

Adding feedback loops—such as pulse surveys and post-move evaluations—ensures your program evolves in response to your workforce’s needs. Instead of guessing what employees want, you’ll have real data to guide smart policy updates.

Quick Win: Try Core-Flex with Quarterly Surveys

Not sure where to start? Implementing a core-flex policy model provides employees with a base level of support, along with the option to personalize their benefits. Pair this with quarterly surveys to fine-tune offerings based on actual feedback. It’s a fast, scalable way to improve satisfaction without overhauling your entire relocation program overnight.

Ready to future-proof your relocation program?

Relocation isn’t just an HR process—it’s a strategic tool for talent mobility, employee retention, and business growth. When you modernize your relocation policy with employee-centric solutions, you create programs that are lean, aligned, and truly appreciated.

At GMS, we help organizations simplify complexity, reduce costs, and elevate the employee experience—without compromise. Let’s talk about building a relocation program your workforce will love.

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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Best Practices for Relocation: Multiple Bids for Household Goods Moves

Is your RMC helping keep relocation costs in check by taking multiple bids?

It is no secret that competition leads to various benefits, including significant savings for the end user. We have seen the opposite when a company monopolizes a product. Having one choice has never worked out well for consumers. The same applies to corporate relocation and household goods moves.

Many relocation management companies (RMCs) are either owned by or affiliated with van line companies. Therefore, when a client company wants to move its employees, the employees do not have a choice of van lines. The RMC and the van line know that the transferee is at their mercy concerning price, scheduling, and customer service.

However, some RMCs use a multiple-bid process to ensure that transferees get the best price and service. There are some significant benefits to having van lines compete for the relocation business:

  • It encourages the providers to “sharpen their pencils” to provide the lowest reasonable cost
  • It ensures adherence to a company’s relocation policy guidelines
  • It is a way to eliminate any service day surprises

This is all accomplished by having at least two carriers meet with the transferee to create estimates based on the amount that needs to be moved, what requires special handling, and where it needs to be relocated. Then, the RMC audits the estimates to look for inconsistencies, for example:

  • Do the pickup and delivery dates correspond with the move?
  • Does one company estimate more crates than another?
  • Does one company show specialty items that the other company may have missed?
  • How close are the estimated prices?
  • Auditing the bids ensures an apples-to-apples understanding of the van line options and helps weed out potential overages.

    Every carrier knows that its goal is to secure the business. As a result, it offers honest and precise quotes without extra costs. Several relocation policies involving moving companies also come with a maximum estimate guarantee. This helps ensure the relocation process follows industry standards and offers the most suitable solution.

Companies that utilize a multiple-bid process save an average of $1,547 per move! This breaks down to an average of $1,473 to $1,604 for household goods movement and $175 to $289 for car shipments per move.

Although cost is necessary, the experience of the person being transferred is also crucial. Allowing them to meet with various moving companies will help them feel more involved in the moving process. Sometimes, the person being transferred can select the moving company they prefer. 

Even if an estimate is slightly higher than another, if it falls within a certain percentage (based on the client company’s relocation policy) of the lower bid, a transferee may select the more expensive carrier if he or she feels more comfortable with that specific household goods mover. This promotes an overall positive experience because transferees are happier when they think they are heard throughout the relocation process. We all know that happy employees are more productive.

GMS Can Help Companies Save

Global Mobility Solutions (GMS) was the first to introduce the “Freedom of Choice” approach in relocation services. By implementing industry best practices and offering various options from different providers, GMC has helped client companies and their employees reduce costs for services such as moving household goods and obtaining mortgages. GMS is dedicated to creating innovative workforce mobility programs to simplify and enhance the relocation process for clients and their staff.

This innovative method reduces business costs and provides employees with greater autonomy and flexibility during their relocation. By empowering employees to select the services that best suit them, GMS ensures that each person feels appreciated and supported throughout the relocation process. This personalized strategy results in a seamless employee transition and a more streamlined company relocation process. With GMS at the helm of forward-thinking workforce mobility initiatives, businesses can save costs while ensuring employees enjoy a positive and hassle-free relocation journey.

Ready to Calculate YOur Program Savings? Request Access Now!

Are you ready to calculate your potential relocation program savings? Request access to our easy-to-use Relocation Cost Savings Calculator. Your Mobility Pro will grant your access request within 1 business day.

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The Benefits of a Preferred Relocation Real Estate Agent

real estate agent meeting a newly wed couple with young kid
When meeting with the young family at the house showing, the mid adult female real estate agent reaches out to shake hands with the mid adult husband.

Pros of Using a Preferred Relocation Real Estate Agent

If your current employer has offered you a new position in a different city or state, or if you are accepting a new job in a new location, you probably have dozens of questions about the relocation process and how it works. Like most relocating individuals, one of the most prominent questions is most likely the concern about selling your home. 

Many transferees who are getting ready to move (or those still weighing options with an offer) often wonder if they are on their own for selling their house or if the corporate relocation company their employer is partnering with will do that. Going a level deeper, those moving then wonder if they are in charge of hiring their real estate agent. 

The answer to that question is simple: you have the power. Many relocation policies offer support when it comes to home-selling assistance. If home selling assistance is one of your relocation benefits, it is an excellent idea to capitalize on that. Now the question becomes, should I use a friend or family member to sell my home or be assigned a specialized relocation real estate agent? While many transferees may want to go with the first option, allowing the relocation specialist to handle the sale might make more sense. Here’s why:

Using an Experienced Relocation Real Estate Agent

Many relocation companies urge the relocating employee to select an agent from their vetted real estate network. They can then guarantee that the agent is familiar with relocation policies and will know the nuances of the relocation process. This will ensure that the transferee maximizes their benefits by taking advantage of every aspect of the home-sale program. Transferees that stick with their company’s established home sale program commonly sell their homes more quickly, arrive at their destination less stressed, and are ready to work. 

Leveraging your company’s home sale program, your relocation company’s point of contact can coordinate the entire move process for you—from the relocation appraisal to the moving of your household goods and, finally, the end of the sale of your property. Additionally, relocation real estate companies will recommend multiple agents for you to interview before deciding, placing you in control.

Real estate agents who are not experienced with the relocation process might not be as active, know how to maximize savings and profits or understand how to utilize relocation benefits properly. If they need more understanding of how corporate relocation processes work, this will slow down the sale of your home.

Out-of-Network Fees

In addition to the valuable experience that a vetted relocation-specialized agent can provide, it is better to use a relocation company’s agent because many relocation companies charge sizable out-of-network or referral recovery fees when agents outside their networks are utilized. Many companies state in their relocation policies that using an authorized agent is mandatory to receive your benefits. In this case, you will not be able to benefit from specialized home sale programs designed to help you sell as quickly as possible, for as much as possible.

Get the Most Out Of Relocation Real Estate Benefits

Selling your home is just one of the first steps to take for a successful relocation for you and your family. That is why working with relocation specialists who know how to get you the best deal possible for your home is vital. If you have any questions about relocation real estate benefits or need to contact a vetted agent who can guide you through the process, don’t hesitate to contact us online today. One of our team members will reach out to assist you with your questions.

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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Sustainability in the Relocation Industry

Close-up of children holding a planet at the beach
Close-up of children holding a planet at the beach

Relocation Management Companies should be aware of sustainability

Most companies’ interest in corporate environmental sustainability is on the rise. Everyone is looking to reduce carbon footprints without disrupting their business practices. A World Economic Forum report showed a 16 percent increase over the last five years in global public concern for nature. 

Having a grasp of sustainability in the context of the global mobility and relocation sector enables organizations to implement beneficial transformations that benefit both their staff and the environment. 

At Global Mobility Solutions (GMS), we are all looking for ways to protect the environment and reduce costs for our clients and their employees. When looking at ways to improve your global mobility program’s sustainability and how to reduce your carbon footprint, here are some things to consider.

Partner with a Professional Organizer

Partner with a “Discard and Donate” company that offers a professional organizer to assist your employees in preparing for their move.  This saves the client money by reducing the shipment size, and the program cost will always be less than the savings on the move.  Consider updating your relocation policy to cover some of these program costs to help encourage your employees to purge before moving. This can help reduce wasted materials and ensure that unwanted household goods go to good use instead of the trash. 

Also, Introduce a weight cap on your household goods moves.  This cap can vary by tier or by homeowner vs. renter. This will encourage your employees to consider discarding unwanted items before shipping them on your dime.

Partner with Move for Hunger

GMS is a proud partner of Move for Hunger. Move for Hunger offers your employees the option to donate their non-perishable food to a local food bank at the origin location. Items such as canned veggies, fruits, stews, soups, beans, tuna, pasta, sauce, baby food, flour, cereal, oatmeal, juice, rice, peanut butter, and jelly can be donated.  

Since its inception in 2009, over 10 million pounds of food have been donated through Move for Hunger and its partners to help feed the food insecure in the US and Canada. We suggest adding policy language to encourage transferees to contribute to this cause.

Offer Employees Furniture Rental Allowance

For international relocation assignments, GMS urges clients to consider extending a furniture rental allowance instead of shipping household goods.  Many relocation management companies partner with furniture rentals for temporary furnishings, another cost-effective way to reduce the carbon footprint.

Make Sure Your Vendors Are Green

GMS has a strict vetting process for working with household goods movers and corporate housing providers. We don’t just work with anyone. During our interviewing process, we ask vendors about their sustainability protocols and what they do to go green. Suppliers who use green clean methods help cut down on wasted resources.

Add Virtual Tools to the Relocation Process

First off, partner with real estate agencies that offer virtual tours and virtual closings for properties to minimize the need for in-person meetings and reduce the environmental impact of transportation. 

Contract with household goods providers who are experienced in using virtual surveys. GMS aims to streamline the relocation process while minimizing its environmental impact. Virtual surveys allow for accurate estimations of shipments without the need for physical visits, reducing unnecessary travel and fuel consumption. Additionally, GMS encourages suppliers who utilize recycled packing materials, further contributing to waste reduction and sustainability efforts.

Virtual services encompass a wide range of offerings within GMS, including assistance for spouses and careers, language and cultural training, and, whenever feasible, support for housing, banking, and registration in the destination country. These services can be provided in different ways, such as through video calls, virtual tours of potential homes, and online platforms for cross-cultural training, with the help of local consultants. 

Minimizing the need for in-person visits has a positive impact on the environment, as fuel consumption is reduced. Additionally, the assignee benefits from increased support from the local consultant, as less time is spent on transportation.

Ensure You’re Working with Real Estate Agents Who Practice Going Green

Real Estate agents can also help the relocation process be more environmentally friendly.  Most agents work from home and are completely paperless. Because they spend a lot of time in their cars, many offer to carpool with clients for a more sustainable transportation option.  

When showing properties, agents encourage using energy-efficient light bulbs and turning off lights before leaving any property. By promoting properties with energy-efficient appliances, solar panels, and sustainable building materials, agents can help reduce the carbon footprint of the real estate industry.

When selling a home and the potential cost of utilities is on a client’s mind, agents often suggest they use native plants in landscaping, which require less water and maintenance than exotic species. Desert landscaping is also recommended in dry areas. This not only helps conserve water but also supports local biodiversity.

Many Realtors have obtained a NAR Green Designation. The course focuses on People, Property, Planet, and Prosperity. By completing this course, real estate experts are equipped to provide guidance and access to resources that can assist homeowners in enhancing the efficiency of their residences. This support ranges from affordable solutions and do-it-yourself initiatives undertaking extensive renovations or constructing new homes.

By implementing these practices, our preferred real estate agents can significantly impact the environment and contribute to a greener future. Together, we can create a more sustainable real estate industry that benefits our clients and the planet.

GMS Leads the Relocation Industry in Sustainability

At GMS, we understand the importance of responsible business practices and strive to impact the environment positively. By partnering with like-minded household goods and corporate housing providers, we can collectively work towards a more sustainable future while providing exceptional service to our clients.

In conclusion, GMS prioritizes sustainability and responsible business practices and offers flexible relocation policies to accommodate the diverse needs of our clients. Relocation Policies empower transferees with small shipments to arrange their self-move quickly and flexibly, ensuring a hassle-free experience. Partner with GMS today and let us handle your relocation services needs while working towards a more sustainable future together.

Ready to Calculate YOur Program Savings? Request Access Now!

Are you ready to calculate your potential relocation program savings? Request access to our easy-to-use Relocation Cost Savings Calculator. Your Mobility Pro will grant your access request within 1 business day.

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Corporate Relocation Corporate relocation tips Relocation Best Practices Relocation Challenges Relocation Management

Tips & Tricks Navigating the Legalities of Corporate Relocation

a man and a woman packing after navigating the legalities of corporate relocation

Understanding Corporate Relocation

Navigating the legalities of corporate relocation can be a complex yet vital task for any organization considering a shift in their base of operations. This blog post aims to act as a compass, providing valuable insights into this intricate process.

Relocating your corporate headquarters is more than just a physical move. It entails transferring your business’s operations, assets, and sometimes, even employees to a new location. Various factors can spur this decision—expanding business operations, accessing a new market, or seeking cost-effectiveness. However, the process involves navigating numerous logistical, operational, and legal hurdles.

Legal Considerations in Corporate Relocation

First and foremost, let’s delve into the lease and property agreements. These contracts form the bedrock of any relocation process. Understanding the terms, especially regarding early termination, potential penalties, and the legal requirements for setting up a new lease.

Next, zoning laws and regulations are often overlooked but are equally important. Adhering to local ordinances is vital. Additionally, some locations may require special permissions or permits.

Lastly, the impact on your workforce is considerable. Employment law considerations are necessary when managing employee relocation, understanding termination rights, and modifying employment contracts.

Impact of Corporate Relocation on Taxes

Transitioning to the subject of taxes, relocation may significantly affect your corporate tax liabilities. Understanding the nuances of federal and state tax laws is paramount. Moreover, familiarity with double taxation agreements can prevent unexpected costs.

Interestingly, many regions offer government relocation incentives to attract businesses. These can offset some of the costs associated with moving, so it’s worth exploring these options.

Navigating International Corporate Relocation

On the other hand, international relocations present unique challenges. Not only do you need to understand international law, but you also need to manage the complexities of international tax rules. Moreover, cultural and ethical considerations play a crucial role in the success of an overseas relocation. One of the significant challenges of international corporate relocation is ensuring a smooth transition for your workforce in a foreign environment.

Tips and Tricks for Navigating Corporate Relocation Legalities

Now, let’s equip you with some practical tips. Early consultation with legal experts is a must. They can help you navigate the legalities of corporate relocation, ensuring you’re on the right side of the law. Keep the following in mind: 

  • Keeping thorough records and documentation of all aspects of the move is equally important. Such records serve as a reference and can be vital in legal disputes.
  • Moreover, consider utilizing corporate relocation services. These experts can manage the logistics, allowing you to focus on maintaining business operations.
  • Compliance with all relevant laws and regulations is non-negotiable. It protects your organization from legal repercussions.
  • Lastly, communication with all stakeholders helps manage expectations and facilitates a smoother transition.

Case Study: Successful Corporate Relocations

Several organizations have successfully navigated the legal maze of corporate relocation. Their experiences underscore the importance of early planning, legal consultation, and effective communication. These lessons can provide a valuable roadmap for your own relocation process. You can download free corporate relocation case studies here.

The Role of Moving Companies in Corporate Relocation

Amid all the legal and logistical considerations, hiring a professional moving company can be a game-changer. These experts handle the physical aspects of the move and often provide valuable advice on how to streamline the process when moving on a tight schedule. By doing that, they are sure to help you move your office quickly. A reliable moving company will ensure your business assets’ safe and efficient transportation, thereby reducing the risk of damage or loss.

Helping Employees Adjust After a Relocation Assignment

Also, helping your employees adjust after a relocation assignment is another crucial aspect. Providing support, such as cultural training or financial assistance, can help mitigate relocation stress and promote faster adaptation to the new environment.

Cultural understanding becomes crucial when relocating to a new area, especially internationally. This entails studying the new location’s business etiquette, social norms, and communication styles. On the other hand, ethical considerations involve respecting and integrating local customs into your company culture, ensuring a smooth transition for your employees, and fostering positive relationships with local businesses and communities.

Post-Relocation Considerations

Even after the relocation is complete, the work is still ongoing. Post-relocation evaluations are necessary to assess the move’s success and identify areas for improvement. These insights can be invaluable for future relocations or other companies looking to make a similar move.

Mastering the legalities of corporate relocation can seem like a daunting task. However, the process can be less overwhelming with early legal consultation, careful planning, and clear communication. Working with an experienced relocation management company such as Global Mobility Solutions (GMS) can help reduce the stress of an office move.

Remember, each relocation is a unique journey, but with the right tools and guidance, you can turn this challenging process into a successful venture. This guide is your first step towards understanding the complexities and, in turn, executing a smooth and compliant corporate relocation. Reach out to GMS today with any questions you may have about corporate relocation.

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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The Challenges of International Corporate Relocation

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Children Helping Unload Boxes From Van On Family Moving In Day

Use this international relocation guide to overcome some of the common challenges

The international corporate relocation process can be a daunting venture. It requires extensive planning and coordination to get employees to their new home country. For growing companies, relocating employees abroad has become an all-too-familiar task. From efficient shipping protocols to secure job placement services upon arrival, the complexities of the global mobility process must involve a strategic approach. For this reason, today, we will discuss the challenges of international corporate relocation. We will assess the steps you must take to overcome these challenges to seamlessly get employees from point A to point B.

1. Paying Suppliers Internationally

Managing international relocation for a business involves countless vendors, often requiring payment across different countries and currencies. This creates numerous logistical challenges. The main one is, finding secure methods to pay local suppliers abroad and ensuring the payments are authorized. However, many relocation management companies have recently expanded the number of digital payments they support. This means that nowadays, it’s much less of a hassle to go through this process than it was in the past. As long as you are working with a reputable vendor, you don’t have to fear potential payment delays or have any security concerns.

2. Language Barriers

When moving abroad, language barriers can be a considerable challenge. This can be an issue even in countries where English is relatively widespread. Therefore, business owners need to consider the complexities that nuances and culture bring to the table when relocating. As a company owner, you must be aware of these potential differences and prepared to address them if necessary by providing employees and their families with language training. This is the only way to guarantee a successful corporate relocation. That being said, while reliable translation services can help minimize issues with language, businesses shouldn’t stop there. Depending on where you are relocating your company, offering extensive employee training may be necessary. Furthermore, one of the work productivity tips is to enable your employees to learn and speak a new language. This is one of the best ways to stay productive as they assimilate into their new environment.

3. Cultural Differences

Navigating cultural differences often poses the biggest challenge for businesses undergoing international relocation. Different countries have different cultures and customers. As we’ve mentioned, this includes language barriers but doesn’t end there. It also includes religious differences, social etiquette, and more. These things can create difficulties for companies settling into a new community. As such, businesses need to educate their staff on the culture of their new destination. Companies must also ensure that their relocation policies align with local societal norms. Furthermore, pairing up with experienced consultants familiar with the local culture is crucial. This will ensure a smooth transition.

4. Immigration, Tax, and Legal Issues

The legal and tax implications of relocating a business or employees internationally can be confusing and complex. Professional guidance and assistance are often necessary to ensure nothing goes wrong once the company settles in. That being said, professionals can help companies navigate local regulations and compliance requirements of domestic and international tax systems. Additionally, company owners, as well as their employees, must consider any current permits or visas that are necessary for residence in the new country. This also includes consideration for their existing financial obligations. For this reason, thoughtful planning and research are key. Therefore, if you are moving your company, plan ahead and figure out as much as you can before you get into the relocation process.

How to Ensure a Successful International Corporate Relocation

As we’ve said, there is no better way of ensuring a successful international corporate relocation than planning ahead. This is a huge process, and it may necessitate months of preparation. As an employer, you need to develop relocation policies around short-term housing options, relocation allowances, visa applications, and various other aspects of relocation. The goal is to make global mobility as easy as possible for your team. If you fail to do this, you may have issues with employees accepting an international assignment. Offering your employees help will make them feel comfortable in the new environment. However, once the relocation is over, you should also help your employees transfer funds and open bank accounts. Adequate preparation and policies in place will not only make for a successful move but will also help maintain morale and productivity during the period of transition.

GMS Provides Resources for Companies Looking To Relocate Employees Abroad

Global Mobility Solutions (GMS) is here to assist with the process of international relocation with comprehensive knowledge and technology that can help companies with all their questions and concerns. Our team of international moving experts can aid your employees in making a smooth transition to a new work environment. With these resources at your fingertips, employees will be able to cross borders and settle in at their new destination confidently.

International corporate relocation can be a complex process. However, by understanding and planning for the challenges ahead, and working with GMS, companies can minimize the risks involved. With careful research and proper preparation, there’s a chance to reduce costs and make a better transition for employees. Reach out to us today to set up a risk-free consultation.

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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2023 Real Estate Trends: States People Are Moving to and Why?

man smiling while moving boxes into his new home
Portrait of a young man carrying a box while moving house

These are the states that are seeing a significant increase in population and some possible reasons why

Relocating for professional or personal reasons can be an excellent decision for both. New beginnings bring new opportunities to advance your career or grow yourself in a new destination. For 2023, we will use real estate trends to predict which states people will migrate to.

But before we start to look at which states are drawing new people in, let’s review some of the significant factors in why people are looking for a relocation change.

Cost of Living and Affordability

Housing affordability is decreasing as Americans seek cheaper homes and cheaper living in other states/cities. 2022 saw many moving due to money/costs, but 2023 looks to have a more steady housing market, making moving possible for many.

Americans searching for economic stability evaluated the financial implications of city vs. suburban life. Remote work has enabled many who live in costly cities to transition to cheaper places without giving up job prospects. This U.S. relocation trend explains the growing number of people departing urban regions for the suburbs.

Remote Work Options

Since the Covid-19 pandemic, most previously office-based companies have moved to either full-time remote work or hybrid schedules with remote work options. Now that many people in the workforce have the opportunity to work remotely, they now can choose to live wherever they want. 

In the past, employees would have to live within driving distance of their office to be at work on time, which made significant cities the apparent hotspots in the country. But with people able to log into work from the comfort of their homes, they are looking for homes in less crowded destinations. 

In 2023, working from home will be a permanent fixture for many companies. This will have employees seeking a new destination they have always wanted to live in. States with warmer weather and cheaper costs of living are the prominent front runners for those looking to move this year while working remotely.

Top States People are Moving to in 2023

2022 saw significant growth in certain states, trends that may repeat in 2023. Those with more room, cheaper living and remote work will be the best spots to reside in America. Here are the top four states people are migrating to in 2023:

1) Arizona

Arizona’s year-round sunny weather makes this an obvious destination for those looking to relocate to a place for outdoor activities. The Phoenix suburbs are growing in population yearly, with towns in the East Valley like Mesa and Gilbert leading the way. Hiking and golfing are activities that can happen in Arizona any day of the year.

And if taking in the sun by the pool or on the golf course isn’t something you’d want to do every day, northern and eastern Arizona have plenty of forests to explore with four-season weather. And let’s not forget the great wonder of the world, the Grand Canyon, which is a driving distance from the Phoenix area, for a weekend getaway.

2) Georgia

Georgia anticipates a rise in population. This Southern state has an impressively low unemployment rate of 2.9% compared to the national average. Furthermore, the cost of living and taxes are relatively low, making it an attractive place to live. 

Living in urban areas such as Atlanta and Savannah offers many job prospects due to the presence of renowned corporations like Home Depot, UPS, Delta Airlines, and Coca-Cola. When not working, Georgia’s inhabitants can explore the Chattahoochee-Oconee National Forest by hiking, camping, or biking, or visit the Georgia Aquarium, meander around the City Market in the Landmark District, or take in spectacular sights at Rock City atop Lookout Mountain.

3) Idaho

Idaho has a high population growth rate due to its desirable mountain location and low crime rate. People are moving into the state, particularly to the city of Meridian, faster than they are leaving. Those looking for more space and a good job have the opportunity to join a thriving economy in Boise, one of the top U.S. cities for job-seekers. People nearby enjoy going to well-known places in the state such as Craters of the Moon, Sawtooth, Lake Coeur d’Alene, and Shoshone Falls Park.

4) North Carolina

North Carolina’s low cost of living and substantial job opportunities have attracted many people. Areas like Charlotte and Raleigh have experienced population growth in recent years. Research Triangle Park comprises Oak City, Durham, and Chapel Hill, a hub for science and technology and great for young STEM professionals.

Asheville is one of the top cities to live in in the South. One of the locals’ favorite activities is bird-watching at Cape Hatteras, hiking Chimney Rock State Park, and driving the Blue Ridge Parkway.

Keep Up with GMS for Real Estate Trends

As the industry leader in relocation services, Global Mobility Solutions (GMS) always stays up with industry trends and news. Real estate trends are not only something our relocation experts monitor but study. We take great pride in knowing that our team always strives to gain as much global mobility knowledge as possible. 

If you are considering a relocation for you and your family, contact us today to see if you can take advantage of our Employee Choice Program. If you are an HR or hiring manager looking to create or update relocation policies for your company, set up a free consultation with one of our business development managers.

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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5 Terms to Include in a Competitive Relocation Package

family enjoying pizza in their new home with moving boxes around
a young family move into their new home and have pizza for their first meal

Make your relocation offer competitive by including these policies

Every year millions of people move for new jobs. Relocating for your professional career is familiar, but the relocation industry has changed since the Covid-19 pandemic. When it comes to offering relocation packages to employees willing to move for a new position, studies show that employees are more reluctant to move if there is a higher cost of living in their new destination. 

Another factor for employees not wanting to relocate is the start date. Companies often ask employees to be in their new seats within 30 days of signing the offer letter. So, what can companies do to work around these distresses? 

Companies who are asking talent to relocate for a position should look into offering employee relocation packages. These packages help offset the stress of moving by providing financial assistance and corporate housing so that the employee can relocate as seamlessly as possible. 

While every company has different opinions on what should and should not be covered regarding talent mobility, a few basic policies should be included in every relocation package. Here are five terms to make your company’s relocation package appealing to applicants so that they cannot refuse your offer:

1) Real Estate Programs or Lease-Break Assistance

A survey by Worldwide ERC showed that selling a home for less than it is worth is the most expensive part of relocating. When time is limited, employees are often forced to accept a lower sale price or pay a financial penalty for ending a lease. Often, employees are scared they will get stuck paying two mortgages or rent payments for multiple months, which could hurt them financially. 

If companies want a shot at landing top talent for an open position, they will include financial aid coverage for breaking a lease. If the employee can get out of their current rental at little or low cost to them, they are more likely to accept your relocation offer. 

For applicants who are homeowners, offering home sale assistance and home-buying assistance programs in the relocation package would be a massive perk for them. Standard relocation real estate programs include BOV, GPO, or Direct Reimbursement. Each of these programs has different pros and cons. But every moving employee will have different needs, so options can make any offer even more appealing.

2) Moving Expenses

This one may seem too easy to list, but it is essential. Very few people save thousands of dollars regularly if they may have to move unexpectedly. So, if an employee is mulling over your offer, the price of moving may be daunting in the back of their mind. But if your company were to cover or assist in the moving expenses, it could quickly put those thoughts to the rest of the employees. 

There are numerous ways to assist an employee with relocation costs. Most companies go the route of reimbursement programs, but there are packages where the company will handle everything on behalf of the employee so that they do not have to worry about it. Again, each different kind of program will have its pros and cons. 

It’s worth noting that no matter which method your company chooses to use for handling relocation expenses, some relocation technology can help keep spending within a budget.

3) Transportation Costs

Moving can be costly, by car or plane. Visiting the new spot before relocating is necessary to find housing and get to know the area. Relocation packages typically include reimbursements for two or three trips. This can also be a chance for the transferring employee to search potential neighborhoods and schools for their family.

4) Tax Implications

Relocating employees can face an unanticipated problem with taxes concerning relocation benefits. An employer may give a ‘relocation lump sum’ to cover relocation expenses, which is taxed as extra income at the employee’s ordinary tax rate.

Employees with a 25% tax rate will be taxed $2,500 on a $10,000 lump sum. This can be a financial strain, so many companies increase the lump sum to cover taxes.

5) Miscellaneous Expenses

One last suggestion to make a solid offer to a potential candidate is to have a miscellaneous expenses policy in your relocation package. Employees may incur costs when relocating. Ask them what expenses they anticipate and offer assistance to cover them, such as vacation days, spousal income loss, and packing services.

GMS Specializes In All of These Terms and Conditions

Look no further if your company needs help updating or creating employee relocation packages. Global Mobility Solutions (GMS) has been helping companies with their relocation services needs since 1987. Our expert team will listen to your wants and needs, then assist you in putting together the best relocation policies to make all your offers to new employees appealing for them to accept a relocation assignment. We specialize in helping companies provide their employees with the terms mentioned above. 

Reach out to us today to set up a free consultation. Within 24 hours, one of our business development managers will be in touch to get you started on setting up the most competitive relocation package in your industry.

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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Global Relocation Tips Global Relocation Trends Household Goods Relocation Best Practices Relocation Challenges Relocation Management

Many Ocean Shipping Lines Are Moving to Aircraft

airplane flying over large shipping containers
Airplane flying above container port.

Many household goods shipping companies are investing in air travel

As shippers look for more efficient ways to ship household goods worldwide, ocean freight companies are increasingly turning to air cargo. Although airfreight represents only a tiny section of the broader cargo industry, the pandemic has caused it to become more prominent due to supply chains, travel bans, and consumer spending issues.

 

Air travel has become increasingly important for companies engaged in maritime trade due to the recent pandemic. With more people shopping online, household goods shipping companies are struggling to keep up with demand. This has caused ships to be idly anchored at congested ports, unable to dock for weeks at a time. Further complicating matters is a shortage of workers assigned to load and unload vessels. Containers that could be used to hold exports are instead sitting unused, while exporters with plenty of goods to ship need help to get containers.

 

 

The three dominant European container shipping companies (AP Moeller-Maersk, CMA CGM Group, and Mediterranean Shipping Co.) have primarily avoided airfreight, feeling that it is an expensive distraction from their core businesses of operating giant vessels, container terminals, and related logistics operations around the world. However, executives claim that many customers are now opting for air shipping because it is more cost-effective and reliable. Maersk, the world’s largest container shipping company, began an air cargo division in April last year and now has a fleet of 15 planes.

 

Ocean Freighters Turning to Buy Air Planes

Boeing and Airbus are now part of this equation as they started selling freighter versions of their newer widebody planes. These freighters are more fuel-efficient than older cargo jets. And to show the rising demand for converting old passenger planes into freighters, it should be noted that some have been booked up for years.

 

In recent reports, Maersk is anticipating free cash flow to be about $19 billion by the end of 2022. The company plans to obtain seven Boeing 767s (purchase three and lease four) by the new year. The idea would be to have aircraft fly routes between Asia, the United States, and Europe. 

 

Last year, Maersk moved into the air cargo game and increased volume by 100% after purchasing German air freight company, Senator International. In addition, Maersk has been buying airplanes for its air cargo division, which was formerly called Star Air. The division, contracted by United Parcel Service Inc. and Germany’s DHL to fly freight, now operates with 15 Boeing-made 767 freighters.

 

Also, earlier this year, CMA CGM, the world’s third-biggest ocean shipper, agreed to share cargo space with Air France-KLM. And on top of that, CMA CGM said it would buy a 9% stake in the airline.

 

Numbers released by the International Air Transport Association (IATA), last year, the airfreight industry grew over 21%. This means that revenue will increase to $289 billion in 2022, up from $238 billion last year.

 

Boeing reported that about 400 freight planes had been added to the world fleet in the past three years. This is an eye-opening 20% rise. Boeing is now estimating that the global freighter fleet will increase to about 3,600 by 2040. To put that number in perspective, it is currently around 2,000.

How Increased Airfreight Will Affect Global Mobility & Relocation Industry

In the past, airfreight for relocations was too expensive, and many relocation companies didn’t even consider it an option. However, the lowering costs and the congestion of ports have now made a more realistic answer for many.

 

As airfreight rates become more affordable, international relocation companies can choose to ship household goods by air. With more employers turning to lump sum packages for relocations and ocean shipping delays being a common factor, transferees are leaving more of their belongings behind when they move abroad for a work assignment. The fewer belongings the employee brings means the quicker they can move, meaning the more likely they are to choose airfreight for their next relocation. Although the airfreight method is still quite costly, it eliminates many relocation delays, significantly improving the transferee’s experience.

 

Global Mobility Solutions (GMS) is the industry leader in Global Mobility, which is why we stay on top of all topics regarding relocation. Visit our Knowledge Base to learn more about hot topics in the relocation industry. And feel free to reach out to us with any questions regarding the household goods shipment.

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Categories
Home Purchase Labor Force Relocation Best Practices Relocation Challenges

What Is an iBuyer?

Explanation of an iBuyer and why transferees shouldn’t use them

There is no doubt that selling or buying a home can be complex. More prominent real estate companies started buying and selling homes through iBuying. This newer way to sell houses and property popped up. 

But what is an iBuyer? How does it work? Is it worth it for me to sell my home to one? 

An iBuyer, in simple terms, is a real estate company that leverages technology to buy and sell homes in hopes of making a quicker sale than the traditional real estate process would. The main reason is that with iBuyers, people can buy and sell homes almost entirely online, and the buyer may never even step foot in the house before signing the dotted line. 

While some iBuyers have been around since 2014 but mainly due to the Covid-19 pandemic, iBuyers started to take a hold of a decent portion of real estate transactions. The main reason is that home buyers and sellers could show or search for houses online and take virtual tours. Then they could make offers and complete the process online before getting to their new destinations.

iBuyers vs House Flippers

Many people confuse iBuyers as being in the same realm as house flippers. Flippers typically buy properties at low prices and then relist the house for a higher price in hopes of making a profit. 

iBuyers look for homes that are more market-ready than those houses flippers purchase. iBuyers tend to make a more fair offer for what the property is worth during the market’s value. Fees are short. All iBuyer companies have fees worked into their submission. 

Should I Use an iBuyer?

Often, people who are in a hurry to get to their new destination turn to iBuyers. They think that because their process is more accessible than the traditional way, they can be on their way sooner. But relocating for a job, using an iBuyer, is probably not the best route because you could be leaving money on the table. 

If you are relocating for a new position, the first step is to review any relocation benefits offered by your new company. For example, employee relocation packages often offer home buying and home selling programs. This means there could be special programs that help moving employees sell their current homes and buy a new house in their new destination. 

When employees take a relocation job, they often think they will not have enough time to sell their home before their start date. This would make many believe that an iBuying company is the way to go. But any reliable relocation management company (RMC) would strongly side against iBuyers. 

Advantage of an RMC over iBuyers

Some of the most sought-after relocation benefits are home sale programs. In basic terms, relocation home sale programs provide assistance to homeowners so that they can move to their new city for the desired or assigned start date. Each RMC will have different terms and conditions for its offered real estate programs. But most programs will include payments to cover real estate commissions and closing costs. Therefore, every home selling assistance program differs depending on the seller’s/buyer’s situation. The type of program a moving employee can use also depends on relocation policies specified in the employee’s offer letter. Direct Reimbursement, Buyer Value Option (BVO), and Guaranteed Purchase Offer (GPO) are three of the most commonly offered relocation home sale programs. 

Each of these programs offers different advantages to transferees. Direct reimbursement is the most common program. This home-selling program is where the employee will list and sell their home on their own and be reimbursed by their new company for closing costs and other fees. 

The BVO program is where the RMC will buy the home from the moving employee and sell it to a buyer with a competitive offer. Finally, the GPO program is the handiest; this is where the employee will list and try to sell their home independently. If, after a set amount of time (typically 30-120 days), the employee is unable to sell their home, the RMC will purchase the home from the employee so that they can make it to their start date on time.

GMS Employs Real Estate Experts

Global Mobility Solutions (GMS) has been the industry leader in relocation since 1987. We’ve assisted in millions of moves since and have taken pride in making a seamless relocation process with top-notch customer service. We understand that selling a home in a tighter time frame adds to stress. 


That is why GMS only employs the best real estate experts to help our clients sell and buy homes promptly while getting checks next to all their needs on their list. With over 30 years of experience, GMS knows how to get relocating employees moved on time without leaving too much money on the table. For more information on our home-selling programs, please reach out to set up a free consultation on how GMS can help. Or check out our Knowledge Base for more insight on other services GMS can offer those looking to relocate for a new job.

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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