With the housing crisis behind most residents of Houston, the real estate market is once again booming. Sales prices are appreciating, demand is increasing and homes are moving quickly. While this is typically considered good news, it can be problematic for some Houston corporations; specifically those with strict relocation policies. It can also lead to the need for real estate litigation for potential buyers.
Houston is one of the top relocation destinations in the United States. In a competitive real estate market, transferees have a more difficult time finding a suitable home. Even if a potential buyer places bids on multiple properties, it is entirely possible that none of the offers will be accepted. Or, if they offer to purchase the property for more than its appraised value, this can make it more difficult to obtain a loan with today’s stricter lending standards. This, in turn, makes it necessary for transferees to extend the length of their house search or seek other options such as telecommuting for a certain period of time. Corporations struggle with keeping relocation expenses within budget, while at the same time remaining flexible enough with their relocation policies that transferees can find a home.
Employers who offer relocation benefits for employees may want to seek legal advice regarding their relocation policies. It may also be beneficial to establish a relationship with a law firm that specializes in real estate litigation in order to prevent potential real estate disputes with transferees and sellers in order to expedite the sales and purchase process.
Source: Houston Chronicle, “On the Move: ‘Shift Happens’: Latest real estate trends impact relocation,” Michelle Sandlin, Nov. 1, 2013.