2007 Transfer Volume and Cost Survey
The 2007 Transfer Volume and Cost Survey from ERC has been released and once again its revealing about organizations true habits and realities regarding relocation of their employees. I really look forward to this issue every year, I guess because it always seems the most objective and consistent survey within the industry. If you don't subscribe to Mobility magazine, you can find the survey here, http://www.erc.org/MOBILITY_Online/current/0907lamech.shtml
Some of the more interesting findings this year include....companies had more homeowner relocations than renters in 2006. There aren't enough specifics to explain why, but I wonder if it could be are there more companies offering home sale benefits or has the aggressive lending environment allowed renters to become homeowners or does this year's survey contain a very different set of reporting companies?
Also notable, the #1 reluctance to relocate reason this year, "slowed real estate appreciation." This is shocking only because there are so many ways to mitigate that reason: through benefits, by policy or especially in pre-relocation counseling during the recruitment of an employee to either join the company or a take a new position in a new location. I find it amazing that someone would forego career growth, personal income growth and better "work" because they are disappointed they can't get 25% per year appreciation on their home. Now, if all these folks are people who are upside down on their mortgage...well that's a different story, but isn't that a much talked about in the media but relatively small part of the population? Of all my personal friends, I can only think of a couple who are probably in more home than they can afford in a "normal" market with a "normal" lending rate.
There are some new and not-new ideas on how companies are dealing with the real estate markets in regards to relocation, check out page 4 of the survey.
Finally, I don't remember the last year the results showed a DECREASE in the average total cost of a relocation. I don't have a clue as to what might have caused that, unless of course they only surveyed Graebel Relocation customers :)
One word about my Blog in general, I'm getting fired up again and you'll see some new commentary from me and others here about once per week between now and the end of the year. Future topics include: networking groups worth the time or not, how are some client's more helpful than others to suppliers and how much are fee-for-services destination services worth. If you have a topic you would like to see addressed, please let me know.
Some of the more interesting findings this year include....companies had more homeowner relocations than renters in 2006. There aren't enough specifics to explain why, but I wonder if it could be are there more companies offering home sale benefits or has the aggressive lending environment allowed renters to become homeowners or does this year's survey contain a very different set of reporting companies?
Also notable, the #1 reluctance to relocate reason this year, "slowed real estate appreciation." This is shocking only because there are so many ways to mitigate that reason: through benefits, by policy or especially in pre-relocation counseling during the recruitment of an employee to either join the company or a take a new position in a new location. I find it amazing that someone would forego career growth, personal income growth and better "work" because they are disappointed they can't get 25% per year appreciation on their home. Now, if all these folks are people who are upside down on their mortgage...well that's a different story, but isn't that a much talked about in the media but relatively small part of the population? Of all my personal friends, I can only think of a couple who are probably in more home than they can afford in a "normal" market with a "normal" lending rate.
There are some new and not-new ideas on how companies are dealing with the real estate markets in regards to relocation, check out page 4 of the survey.
Finally, I don't remember the last year the results showed a DECREASE in the average total cost of a relocation. I don't have a clue as to what might have caused that, unless of course they only surveyed Graebel Relocation customers :)
One word about my Blog in general, I'm getting fired up again and you'll see some new commentary from me and others here about once per week between now and the end of the year. Future topics include: networking groups worth the time or not, how are some client's more helpful than others to suppliers and how much are fee-for-services destination services worth. If you have a topic you would like to see addressed, please let me know.
posted by George at 7:49 AM
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