Part 1: Recognizing a Reluctant Renter
In the past, relatively few homeowners became renters. When they did, it was often a lifestyle choice, such as empty-nesters who sold their large suburban home and moved into a city apartment. Today this situation is much more common — and too often an effect of the current housing market and economic conditions.
Why Homeowners Choose To Rent
In the domestic relocation services industry, some transferees cannot sell their departure home and end up renting it out and finding a rental property at the destination. Others expect their time at the destination to be limited. Still others may have been spooked by the volatile housing market in general. The most delicate employee relocation situation centers on what we call “involuntary renters” or “reluctant renters”: homeowner transferees who manage to sell their home but cannot afford to buy another one. Overall, 67% of surveyed companies in Worldwide ERC’s 2010 Transfer Volume and Cost Survey are seeing a “somewhat” to “significant” increase in the number of homeowner transferees who are opting to rent at their new location. Read More