2023 Relocation Appraisal Industry: What's Coming?

In an article from Worldwide ERC, two relocation appraisal experts share their insights on the relocation appraisal industry in 2023: Lisa M. Meinczinger, SRA, AI-RRS, ASA, CRP, RAA, CDEI, owner of Advance Appraiser Service in the Indianapolis area and member of Worldwide ERC®’s Real Estate and Mortgage Policy Forum, and Mark Gronke, GMS, CRP, president of Fidelity Residential Solutions, a firm that offers relocation real estate title services across the U.S. 

Relocation Forecasting

In 2023, relocation appraisal forecasting is still a challenge due to the changing needs of transferees and the damage caused by interest rates on an already deflated market. This has created a unique set of challenges for appraisers in terms of accurately predicting property values for relocation purposes. To address these challenges, appraisers must stay up-to-date on current trends in the housing market and understand how to adjust their models to reflect changing conditions.

Additionally, they must be prepared to work with transferees who may have different requirements than those of the past. By understanding how transferee needs have changed and taking into account the effects of interest rates on an already deflated market, appraisers can ensure that they are providing reliable estimates for relocation appraisals in 2023.

Relocation Appraisal Forecasting Challenges 

With the lifting of COVID-19 restrictions worldwide, many organizations are now considering a hybrid work model that combines remote and in-person work. This has created an increased demand for relocation appraisers to help companies accurately assess the value of their employees’ homes when they relocate.

Relocation appraisers must be knowledgeable about local real estate and rental markets, as well as the unique needs of each employee, in order to provide accurate and reliable assessments. With this new demand for relocation appraisers comes an opportunity for them to use their expertise to help companies make informed decisions about their workforce.

A Heavily Damaged Market

High-interest rates have had a significant impact on the market over the last year, and this trend is likely to continue. Meincziner and Gronke both agree that this is a major issue that must be addressed in order to ensure economic stability. Meincziner specifically points to the fact that high-interest rates are leading to an increase in consumer debt, which can cause long-term financial instability for many households.

Gronke argues that high-interest rates can also lead to slower economic growth due to decreased investment opportunities. It is clear that these two experts believe that high-interest rates are having a detrimental effect on the economy and must be addressed if we want to see sustainable economic growth in the future.

What Is Corporate Relocation?

Corporate relocation is the process of moving employees from one location to another for work-related reasons. This can happen for a variety of reasons, such as a job transfer, a new job opportunity, or a company merger. Corporate relocation can be a stressful experience for employees, as they are often uprooting their lives and moving to a new place.