As an employer, your goal is to get relocating employees on the job as quickly as possible. It’s why you provide relocation benefits, are we right? But sometimes, external forces slow relocations down—and one vexing example is the housing shortage.
It’s classic cause-and-effect: employees can’t relocate without a place to live, and the longer it takes to find one, the longer it takes to move. The resulting uncertainty creates stress all around: for employees, their families, their bosses-to-be—even coworkers.
The good news is, there are steps you can take to sidestep this hurdle. The key: understand what’s driving your local housing shortage, identify solutions—we’ll give you some—and then put them into place, updating your relocation policies as needed.
Yes, the housing shortage is real—and may get worse. But with some planning, problem-solving and creativity, you can keep your employees’ relocations on schedule, while minimizing their stress and yours.
Although it’s cooling slightly, the U.S. real-estate market has been white-hot for a while, fueled largely by record-low mortgage rates. According to Realtor.com:
Given these conditions, it’s likely taking longer for relocating employees to find a great new home in their budget, let alone close on it. And renters are also impacted, because rents have soared nationwide, too.
But the market is only part of the problem. The U.S. is facing a true housing shortage—we’re 3.8 million homes short of what’s required to meet current housing needs. This is according to Up for Growth, a policy and research group, which claims that this once coastal, big-city problem has spread to most of the country.
In fact, in the organization’s analysis of 300+ cities, more than three-quarters are experiencing a housing shortage.
The question is, what can employers do about it?