Area Price Differential
Our ‘Area Price Differential’ analysis provides companies with a justifiable and precise method of comparing two ‘like for like’ locations for the purpose of calculating any potential differential, if it is established an employee is moving to a higher value area.
The established differential allows clients to operate ‘like for like’ or ’no betterment’ policies and cap purchase costs like stamp duty. It can also used should a company wish to consider offering Mortgage or Rental Assistance support.
What we can do…
- Using a system of unique postcode classifications, we research and create a profile of your employee’s existing property, taking into account factors such as property type, accommodation, stock, desirability and density.
- Using this data our system will then search the new area, identifying the most comparable location, in terms of the key matching criteria.
- Once this location has been identified, we ‘place’ your employee’s existing property to the matched location and establish a value of what this property would be worth.
Advantages
- Assists with implementing ‘like for like’ or ’no betterment’ caps on relocation expenditure, such as stamp duty and mortgage/rental assistance payments.
- Highly accurate and objective analysis reduces likelihood of employee challenge.
- Encourages and supports employee acceptances when moving to a higher value area.
- Balances Company and employee interests, and helps to reduce and control costs.
- Simple explanation and procedures.