The price or your home will be determined by the guidelines set forth in your relocation policy (ie the average of 2 or 3 etc) The place that really can impact you most is not only the company offer price, but also in the inspection requirement portion. *You will most likely be required to have inspections done on your home and also be required to repair even the most minor issues on the report before your company will allow you to accept the company offer.*
You can not dispute the offer amount once it is determined and it is really ideal to follow the advise and marketing suggestions from your agent and ensure they are keeping your home competitively priced for the market. *Sometimes your policy may also provide a home selling bonus to you if you sell your home to a buyer instead of taking the company offer. In this case, let your agent know the amount of the company offer and negotiate any offers you get in order to ensure you can take advantage of this option. *
But to answer your question, typically a company offer is about 5% below the average market value of your home as the appraiser will be basing his opinion on the price to sell within 60-90 days, so if the average days on market for your area is longer, they need to adjust it lower in order to ensure it sells quickly so that your company does not continue to incurr maintenance costs for an extended period of time.
My advise is read your policy carefully prior to having it reviewed by your relocation consultant so you can ask questions. The goal of your policy is to help you, not to take advantage of you and short change you so they can profit from the sale of your home. A company offer is a great benefit, especially in a market where homes are not selling. It's better to sell it quickly for less than to be stuck making payments on a home you no longer need. Good luck in your new position and with the sale of your home!
The buyout is usually the average of 2, possibly 3 appraisals...or in some cases the company offering you the buyout may hire an outiside company to get a "BROKERS OPINION" as to value. These companies will hire a Broker to give them their opinion, based on comparables, much like a comparative market analysis is done for a seller or even a buyer. I have actually been hired to many of these for private agencies. The relocation company certainly isnt going to give you better than what the market really is, but depending on your personal circumstances, career, relocation...in the grand scheme,it IS sometime best just to "cut the ties" and get on with your next step...it is all very personal. In some cases, you may be given a short time to sell on your own and then your company will "encourage" you to take the buyout..so you can settle where your new home is to be, and be an asset to them in your new position, and not distracted by your housing situation. I am a certifed relocation specialist and have been for years...I have seen people make a variety of choices...all basedon their own circumstances. If you have the time and patience..try listing with a realtor before you take the buyout...you will probably net more $....but no guarantee. If you need a CMA to help you decide,,,log onto http://www.coldwellbanker.com/for/lisa.brodsky and request a free CMA....
Before making a decision you need to look at the entire package and determine what is being offered.
Consider selling with a relo company as a dead-last resort, not a first option. Obtain a current CMA for your property and partner w/a Realtor to discuss a strategy for marketing your home. Well-maintained properties that are priced appropriately and have the right exposure in the marketplace continue to sell within 30-45 days.
Listen to solid feedback from prospects (and your Realtor)...if they are consistently commenting on the price or condition of your home in a neagative way, make the necessary adjustments quickly.
Best of luck :
Typically, the relo company will get an appraisal on your house and have you do the same through a separate appraiser. The 2 appraisals are compared and a buyout offer is formulated. You are not under obligation to accept the offer, but it is good for a certain amount of time and is there for you to accept should you not be able to sell your home within a specified period.