Relocating For Work
May 1, 2025
Moving out of state for a new job can be both stressful and exciting, especially if you plan to sell your home before the move. Take some time to figure out how your new employer can help you with the move, put a timeline together, and figure out the moving and closing specifics before you start your new adventure.
Figure Out What Your Employer Is Willing To Pay
Employers are often willing to assist with some of the costs associated with moving out of state for a new job. Such benefits may include temporary living expenses, trips to look at homes in the new area, final moving costs, and more. Be sure to ask about relocation packages during the job interview process so you have a better idea of what to expect before you make the move.
In addition to what your employer offers, some states even have incentives in place to attract new residents. Alabama, Alaska, Arkansas, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Oklahoma, and West Virginia all offer generous packages, many of which are directed at remote workers.
Set a Timeline
Depending on the time of year and the current state of the housing market, it may not always be feasible to sell your home and to buy another one at the same time. If you do not receive an appealing offer for your home, it may be best to rent it out until the right buyer comes along. Similarly, if you do not find the right property to buy where you are moving, it could make sense to rent until you are ready to buy.
Your timeline should center around your ideal moving date. Once you have figured that out, you can determine what else needs to be crossed off the list before you move. If you need to buy and/or sell a home, hire a real estate agent right away. Depending on how far of a move you will be making, you may need to hire a real estate agent to help you sell your home and another to help you find a home in the area where you are moving. A good agent should be able to help you prepare your home for the market by advising you on which upgrades to make, how to stage the interior and exterior of the home to maximize curb appeal, listing, marketing, and showing the property, and more. A general guideline leading up to your move date should go as follows:
- One to three months prior to listing your home: Hire a real estate agent and get started on staging and making upgrades to the property. Start looking at homes in the area you will be moving to at the same time.
- One month before moving: Pack and finalize your plans, including how you will move your possessions and if you will hire a moving company. Allow for some extra time to account for unpredictable variables.
Figure Out Moving Situation
After you have created a timeline, think through the specifics of your move so you are as prepared as possible when the day arrives. Book a moving company and/or moving equipment as soon as you finalize the closing date(s). If you are not able to perfectly time the sale of your home with the purchase of a new home, explore the available options. For example, if you close on the sale of your current home before you close on the purchase of your new home, consider asking the buyer if they will agree to a sale-leaseback agreement to allow you to stay in your home until you finalize the purchase of your new home. Another option is to put a contingent offer on a home in order to tie the purchase of the home with the sale of your current property. However, this type of offer may not be as appealing as other offers, especially if it is a seller’s market.
Capital Gains
Capital gains play a significant role for many individuals when deciding whether to move or stay in their home. Individual owners can avoid paying capital gains on up to $250,000 and married couples filing jointly do not have to pay on gains up to $500,000 when the following requirements are met:
- You have owned the property at least two of the past five years.
- You have lived in the property at least two of the past five years.
- You have not excluded the gain from the sale of another home within two years of the sale of your current home.
If you do not meet the eligibility requirements mentioned above, you may still qualify for a partial exclusion if the conditions below are true of your situation. It is best to speak with a tax professional about your specific situation if you are unsure if capital gains will apply to you.
- Your new job is at least 50 miles farther from your current property than your previous job.
- You do not have a previous job site, and your new job site is at least 50 miles from your home.
- One or both of the above statements are true of your spouse or the co-owner of your home.
Closing On a Home
There are a few possible ways to close on a home, including simultaneous closing, concurrent closing, and double closing. Read on to determine the type of closing that will work best in your situation.
- Simultaneous Closing – Occurs when you sell your home and buy your new home on the same day. This scenario is convenient but requires close coordination between buyers, sellers, and lenders.
- Concurrent Closing – Takes place when you sell your home and purchase your new home within a short period, such as a day or two. This option provides a little more flexibility than simultaneous closing, but still requires a decent amount of planning.
- Double Closing – Involves selling your home and buying a new home in two separate transactions. For example, you might decide on a double closing if you need to move quickly to buy a new home, but you are still waiting on the right offer for the home you are selling. The downside of double closing is that you could be stuck with monthly payments on two homes if you buy before selling.
As you consider making a big move for a new job, keep in mind that there will be a lot of variables and that some parts of the move may not go as smoothly as others. Map out a timeline as early as possible in the process so you can manage the unpredictable elements as best as possible.