It is essentially an issue affecting companies that provide their relocating employees with financial assistance to compensate them if they are moving to a higher cost housing area. So if that’s not you, either as someone involved in HR or as someone who has been relocated, then you are unlikely to get anything from this blog.

This process is known by a variety of names including
• House Price Differential Analysis
• Additional Housing Cost Allowance – AHCA
• Differential Cost Housing Allowance – DHCA
• Mortgage Disparity Cost Allowance
• Regional House Price Analysis

with the universal shorthand of ‘Diffs’.

Together with establishing the value of the relocating employee’s existing property, it is the most contentious part of the relocation process. It is also a subject surrounded by a great deal of ignorance and misunderstanding. Hence the reason for the blog.

So why do I feel qualified to create this blog?
For a number of reasons. Firstly I have been involved with this aspect of relocation for about 20 years. The most accurate method for assessing a diff is to use a geographic information system (GIS), of which HomeMatch was the first, and I created it. Prior to HomeMatch calculating a Diff was a haphazard, subjective and much abused process. Having worked in the Marketing Research industry before moving to relocation, I was aware of the neigbourhood segmentation marketing tools which could be used to bring some objectivity and transparency to the process. Using GIS to calculate diffs remains the industry standard.
I intend to examine all the suppliers of diff solutions in detail, although you can see an overview of my assessments elsewhere.

So why am I doing it?
As I said previously, a great deal of ignorance and lack of understanding surrounds this topic, and as my experience of it is unequalled by anyone else, I want to impart that experience to anyone who is interested. This is no longer my primary source of income and so I can be completely objective and impartial. There is a great deal of nonsense talked about calculating diffs and I will quite enjoy ‘debagging’ some of the major offenders.

I’m also keen to maintain the good name of PRS Consultants. It took a great deal of effort to establish PRS as the recognised authority on this subject in the relocation industry, and I take pride in maintaining it. Confusingly, there is now a PRSCO Ltd supplying diffs, and it would be disappointing if people were to mistakenly assume that they were receiving the same level of expertise as PRS supplied. Obviously this ‘passing off’ of the PRS name could be seen as flattering, but equally, it’s worth protecting.

In setting up this blog I’d like to get feedback from both practitioners and people who have been relocated and have diffs carried out on their properties. Tell me if you were satisfied, and if not, why not.
Over the coming weeks I intend to cover the following subjects:

1. Why diffs  – problems, hassle etc
2. History including Tax position
3. Advent of GIS – HomeMatch
4. Different methodologies –overview
5. HomeMatch
6. Locate9000
7. Cartus Like4Like
8. Others
9. Tables – Treasury, Valuation Office, Land Registry

I’m hoping that starting this debate will improve levels of understanding which should be to everyone’s benefit. Look upon this blog as an information resource. Ask questions and give your opinions.

So please get involved.