Directed Offer

An offer to purchase in which the employer has directed either the relocation management company or its in-house program to make an offer that is not solely derived from the relocation appraisal process. This offer is usually for an amount that would exceed the anticipated selling price of the property. Usually made as an inducement to relocate or to eliminate objections from the employee concerning the relocation appraisal process. The difference between the fair market value of the house and the amount paid to the employee is generally taxable to the employee as compensation.