Relocating for Work? Selling Your Utah Home

What does an employer relocation package usually cover?

Packages vary widely, so get yours in writing and ask HR these questions before you list:

• Is there home sale help? Some employers pay some of the costs of selling, and some work with a relocation company that can buy the home if it does not sell within a set time.
• Do I have to use certain agents or follow a process? Some programs require specific steps, such as listing within a set number of days or getting approval before accepting an offer. Missing a step can cost you the benefit.
• Is it a lump sum or reimbursement? A lump sum is simple but may not stretch far.
• Is there help with temporary housing, a house-hunting trip, or duplicate mortgage payments?
• Will the company "gross up" taxable benefits to cover the tax on them?

A tax note: for most employees, moving reimbursements are taxable income. IRS Publication 15-B says P.L. 119-21, commonly known as the One Big Beautiful Bill Act, permanently eliminated the exclusion for qualified moving expense reimbursements, except for active-duty members of the Armed Forces moving under military orders and certain intelligence community employees.

Should you sell before or after you move?

If you are also buying in your new city, our guide to buying and selling at the same time explains contingencies, bridge loans, and rent-backs.

Can you sell a Utah house when you live out of state?

Yes. Most of the sale can be handled from a distance:

• Showings and vendors. Your agent coordinates cleaning, repairs, photos, and showings, and sends you updates and video.
• Signing. Listing papers and the purchase contract are signed electronically.
• Closing. Utah law allows remote notarization by live audio and video with a Utah-certified remote notary. Ask the title company early whether you will sign remotely, by mail, or with a notary where you live.
• The vacant home. Tell your insurance company if the home will be empty. Keep utilities on, and in winter, keep the heat on to protect the pipes.

Should you rent out your Utah home instead of selling?

Some people keep the home as a rental, especially if they might come back or their mortgage rate is low. Consider:

• The tax clock. To use the full home sale exclusion, you must have lived in the home two of the five years before the sale. That generally gives you about three years after moving out to sell and still qualify, if you lived there at least two years.
• Depreciation. Once it is a rental, depreciation on the home is generally taxed when you sell, even if the rest of the gain is excluded.
• Managing from afar. Utah landlords must keep rentals fit to live in and follow Utah notice rules. A property manager helps.

Our guide for landlords thinking about selling covers the rental side in more detail.

What taxes do you pay when you sell because of a job move?

• Full exclusion. If you owned and lived in the home two of the last five years, you can generally exclude up to $250,000 of gain ($500,000 married filing jointly).
• Partial exclusion. If you have not hit two years, IRS Publication 523 says you may qualify for a partial exclusion if you took or were transferred to a new job at least 50 miles farther from the home than your old work location. Its example: an old job 15 miles away and a new job 65 miles away.
• Utah still taxes Utah real estate if you have moved away. See how in our guide to capital gains tax when selling a home in Utah.

Not tax advice. Your CPA can confirm whether you qualify for a full or partial exclusion.

A relocation selling plan

1. Read your relocation policy and confirm any required steps before listing.
2. Get a market value so you can compare selling, renting, and any company buyout offer.
3. Pick your timing: sell before, after, or rent.
4. Prepare the home, ideally before the moving truck comes, while you are still there.
5. List, negotiate, and sign remotely as needed.
6. Close in person, by mail, or by remote notarization, and have the proceeds wired to you.