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Does "Staging" a home in Poinciana FL make sense?

OK, all you Stagers out there....this post is for you. My friend, Craig Schiller, wrote this post earlier this week. First, thanks Craig. I feel honored that my opinion means so much to you. As promised, this is my post on Staging.

Folks, if you have never read the posts in the "Stage It Forward" group, you need to. These folks are VERY passionate about what they do and I for one respect that immensely.

OK, with that said, I want to try and get my head around staging and how I can implement it into my business. From everything that I have read about Staging I agree that it will work. But my questions are.

Would having a property Staged increase it's value?

I'm not sold on the idea that it would. While a Buyer may be enticed to purchase a Staged home, over one that's not Staged, I don't believe he would be willing to pay more for it. For one, the Staging props will be gone on day of closing and secondly, an appraiser could not care less about the Staging.

Also, I still believe it is pricing that will sell a property. If the property is priced wrong Buyers will not even look at it. Staging will only increase the chance of the property selling if the Buyers see it. They are only going to see it if it is priced right. So, I do not believe Staging will increase the value of the property, at least not in my market....where price is king.

Would having a property Staged decrease it's time on market?

I believe presentation is everything. If the Buyer is looking at two similar properties, for the same price, and one is Staged and the other is a vacant property, would he like the Staged one better? Maybe. Staging will create a better "feel" in the property. Staging allows the buyer to see the features of the property and will have a better chance of making the Buyer "feel at home". Purchasing a home is as much an emotional decision as it is a financial decision. Staging plays on the emotions. Therefore, I do feel Staging would decrease time on market.

Would it be cost effective, in my market, where the average selling price right now is about $140,000?

This is the big one for me. Will the costs of Staging increase the Sellers bottom line? Since, in my opinion, Staging will NOT increase the value of the property, the Seller's Net increase would have to be in the reduced time on market. So we get down to carrying costs for the property or the opportunity costs of the Seller being able to move on with their lives.

Both of these costs can be substantial. So certainly there is value in Staging if these costs can be reduced. And I believe they can.

What is the price point for the Staging service that would make sense to the Seller?

Let's assume that a Staged property, that was vacant, would sell 2 months quicker than an un-staged property but at the same price. Let's assume the carrying costs for a property in Poinciana is about $1,700 a month. By Staging the Seller could save $3,400 by selling 2 months sooner. Based on these assumptions the Seller could pay up to $3,000 and come out ahead of the game.

Now we have to figure in the risk. These questions are for the Stagers.

What if the Seller dished out $3,000 and the property didn't sell in less time?

Is the opportunity to sell quicker and make a few hundred bucks worth the cost?

Could a vacant 1800 sq ft home be Staged for $3,000, for a couple of months?

Is there a price point where Staging just does not make sense?

Would a Stager be willing to work on a contingency basis if they knew the property was priced right?

When I started writing this post it was intended to help the Stagers sell their services to REALTORS®. But, as you can see, I ended up with more questions than answers. So, Stagers, I need you to help me out here. I'm still on the fence. How can I get my Sellers and REALTORS® to understand your value?

Posted by Bryant Tutas Broker/REALTOR(R) Tutas Towne Realty, Inc on 04/05/2008 01:16 PM

Comments (77)

home staging, opinion

This post has been included in Florida Information Osceola County, FL Information Poinciana, FL Information
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77 Comments on Does "Staging" a home in Poinciana FL make sense?

APR

2008

Reserved Parking For "The Lovely Wife"...TLW...ROAR!

Blog Boy...

I am so parking and waiting on the Passion :)

While doing that I am trying to figure out how to stage the donkey :)

TLW...ROAR!

BB, stagging does not have to be expensive. First, I've watch all your tours and my thought was this would look better staged.

I have all my homes stagged when the sellers need to move. I use a professional stager, Denise can do "light staging" or regular staging. I have my clients hire her for light staging.

Here is the cost? 350.00 set up paid upfront. and 50.00 each month it is staged. No contract and she will remove it any time. The additional months are paid at closing.

"light staging" is fresh towels in the bathrooms, with ribbons, floor mats, kitchen assessories, mantel assessories, easels with photos, large plants, bowls of fruit, kitchen bar set up with place settings. If she has a table she will use that in a house rather than in storage.

All the feedback on the house is excellent condition. In my market where so many houses are vacant it helps mine stand out. Staging is about setting a stage, an emotion and making the house "feel warm" and not be cold.

My 2 cents.

Missy, Is this "light staging" used on vacant properties? And while you are getting good feed back are you selling the properties quicker? For more money?

I agree with Missy. The cost is minimal especially if it gets the house sold. With so many homes for sale in Poinciana and im sure the majority are vacant, a home that is staged will stand out from the rest if price is equal.

I think you need to consider what staging is.

Staging is twofold. It preps the house visually it also preps the house physically.

So you can get a property staged without furniture - that is making sure that everything looks great - fresh and appealing. The bushes are trimmed, the junk removed, the carpets cleaned or replaced with flooring. The kitchen cabinets painted if needed.

Bathrooms look fresh and all grout is filled in. old dirty shower curtains or sliding shower doors removed and replaced to look attractive.

When the market is down its is even more imperative that you see the value of having a house move in ready for the prospective buyer. Your house needs to STAND OUT in a see of ugly houses or ordinary houses or houses that appear to need work.

this is what a buyer looks at - its an emotional decision - thats why you NEED TO STAGE. you need to help the buyer to imagine themselves living in this home.

You can hire a stager to go through the house and give you pointers and ideas.

You can also hire a stager to create magic by adding furniture accesories and or vignettes.

the old adage that you have to spend money to make money is true.

If the client doesnt have furniture then stagers can do partial staging using rented furniture, their own furniture or perhaps the client has some furniture to use or borrow, that a stager can then PLACE CORRECTLY.

adding warmth and vitality with some furniture and accesories can turn cold to sold.

Remember its not about furniture its about selling a dream.

And no Stager who has any sense will agree to be paid after escrow closes. We are paid for our work - regardless of when the house sells. You dont pay the gardener after the house sells.

he has to cover his costs. and so too must a stager.

Let me point out that in my area - in which houses still sell quickly and for top dollar, the houses that are staged to sell - using the two methods above always sell very quickly, within one week, and the ones that sell last or linger on are the ones that have not been staged at all.

I do agree that having the right price is paramount - but thats where your expertise as an agent comes in,

You also need to do your homework when hiring a stager. Make sure that they know how to deliver the goods. Do your research. Certified Stagers with good references testimonials and photographs are worth their weight in gold.

Take the plunge - you will be converted !!!!!

I can see staging for new construction. On resales, I find that staging inteferes with my job of determining condition.

This is probably my second comment on staging. There must have been another one. The reason I'm even commenting on this article is because the writer isn't declaring staging to be the best thing since chocolate ice cream.

Jennifer, Great comment! But let me ask some more questions. In my market most homes are vacant and are also only a couple of years old. Only about 25 houses a month are selling out of 1100+ listings. Why wouldn't a Stager be willing to work on a contingency basis if all they have to do is spend a few hours setting out some props? I spend hundreds of dollars on advertising and work on contingency. I also pay for lawn service if needed and only get reimbursed if the property sells. Are there any Stagers any where willing to do some staging with out getting paid up front? I'm not talking painting and laying carpet but just basic decorating and/or rearranging the Sellers current furnishings to make the home show better.

I truly feel if a Stager was willing to do this they not only would get more business but could also charge more for their services since they are taking a risk.

Lenn, That's a valid point from a Buyer Agents perspective. Staging could very well conceal defects in the property. So if I had a listing that was staged could it be a deterent in your buyer wanting to make an offer?

I think staging has a purpose, like any advertising, and you need to see if it makes sense for that particular property.

I have walked into many staged new construction homes and the look great. Do they sell any faster...not sure about that out here. I may have to do a little study.

What I mostly use stagers for is to help get the furniture placed correctly that is already there. For me, I think of staging in terms of the photograph. If I think that with staging I can take a better picture, more enticing picture, of the home then I will do it. Buyers are looking at those photos online, and photos convey a feeling or impression. I use stagers when I can't convey that feeling or impression on my own.

For a vacant $150,000 home, here in Salem Oregon, I would not use a stager. It wouldn't make any sense for my seller to have that added expense. $250,000 and above out here...I bring the stager in when I need those final details.

I do have to say that I think "light staging" in a vacant house is odd. I have walked into many new construction/vacant houses where there is a towel here or a vase there, and my buyers and I have commented on how odd it looks.

Staging is just another tool for selling a home. Sometimes it makes sense and sometimes it doesn't.

With declining prices and a low price point, people here in Myrtle Beach can't afford to hire a stager.

BB,

I love Craig and his company and all the stagers who use their expertise to make the property have the best appeal it can have but it really depends on the property type but I'll honestly say that I rarely use them or need them. I believe if it's priced as correctly as we can make it should sell...and sell quick. Perfect example...I just listed a property 3 days ago that was vacant and just had tenants leave so it was dirty with dust and had no furniture...yet we priced it correctly and have an executed contract for almost full price and about 65% down. It didn't pay to hire a stager to get maybe another 5K and the seller immediately jumped at the offer and didn't want to haggle over another 5K. I do believe some properties are definitely staging material...just none of mine fit that realm currently.I rather lower it and sell it as is to make it more attractive to a buyers search. By the way ...the seller executed the contract while she was cleaning the place anyway.

Bryant, the homes selling first are foreclosed homes with multiple offers. They are so low it is amazing. No, I don't price them higher at all, they just show better. I want my sellers to have every advantage in this market. I don't do the VT's or photos until it is staged, so I do believe I get more showings.Heck right now I need something to sell, I'm livin off my buyer agents if you catch my drift.

I don't do it on occupied homes, unless they need a consultation. I do loan out several copies of my Video by David Knox Preparing Your Home to Seller, about 8 min DVD.

No, they don't conceal defects. Thay are simply a distraction when taking a hard look at a home. I have to get through the comments from the buyer and inform them that the home has been staged to make it show well. Then I have to assure them that the staging isn't meant to conceal, merely show well. Mostly they just ask, "WHY?".

Staging slows a showing down considerably. The buyers are as interested in how effective the staging is as how their own belongings will work in the house, which is one of my secrets to showing a home. Once a buyer can "see" their own furnishings in a home, they are often ready to buy. I love vacent homes.

I have to get buyer past the staging talk to take a serious look at the house.

We held an open house for a property in Northern Virginia a while back and an agent/stager visited and, for about a half hour, while eating the Baldoucci's catered lunch, talked about how great staging would present the house and help sell it. All the while, my partner was in the library writing an offer with a buyer.

Sometimes life is just too funny.

With all due respect to Jennifer above, something doesn't sound right here:

First she says:

"And no Stager who has any sense will agree to be paid after escrow closes. We are paid for our work - regardless of when the house sells."

The she says:

"the houses that are staged to sell - using the two methods above always sell very quickly, within one week, and the ones that sell last or linger on are the ones that have not been staged at all."

If this were true, there is NO WAY a stager wouldn't rather have a piece of the after escrow action. Sure, a stager might want to have a couple of hundred bucks up front but if what Jennifer says is true, then any business person worth their salt would want a % of the sale price above a base amount with bonuses attached to quick sales.

If stagers are responsible for moving expensive homes, why are the settling for hundreds of bucks when the real estate agents are getting 10's of thousands?????

I think the proof is in the pudding. Show them some intense before and after pictures and find some stastics like, show them the before pictures and say "This house was on the market for five months with no shows" then show them the after and say "We had five shows in the first week after it was staged". Knowledge is power. Of course, your facts must be true but the good thing is staging does help.

BB, I agree with Missy's 1st comment. I agree because I have a very hard time visualizing my furniture in a vacant room. When I see a staged room, then I see what can be done with my furniture. When I go on tour, I personally feel better about properties that have some character, warmness. This typically means staged. When I go to a vacant home, smell fresh paint, and there is nothing to catch my eye, I typically in and out within minutes, not really looking. Does staging really help or is it cost effective, I really do not know. AJ

Bryant: You're right on several points, especially concerning the decreased time on market (Craig must be proud!). I am differing with you on two points:

Having a property Staged is not done to increase its value. Staging highlights the important features of the house, demonstrating its intrinsic value that might otherwise be hidden or overlooked.
A Stager's work is done prior to the sale, that is why we're paid when we've completed the plan. A Realtor's work is not done until every "i" is dotted and every "t" is crossed at closing, that is why they're paid after the sale.

Thanks for your post; I'm interested in more comments! Julie

HI Bryant

My staging business isnt about masking flaws or defects, its not about selling the staging itself. I work the home to give that "wow" factor. When buyers enter the homes I have staged, the envision themselves living there. They see how the home could look. Seriously how many women (especially women) want the picture perfect home? When they walk into a beautifully set up home, they fall in love. They see HOW this home could look.

When a buyer enters an empty home, they have nothing to look at, so they LOOK for things to look at. THIS is where they notice flaws, or things that un-interest them, when in reality, those things aren't even considered to be a problem when the home is styled with furniture. The empty home is echo'ing which gives that clinical feel. Its cold, and appears to be smaller then it actually is.

Also, doing a "partial" staging job, only brings light to that itself. As Melina stated, it looks odd, and so out of place. Either go hard or go home is my motto. I dont do partials, yes its cheaper, but again, it makes the house look ridicolous. And I dont want my business to look shotty, so therefore I am not going to bring in a towell or two, and one vase of flowers. It just doesnt belong. If they want to attempt to stage thier own home partially, I wish them luck.

Here in Edmonton, the market was booming last year, homeowners were staging, so thier homes were chosen first, within hours.

Now there is so much inventory on the market, that homeowners/Realtors, are staging properties to make them stand out among the other 10 on the block. Yes it is an expense, but IF the staging is done properly (focal points, traffic patterns etc) the home will sell and quicker then the other unstaged homes. When you walk into a home that was designed by an Interior Designer it just "feels" right, you walk in and say wow! everything just suits the home. I know I fall in love with professionally designed homes.

This is the same feeling staging gives listings on the market.

One of 10 apartment style condos in the same bldg were for sale. I staged one, all were priced exactly the same. Guess which one sold first? Yep, you guessed it. Buyers can envision themselves in a staged property. Its muted, its personality free, and it looks great. Then you walk into a smelly, jam packed home and are overwhelmed by pictures of fido everywhere, tripping over shoes, seeing unmade beds, hmm which one for the same price would you choose? Its a deal maker.

I truly believe in what I do, and I do believe it is a benefit to the homeowners, and Agents. But dont get me wrong, there are homes that are way to far gone. And I am honest about those sort, there is only so much magic I can do.

Take care,

Heather

This is a great discussion, it shows that the home staging concept is finally appearing on the real estate radar in South Florida.

Home staging is a proven concept, and it has taken a little longer to establish the value in Florida

As with everything, there are the for and against positions, it can be a case of show me don't tell me for most.

The home staging concept. Builders and real estate agents that sell builder models will tell you that buyers always want to buy the model, that's why they stage their model homes. The model home is always there to allow buyers to envision their new home, and it is always staged. It's an accepted practice and is factored into the advertising budget.

Determining the need for home staging for Mr.. and Mrs.. seller can be a more difficult decision, for the reasons already correctly stated. The simple math example that you gave should be performed by the seller/real estate agent to determine the value in staging a property for sale.

The minimum home staging investment. From our experience most sellers can benefit from a home staging consultation at a minimum (just look at the listings on Realtor.com). This gives them inexpensive opinion on how to better prepare the property for market, with them performing the work themselves. The cost of a consultation is comparable to the cost of an appraisal or home inspection. Home stagers know how to communicate the need to better prepare the home for sale.

We get asked about delaying payment for our services until escrow often, but as we have no control on the pricing of the property, we are unable to entertain this notion. We do accept credit cards;-).

Home staging + correct pricing = Quick sale.

Home staging should not be used to cover defects, this is unethical for us, the sellers and the real estate agent.

-Akanke.

Good points by Akanke, except this is unclear: "We get asked about delaing payment for our services until escrow often, but as we have no control on the pricing of the property, we are unable to entertain this notion"

I disagree, "control over pricing" has nothing to do with it. Get a little money up front, but get speed bonuses for quick sale and a % of the sales prices over an agreed upon amount. It has to do with writing up a contract, not about having control on the pricing of the property.

I don't want to make this a "staging" post, nor do I wish to hijack this post. However, the subject of staging companies working on contingency as do most real estate agents is just too wild to contemplate.

Agents and brokers work on contingency and we have considerably control over pricing, access, showing terms and terms and conditions, presentment. For this investment we make in selling a property, we are paid "the big buks".

If staging companies started working on contingency, their fee would no doubt increase considerably. Not only that, but if they were on contingency, they might have an inclination to give the agent or seller opinions about the listing.

Picture an agent smacking a stager upside the head.

OK I'm on limited time tonight but am real happy to start seeing some comments form the Stagers.

Lindsay, You wrote this: "This house was on the market for five months with no shows" then show them the after and say "We had five shows in the first week after it was staged".

So what you are saying is the staging increased showings? I don't understand that at all. How would the buyers know it was staged if they didn't walk in the front door? You're not the first one to say this and it's one of the problems I have. It makes no sense. If a property was on the market at let's say $200,000 with NO showings then it was staged and the price was still $200,000 it would still get no showings. It didn't get showed because it was priced wrong. There is no other reason. So either it was staged AND the price was reduced or your statement is incorrect. Now I would believe "There were 20 showings before it was staged with no offers but after staging we had 5 showings and received an offer." Sorry Lindsay but to me your line sounds like a canned sales pitch.

I wrote this post to help us understand what staging will achieve and how it is beneficial to the sellers and the REALTOR(S) to use it. Please remember I have sold hundreds of houses and have been doing this for 14 years. I won't buy the "increased showings" and the "10% increase in sales price" stuff. When REALTORS(R) hear this we don't believe it. Nor should we because I'm pretty sure it can't be proven. BUT decreased time on market is something that could be proved. There's value in that to the seller and the REALTOR(R).

That's funny Lenn!! But look at it this way. What if I teamed up with a Stager where we had mutual trust? What if we were a team and both did our jobs to help get the property sold but we also stuck with our own areas of expertise? I feel it could work and I feel it could work well.

Broker Bryant, here's my two cents. Staging is like presentation for food, plating it so that it is pleasing to the eye. It is enticement, purely.

And you're right, it's not going to phase an appraiser. So, no, it doesn't affect value.

It's purely competitive edge.

If the conditions were right--my seller could afford it, etc., I would ask my clients to stage their vacant properties. But right now, my clients are barely hanging on making their interest payments.

Heather, I want to mention that your comment is awesome. It shows conviction and understanding of your business. It also shows honesty in admiting that staging is not for every property. I would hire you. Well done.

Great post. I am sure everyone is anxious to hear the answer to the questions of price point and value for which staging makes sense. Where is the price point and market conditions that would make staging little more than rearranging the deck chairs on the Titanic?

Bryant - I'm not one to argue with YOU, but yes, staging can increase showings.

Staging is about effective MARKETING. With so many buyers turning first to the internet, the photos they see are your most critical marketing materials. Sure, buyers look at price first, but then they want a house that looks good. If they don't like what they see in the photos, you will never get them near the door. Staging creates a more visually appealing image - which is what buyers want.

As far as value is concerned, the info out there can be very deceptive. Some houses do see an increase in price but that is usually due to some type of redesign work (i.e; upgrades), not the rearranging of furniture.

Truth is that most people really do not understand what staging is or what it can do and the staging community (myself included) needs to do a better job of effectively communicating that information to the public. Staging does not necessarily mean bringing in furniture to a vacant, it can also be a very well written 'market preparation to do list' that is in turn well executed by the seller.

Improvement in condition and marketability is really what it is all about. That is a balance that must be struck with each individual property. If you have a relationship with a stager you trust this is a balance you can strike together with your clients. It takes all three working together to get the best results. That being said, I charge as little as $100 for one of those reports (I base those fees on square footage, not list price) and is well worth it to the agents who supply those reports to their clients. They know that at the very least someone has had a very serious conversation with the seller about what they can do to increase the chances of a successful sale.

You already understand that certain elements help a homes marketability - stagers can expand on that go beyond your own personal capabilities. And also relieve you of a lot of stress. :)

P.S. I agree with Heather that some homes are just too far gone to merit staging assistance. That has more to do with condition than pricepoint, though.

Broker Bryant...I have to throw my two cents in about the "increase in showings" after a property is staged. I have personally staged many homes that have been on the market for 6-12 months with very little showings or an offer. After we stage, the "key" idea here is to RE-LIST the property as a new listing. (the price doesn't change either when we stage & re-list). The sellers and agents always report an increase in showings AND if the house doesn't receive an offer right away, it is always in that Top 2 for consideration.

The online presence of a staged home and great photos will capture that buyer's attention and they'll want to see it up close and personal.

Just my two cents. Great post!

OK, Kimberly and Teresa, I can understand that. I have had buyers purchase a home because of a video tour on several occasions. Now we're getting somewhere.

Lindsay, My apologies for my above comment. It looks like your statement may very well be correct. I just reread my comment to you and it comes across very curt. Please don't take it personal. I'm trying to bring up objections that sellers and REALTORS(R) have.

Please bare with me as I learn.

Kimberly, You wrote: "Staging is about effective MARKETING" Now does this mean that part of staging package could include guidance and assistance in preparing new marketing materials i.e. photos, brochures, print ads etc.?

Staging enhances a properties features and sets it apart from the competition when it is priced properly.

I teach continuing ed credits for Realtors for Kaplan Professional Schools. The subject being Home Staging - Houses - Ready, Set, Show.

So here are a few tidbits. You are having an open house 24/7 with 80 to 85% of prospective homebuyers on the internet pre-shopping.How do those un-staged photos measure up - are you grabbing their attention and tugging at their heart strings?

Have your ever paid more than you planned to purchase something that you feel in love with - maybe not you Broker Bryant , but it is the reason why auctions are so popular. Involve all the senses in staging - sight, hearing, smell, touch and yes even taste if you are serving those chocolate cookies you just baked.

Repairs are addressed & completed , the place is immaculate, the ambiance is set for that first date and wow~ remember when you first saw TLW? Ok maybe not, but you get my drift.

Cover up defects - no, no - get them repaired. Give a $2000 carpet allowance - no? First the place will show badly with dirty worn carpet - buyer mentally subtracts $5000. Offer finally made and it is a low one but you take it because it is the only one. Remember that allowance - yup you promised so anty up the $2000. Actual cost to replace carpet $1500 , you were being generous!

What that gross carpet cost the seller $2000 & $5000= $7000.

Stagers get very little compared to the agent on the sale. Maybe we should get paid more - like a percentage out of the broker's commission - say like 2% of the selling price - great idea.

If the bathrooms and kitchen are outdated and in need of repair - forget staging and get them up dated - furniture and accessories can't help you. Oh yes - we do say that and we can help with the up dating projects as well.

Hey BB - I think that staging may not raise the value of the property but it does raise the amount people are willing to pay for it. It is hard to find any concrete statistics on home staging. To my knowledge there has only been one serious study done. It is quoted here:

Does it (staging) work? When Coldwell Banker Residential Brokerage in Los Altos, Calif., looked at nearly 2,800 properties in eight U.S. cities in 2004, they found that the staged homes, on average, sold in half the time that the non-staged homes did. The sellers with staged homes ended up with 6.3% more than their asking price, on average, while sellers with non-staged homes sold for 1.6% more than the asking price." read article.

Now this study was done in 2004 and I realize that no one is getting over asking price for their homes but I think the same principals apply. Staged homes sell for more than non-staged. (And in half the time).

You can also check out these stats from Homegain 2007: www.homestagingresource.com/pdf/HSR%20Home%20Gain%20Stats.pdf
It is in PDF format.

When you live in an area where home prices are lower then home staging costs are also lower. I think the best thing is to meet with a stager in the area and find out exactly what the costs involved are. I tell homeowners here to expect to pay between 1-2% of the purchase price to stage a vacant home.

Having said that, I don't do many vacant homes because there just aren't very many vacant homes around here. The work I do is really more like rehab. I do a lot of painting, ripping up carpet, replacing dated light fixtures etc. So my work really does increase the value of the home. I understand that all stagers don't specialize in this extensive type of rehab, but it works in my market.

Bryant,

My $.02...Staging is like 'dealer prep' for cars...imagine trying to sell one of those grimey new models we see on those car carriers compared to the same vehicle on the showroom floor...and contrary to what many believe, there are 'impulse buyers' in real estate...and that 'appraiser' IS influenced by what a buyer is willing to pay for a property! Thanks, Fran

Hi Bryant ~ to answer a few of your questions / concerns. First let me start by saying that I'm in the Los Angeles area, on what seems like the other side of the world, but here are some of MY companies staging stats:

Prime waterfront property in Westlake Village, CA ($1.4M) was vacant and on the market for over 1 year. TWO different Realtors tried to sell it, the THIRD called us. We staged it, made sense of some of the awkward floorplan spaces, brought the buyers to the VIEW of the lake and outdoor patio area.....long story short - 3 weeks later they received an ALL CASH offer and closed escrow 15 days later... (I have an RES on my bio page of the property if you want to see it for yourself)

I wish we had asked for a % at close of escrow, however, another home in Malibu ($2.2M) which we staged opened escrow after just 7 weeks -HOWEVER, this buyer as well as two more that opened escrow on this property have not been able to secure funding due to all the new underwriting changes.... Staging obviously made an impact to have three different buyers all make adiquate offers to open escrow... Should I then, as a Stager, have gotten paid a % for helping stage, photograph and market the property to open escrow so quickly? Or would I then have to wait, such so yourself, until the close of escrow, now 7 months later to get paid? I think not. As a Stager, we have no control over what happens in escrow - therefore, I'll get paid up front ~ thank you very much.

Costs for Staging varies greatly, so check with several Stagers in your area. There are some great posts on AR such as "Not All Stagers Are Created Equal". And your comment about, "if all they have to do is spend a few hours setting out some props..." to that I say HAH! Staging any house typically takes between 5-8 hours, not to mention going through our warehouse of inventory, packing for the stage, staffing, coordinating furniture delivery or rentals, drivers, painters, etc.... "few hours my *-#@!"

But great post!

With all due respect to the professional stagers out there, the only thing that truly matters is the price, in my not necessarily humble opinion. Price can overcome any deficiency in any property. Get the price right and the house will sell... miss the mark and it won't. Period.

I don't think of replacing carpets, cabinets, fixtures, etc. or cleaning/decluttering as staging.. that's called preparing a home for the market and we all do it every day. 'Dressing up' a vacant house could have some value, but if it's priced correctly, it won't make a speck of difference. As for the comment above stating people always want to buy the 'staged' new construction model home - there's a reason for that. It's typically the home we've put every option/upgrade into. The couch and cute lamps didn't make buyers want to buy it - the granite countres, Miele/Viking appliances, and $25,000 upgraded lighting package did.

Byrant,

This has been a very educational read for me as a stager. It's really great having the thoughts and ideas of Realtors out there. As I read I had so many things to comment on, but often they were commented a line or two down. So first off thank you so much for this post, it's so helpful to both sides of the coin here.

So to go back to your original questions, and by the way here in Rochester NY the cost of housing is very low also. The McMansion's go for $300-400K, few million dollar homes here. Most homes are around the $150K, many for under $100K.

I think all homes can benefit from staging. We did a $90K house with an older couple, we uncluttered, rearranged rooms, simplified layouts and didn't bring in anything new. Huge improvement in the MLS pictures, you could actually see the fireplace. This home sold in about 12 weeks after staging, it was on the market 8 weeks before we staged with very few showings.

We did a $160 house, older man, uncluttered, removed tons of family pictures, painted, made non rooms into rooms again. We suggested that he replace the bedroom carpets they were red, he did. We also suggested that he replace the appliances, they were old and some were white and some black, and some didn't work, he didn't. After 5 months on the market he replace the stove and dishwasher and had 3 offer the next week.

We did a vacant $130K house, rented furniture, purchased accessories and staged 3 rooms and kitchen and baths. Now if you looked out the big picture window in the living-room, what you saw is the side of a huge grocery store, if you looked out the master bedroom window across the street was the side of a Walmart. So location wasn't great, but it sold in 8 days at the 1st open house, with about 15 groups of people through it and everyone loved the house. The one who bought it had been through it before it was staged and wasn't sure how to place furniture in it, so the staging helped her see the house for what it could be.

We did an estate house with old green carpet (covering nice hardwoods), green appliances,dated lighting fixtures, a green sink, terrible kitchen and bath flooring, walls that had been painted once, in 1962! Home priced at $130K, we spent 2 weeks with painting and new lighting & appliances, flooring and riping up carpets and staging of 4 rooms plus the kitchen and baths. The home has been on the market 3wks now, will it sell quickly, don't know. But without the updates it would have been a difficult sale in it's former condition.

I wrote a blog awhile ago about a toaster. It talked about how Big Business spends millions of dollars and thousands of hours marketing a toaster. Everything from the design of it, to the picture on the side of the box. The picture shows a bagel with cream cheese, with perfectly cut strawberries, a wine glass with orange juice, displayed on beautiful china, with a rose. Now the toaster doesn't come with any of these items, nor can the toaster even perform any of these items, yet it's makes that toaster desirable. This is a $20 "product", now you Mr. & Mrs. homeowner are selling a "product" worth "Tens of Thousands" of dollars and are doing what to sell your "product" for sale?

I would look for a few local stagers and call them and meet with them. Find out what they offer, some do just consultations, others do all the updates and painting and everything in between. Look for ones that look for mechanics and things an inspector would look for, not just ones who make the house "pretty", the whole package is what seems to work the best. A good stager will worth within a homeowners budget.

Sorry I rather rambled on and on and on. I hope this helps. Keep up posted, we love to hear about staging issues, good or bad - it helps up grow to be better!!

God Bless,

Becky

In the land of equally priced and similar homes, the one that looks the best will be the one that is first under contract (Not accounting for the seller/buyer/real estate agent dynamics).

There are many attributes to a closed sale, home staging is another component of a successful marketing strategy.

Do the other tools used as part of a marketing strategy make a difference?

the dedicated property website
the illuminated yard signs
the glossy marketing materials
the virtual tour
the talking listing
the brokers open
the open houses
pushing the listing to all the search engines
e.t.c.

As with everything , it depends on who you ask. It works for some, not for others? Everyone has their respectful opinion on what works for them, their sellers and their location/price range.

All these tools have one common goal - making your listing stand out from the others to attract buyers to your listing, so why not consider home staging as another edge. An edge that most Realtors seem unnecessary - giving those that embrace it an even greater advantage.

Staged homes look better online, where more that 80% of buyers start their home search. Price will always sell for sure, but when all the homes are similarly priced, what does a seller do next?

Get the selling edge, embrace the latest selling advantage, and stage to sell. Take a quick visit to realtor.com and look at home in the $500k+ range in any area, and you will see that most of the listings leave a lot to be desired - bad 'snaps' of homes (not marketing photographs), clutter everywhere, not move in ready.

Just for grins, pretend that you want to buy a home in the area selected - how would you shortlist homes to visit in any given price range - try to look at them with buyers eyes. The same way as buyers - based on the online photographs of similar properties.

It's alarming how easy it can be to reduce all the homes into a small shortlist.

Stage your property and make it onto more buyer shortlists than the competition.

Staged homes stand out from the competition online and in person.

-Akanke.

APR

2008

$3,000 for staging? That must be a housefull of furnishings, plus fresh paint. I think a very effective staging can be had for much less. Like less than $200 in an occupied home.

In a real world, homes will sell, if demand is vibrant and the house is priced competitively.

In our present market, it's making no difference. A beautiful home in my area was staged and presented as well as a vacant house could, furniture, kit, bath, etc., everything. Must have cost the sellers a mint. It was on the market for over 600 days starting at $929,000. It finally sold at $774,800 just a couple of months ago. I don't believe the staging helped.

I believe that staging is rather like Open House activities, or flyers in the yard sign, if you believe that it helps, it will claimed to have been what sold the house. On the other hand, if the house is clean, no barriers to access and priced right, it will sell anyway.

Even beautifully staged homes aren't going to sell if the agent has to jump through hoops to show, then more hoops to get disclosures, then more hoops to get the offer presented, then more hoops to get the contract negotiated and accepted.

Nothing IN a house is going to sell an otherwise unsellable house.

If I had my way, and I'm sure most are glad that I don't, builders' models wouldn't be decorated either.

Hard core real estate selling is about the floor plan, the square feet, the condition, the quality of materials, the finishing. In other words, the house.

A perfect example was the home I mentioned above...I forgot to mention that when it was originally on the market with another agent...although it wasn't staged it did have furniture and a tasteful decor. But it never sold and I listed it with no furniture and actually needed a good cleaning yet it sold for almost full price and the buyer is only financing 47K of a 270K sale so how come it sold vacant versus decorated? PRICING and the demand in that price range and the configuration of the home.

Bryant,

I've never staged one of my iistings, not sure why not, but just haven't. That being said, I am NO expert but I have experienced the following:

When I show vacant homes vs nicely decorated or even staged homes, my buyers 9 out of 10 times like the one with furnishings better. I even bring it up to them. Reminding them that the furniture will not convey but they don't seem to mind & always claim that the furnishings are NOT the reason they like that house better. But being the real estate professional that I am, I can clearly see that the furnishings is what is selling that house, not the house itself.

Also, I've seen the same $300,000 sell for $350,000 because it was staged with very expensive furniture vs one with bachelor pad type furntiture sell for $280,00. This is true.

Why don't I stage my listings then? I've tried & couldn't convince the sellers to the added expense. Maybe i should read the comments, I'm sure stagers have their own way of tackling that issue just like we do with commissions.

*** My disclaimer*** I agree that the home must be priced correctly.

• Would having a property Staged increase its value?

I do not think that having a property staged will increase its value. What I do believe is that it will reduce the amount of deductions that a buyer would typically make. As a buyer steps through the door of a home, I think that it is human nature for them to look for things that would justify them to ask for a price reduction. “The house is out dated, we need to paint, we need to change all the light fixtures, we need to replace the carpet, we need to remove the wallpaper, we need to fix this and fix that…” Cha-ching, cha-ching!

Professional home stagers will discuss these issues with the seller, recommend changes and provide sellers with solutions on how to implement these changes effectively. Stagers are aware that the Realtor probably made these same recommendations to the seller. But what has now happened is that the stager has “backed up” what the Realtor recommended. The seller says, “Yes, that is what my Realtor suggested”. The Realtor is the hero and the work gets accomplished.

Even if the seller is reluctant to make these changes, staging allows the buyer to see the home from a different perspective. By utilizing effective staging techniques, these issues are not so glaringly obvious to the buyer. While we do not mask or hide the issues, we create another picture or atmosphere for the buyer to experience. We create focal points that cause a buyer to notice the view of the lake outside of the window and away from the shag carpet. Do they still notice the shag carpet? Probably, but what they will really notice and fall in love with is the view. Will they pay a premium for what they want and fell in love with? They would probably pay more to get the house they want than worry about a few thousand dollars and risk losing it.

The same argument can be held for any area of the house that a buyer falls in love with. If a stager creates an environment or atmosphere that will tap into the emotion of the buyer, they will want to buy it. They will want to buy it if it is not over priced – yes- but they probably won’t take the deductions they would have normally asked for and risk losing it.

I also think the market plays a factor in this. In a buyer’s market, staging’s realistic goal is to sell faster. In a seller’s market, the homes are typically already selling fast, here staging’s goal would be to warrant a higher asking price

• What if the Seller dished out $3,000 and the property didn't sell in less time?

In my experience, every home, every seller and every realtor is different. What one home needs is different from another, what one neighborhood warrants - another doesn’t, some Realtors offer to include staging, others recommend and others never even mention it. I think the biggest myth about staging is the perceived cost.

• Is the opportunity to sell quicker and make a few hundred bucks worth the cost?

Yes, a few hundred bucks can pay for a lot of things involved with moving and new homes. If you made a couple of hundred bucks, then you also recouped the cost of the staging.

• Is there a price point where Staging just does not make sense?

I believe that most all homes can benefit from the services of a stager. Whether it is the consultation where we make our recommendations to a light staging where the home does not feel abandoned or cold to a full fledge staging where all rooms are staged. I think it depends less on the price point of the home and more on the budget of the seller or realtor.

• Would a Stager be willing to work on a contingency basis if they knew the property was priced right?

Every one that gets involved with the selling process of the home gets paid when service is rendered. The Realtor has performed the service when the home is sold.

Hope my answers help.

Sorry Sarah ~ but staging a lived in home is actually very time consuming. 99% of the time, we as Stagers are called in because the homeowner has not, or will not, take the time to declutter, organize, remove excess furniture, address the peeling wallpaper, or fuchsia paint treatment, etc.

Not only are we rearranging the furniture that is there and moving it around from room to room, but staging also means consolidating what they own, "on-the-spot" placement and accessorizing, artwork configuration, traffic flow plan, drawing the eye to the positives of the home, sometimes even painting entire rooms, etc... All the owner occupied homes we have done take a minimum of 2 people, 5 hours to complete. In fact most take 3 or more people an entire 9 hour day - $200 is simply not realistically sufficient. Would you work for $7.00 per hour? That's less than the Federal Min. wage - I would think the answer would be "no". We're in a business, just like yourself.

Hey Bryant!! Just wanted to stop by to wish you a HAPPY BIRTHDAY!!!

Happy Birthday Blog Boy!

Sorry it took so long to get back - I didn't expect a question. Staging, when used as part of your marketing plan, naturally boosts the effectiveness of all of the marketing you already have in place. The two objectives of staging are for homes to photograph at their best for print and online marketing and to 'feel' its best during personal showings. No matter how great the price and floor plan are, it will not get them in the door if is atrocious on film and won's sell if the buyer does not feel good while there.

Buying a house is an emotional purchase, bottom line. Stagings purpose is to eliminate the negatives that prevent buyers from connecting with the property, whether it be a smelly dirty carpet or the hollow feeling of a vacant house. In the case of occupied homes a buyer wants to feel as though the house is available to be made their own - the bigger the personal imprint a seller has on their house the smaller the availability. In the case of vacant homes, the buyer wants to feel as though someone cares enough about the property actually take care of it, not leave it as though abandoned. That 'abandoned' aura can make a buyer uncomfortable.

I would have to say that most real estate agents know how to utilize their all effective marketing avenues such as RES, MLS, etc. Most of the time, however, they think that these avenues are enough to sell a house when really it isn't. An additional newspaper ad will not get anyone into a house if it looks horrible in photos and won't get them to stay if they are creeped out by the smell coming from the basement.

Should stagers TEACH agents how to market a house? I hope not or someone should not be an agent. We amplify what you are already doing through merchandising and presentation - just like any other product on the market. We do, however, tend to keep up with new advertising avenues and can help you keep up with them as well. I would venture to say that we spend a lot of time - more than most agents - working to get the best photographs possible of our projects. I pass those photos on to the agent as an added benefit of working with me.

Does that answer your question or am I totally in left field with that answer?

btw, HAPPY BIRTHDAY!!!!

My head is spinning from all of the comments and differing opinions.

First of all, I would like to second Connie's comment about the $200 Staging of a lived in home. The only way this MIGHT work in a perfect world is if the home is already totally clutter free, the homeowners are working side by side with the Stager and we're only working on 3-4 high profile rooms for a limited amount of time. OR, there is a very gifted "newbie" Stager out there who has no idea how valuable he/she is and is significantly underbidding his/her skill and talent.

We are not just "furniture movers and fluffers". If we're competent, we have a real-world education in functional design. When you hire a professional Stager, you get more than a few towels and florals placed around the home. It's all about creating a WOW factor, focal points to draw people into each room (getting them to stay in the property longer and "fall in love"), showing them visually how rooms with a challenging configuration can work in the real world, quickly implying function in other spaces. It is a fact that most people only know what they see, not the way its going to be (Thanks to Barb Schwarz for this zinger). Staging puts 'props' in position as placeholders for people to be able to imagine how the rest of their furnishings will look in the home.

ASPs have heard this a thousand times but here goes again: Do you detail your car before your sell it? I'm sure most of you do. So, where's most of your equity, in your car or your home? Since it's most likely in your home, it makes perfect sense to DETAIL YOUR HOME LIKE YOU DETAIL YOUR CAR.

Could you imagine putting the same proportional amount of money into the home as you did into the car? What is the cost of a good detailing these days? $100 for your $10,000 used car? Add a zero and that would equate to $1,000 on a $100,000 home. Even Kelloggs pays significant advertising dollars to package its $4/box cereal - they don't put it on the shelf in a clear plastic sack (the equivalent to the look of most middle of the road vacant homes).

When a professional Stager works on a VACANT home, there can be up to 20-25 hours spent on an average project (up to 2500 sq ft), start to finish. (Viewing the home and taking pics, reviewing pics, organizing team and truck, selecting and packing inventory, unloading and staging inventory, [house sells], organizing team and truck, packing inventory, unpacking and restocking inventory.)

See how NOT glamorous the bulk of our job is? About 25% of it is fun. The rest is PM, schleping, admin and marketing. Everyone sees the fun stuff and assumes that "anybody can do it" but not the extensive project management and organizational skills required to pull it off and get it on the market "yesterday." At $20/hr, that's $500 for my project management time alone. What interior designer do you know who charges that little? For that matter, what professional mover do you know (who has liability insurance) who charges less than $20-$25 hr. Now add the cost of the truck and helpers, plus gas and monthly rental of furnishings and you see how the price of Staging gets calculated.

Here are some of my own Staging stats:

---Former Street of Dreams home, occupied, on the market in a HOT market, summer through fall - no offers. That December, I worked with the owners who purchased some items they could use in their new home, I brought in some of my own inventory (tree, pics), we rented living and dining room furniture and did an extensive redesign on the entire home. A buyer made an offer on the home within 3 weeks of it going back on the market and the home sold for over 9 percent more than it was originally listed at (close to 1M).

---Same time frame, same year as the home above only this was a starter home listed at $250,000. Similar scenario - on the market summer thru fall, no offers. New paint, new carpets, (still had the dated wood paneling in 3 of the 4 bedrooms when it went back on the market Staged in December/January). Sold in a week with multiple offers and got $25,000 over list, again over 9 percent more than it was originally listed at.

---Manufactured home in 55+ community. Listed with owner (almost 90) living in it. Wall to wall furniture and a lifetime of memorabilia. Didnt sell. Homeowner moved in with his children. House was vacant and still didnt sell. Listing expired. New agent recommended painting, cleaning, staging. Homeowner agreed to this. Home sold 2.5 hours into its first OPEN HOUSE, for more than the first agent listed the home at.

---My mentor and her late husband were builders for 20 years. After he passed away, she has a dozen homes to sell. She put furnishings in one model home, it sold. She moved the furnishings to the next home, it sold. This went on for 12 homes. All homes sold and she became a BELIEVER!

I do tell all of my clients that Staging isn't a magic bullet or a guarantee. However, their odds increase significantly when the home is PROFESSIONALLY Staged. They also HAVE TO price it right - and I don't mean under price it - anything will sell if it's underpriced enough. But that's sure not the type of real estate advice I'd want if I were selling my home. Why would I want to potentially leave tens of thousands of dollars on the table (see examples 1 and 2 above) by listening to an agent whose only marketing tactic was to keep lowering the price until it sold?

For the person who asked how homes that haven't been selling get people through the home again after the home is staged, what typically happens with realtors I work with is that the home gets re-listed. It goes on at a different price (even just a slight price reduction in our market will get it a new listing). Then, the listing pops to the top again. Savvy agents then make note that the home has been Staged, or that there has been a significant change in its status. The Staged pictures will then get other agents' attention. They all know that its not a brand new listing, but this tactic gets them to take another look at it and if the new "staged" pictures entice them, they will consider coming back with their buyers.

[I've edited my post a bit from earlier today. I just decided that I was feeling a bit too cranky and needed to extract some of the grouchiness. When I came back to edit, I was amazed at the additional comments. I will look forward to sending my realtor clients here for this wealth of information - Thanks for starting the ball rolling, Bryant - what an amazing amount of input it has evoked!].

Bravo, Janis, Bravo!

Kimberly, You did answer my question. Thank you. I have thought for a long time now that a Stager needed to open a business where they do nothing but stage photos for REALTORS(R). I got this idea after seeing how good Craig is with photoshop. Funny but I just saw an Ad on AR for a service that will make your photos look better for as low as 99 cents photo.

Janis, I posted this to give you guys and gals a platform to sell us on your value. Personally I think all of you are doing an awesome job doing just that.

Now I want to ask more questions. If I were looking for a Stager...what would I look for? How would I know that this Stager has the experience and the talents required to stage my property so that it looks it's best? What questions should I ask?

By the way, I will be using this post and the comment thread as part of my listing package. So I want to thank everyone for participating in this eye opening conversation.

Bryant, Michelle Minch of Moving Mountains Design in Pasadena, CA wrote an excelent blog about How To Choose The Right Home Stager for those who don't click the link, here you go - THANK YOU, MICHELLE!!!

How To Choose The Right Home Stager

Not all home stagers are created equal. Before hiring a stager, there are some things you should consider. At this time there is no independent national organization (like ASID for interior designers, or NAR for Realtors) that certifies or licenses home stagers, and no government oversight or licensing in most areas. Here are some tips to help you select the right stager to help you sell your home:

Experience and professionalism trumps "certification", "education" or "designation" in the staging world. Hire the stager with the most real world experience, not the stager with the most letters behind their name, although they may be one and the same.

Ask to see the stager's portfolio - either on line or hard copy (book form). If they don't have a staging portfolio, in all probability they have never done a staging job, they have never done a good staging job, or they are lousy at marketing - a very undesirable trait in a home stager.

Does the portfolio display a wide range of styles or do all the homes they stage look the same? Make sure the stager is capable of staging in a manner that accentuates the architecture of your home and will be attractive to the buyers in your area.

Ask if the stager rents furniture from another source or owns the furniture they will be using in your staging project. Make sure that the furniture that they will be using is appropriate to the style of your home and not just what they happen to have in their inventory at that time.

Ask the stager if the photos in their portfolio are of jobs they performed themselves, or as part of a class exercise. You want an experienced stager who has lots of jobs under their belt and lots of photos of their work, not someone who has never done a staging job, or has never done a staging job outside of a class environment.

Make sure none of the photos are "stock" photos that they purchased or lifted off of someone else's web site. All photos in a stager's portfolio should be of their own work.

Ask for references, including phone numbers and/or email addresses. Check those references. Ask the reference if they would hire that stager again.

Ask for proof of liability insurance. If the stager is not insured, then the homeowner may be liable for any damages or injuries that may occur as a result of the staging.

All employees and helpers the company uses should be covered by Workers Comp insurance. See #8.

Make sure you are given a clearly written contract and that you understand all aspects of the contract. If you don't understand something, or something that you discussed is not in writing, ask for clarification.

Do you get a good feeling from meeting the stager? Do they seem well organized? Do they listen to your input? Do they make notes or take photographs? Are they on time to your meeting? Just as in any business relationship, you should expect to be treated with professionalism, courtesy & respect.

Remember - YOU GET WHAT YOU PAY FOR. You are selling your most valuable asset (your home). Look for the staging professional with the greatest competency, experience and professionalism, rather than the cheapest price.

Hi Bryant, Thanks for the comment.

However, I would like to add to Connie's answers on how to find a good stager.

What is their opinion of the current real estate market in your area- they should at least have an opinion since they are in the real estate industry!

Ask how many homes they have actually staged. If staging a vacant ask how many times they have worked with a rental company and how that process will work.

Ask how long the project will take to complete. If selling a vacant home your Stager should inform you how many AREAS will be staged. Their proposal and contract should include specific areas so you know what you are paying for. If you are paying for rental of accessories and furnishings, ask what sort of items will be brought in. I have heard horror stories of stagers saying "I think a few bathroom accessories are all that is needed" but the very next day, pull up to the listing with a truckload of items that the homeowners now have to rent. You should have a up-front idea on what will be going on before it starts!

Make sure you know the stager's bottom line is really the bottom line! Ask the stager if the quote includes all of the following- Office time, Travel time or mileage, taxes, assistant fees, and de-staging time. You never want an extra bill at the end of the project, for things the stager "added" on to the invoice. Professional home stagers, give you the bottom line BEFORE the job commences.

Ask if the stager is in constant contact after the staging process is complete.
Professional Stagers, always keep in close contact with the home owners, and the Realtors the entire time the home is active on the market. If the stagers simply styles the home, cashes the cheque, and you don't hear from him/her until the day comes to de-stage the property, something is wrong. That is bad business. This tells me, they aren't that into their job, nor do they care if the home sells or not.

Hope that helps.

Heather

Broker Bryant, This post is simply wonderful! We (as stagers) can't ask more than that you are willing to listen to us. Time after time stager after stager has written post after post asking the REAs to please tell us what you think, what you want to know, how we can help you. Time after time the the vast majority of responses came from other stagers saying something to the effect of, "hey, I want to know that too!"

Soooooooo Thank You for this post!!!!

Now, many of the above responses from stagers are the same thing I would have said so take this as a ditto. Yet, there are two other things which I don't think have been addressed which I will give a try at answering.

You asked, How can I get my Sellers and REALTORS® to understand your value? My response is you CAN'T. Well that is, you can't if you don't understand our value yourself. Unless you were a jerk, which I don't believe you to be, then you couldn't sell that in which you didn't believe. So if you can't get to the point where you believe that our services have value then it would be better if you not mention us. You would be selling yourself short.

The second part of this answer is -- if you believe in us then you don't have to get your Sellers to believe in us. Let your home stager contacts (partners) sell themselves to your Sellers. As you can see by the well thought out comment and answer posted above by Kimberly Wester she is able to get to the point and make a point all at the same time. She wrote an entire series of posts to help agents and brokers better understand how to introduce staging to their clients. After getting a lot of requests to combine the series she did so in this post. It is long, it is full of particularly good information and it assumes you believe in the power of staging.

The other thing I wanted to address is this question. Is there a price point where Staging just does not make sense? While I believe that sometimes there is a price point question when determining whether to stage or not to stage I don't think it is always the right question to ask. From my own experience I'll relate a couple of stories.

On an early morning breakfast tour we entered one house that was completely stuffed front door to back with antiques and collectibles. Some of the rooms were added in one era and some in another. Walking through one of the bedrooms is the only way to get to some of the additional rooms. There is a "sunken living room" but, I'm sure it wasn't designed that way. The house sits on a double lot next door to its barn-like structure (bigger than the house) stuffed with even more STUFF. As we left, the home seller asked for my card, which I provided, all the while praying she would NOT CALL me. That property will only sell to the one in a (what?) million person who really loves the idea of taking it on as a project. No amount of staging will ever open that house up to a large pool of buyers. It would be a total waste of time and money for everyone involved. Because I have staged for the listing agent before and because she never mentioned this house as a possibility for staging I believe the agent feels the same way I do about that. We have never discussed it.
A sweet home seller called me to discuss the hot topic always first on the list of questions concerning staging -- what will it cost? After she sent me the MLS number (so I could see the listing photos) we had one more conversation. I called her and told her that her home was lovely, the landscaping was beautiful and the house looked wonderful to me. I GAVE her this one piece of advice -- remove the wallpaper. There was no way that I could charge her anything for telling her the one thing I believed would make any difference concerning the sale of her home as far as presentation is concerned. I did NOT discuss the price of the home nor her choice of agent. I don't know if either of those had an effect on the sale of the house.
I had a phone conversation with a fellow AR home stager concerning a property she staged in California. She mentioned that when she talked to the client concerning staging she said to him, "If you have to make a choice between staging and repairing the driveway -- spend your money on the driveway." (I added this example because it speaks to the fact that good home stagers can be counted on to be a part of your team even when it means we may not get a penny for our time and trouble. We do want to be a part of the team.) Oh by the way, her home seller did repair the driveway and did find a few more bucks for her to do a partial staging. Yep, the home sold rather quickly.

Oh yeah, I can't go without mentioning the photo you provided. Actually, I just have to ask a few questions -- Is that the back door? Does the donkey convey?

While I'm looking forward to seeing the other answers you receive, I'm even more interested in whether or not we have helped you "get your head around it."

Oh yes I forgot one major key to spotting a great Stager....

Have a look at their website, how professional does it look? Is it busy, cluttered or messy? This is the window into their business, if you see crap there, more then likely you'll see crap inside one of your homes, if you use them.

Heather

Wow, lots of great information here as well as some topics for debate, Bryan.

I think by now you most likely have enough food for thought. I'd like to offer that in ANY market at ANY price point (and yes, NO MATTER how good the staging or house, pricing it right is always the first and foremost key) a home staging consultation is the best way to go cost effectively.

A professional home stager can troubleshoot those problem areas, highlight the selling points and give your sellers the blueprint to do it themselves very cost effectively. Find a good home stager you can trust, tag along on the first consultation if you want (I never mind a Realtor being present!) and add value to your team!

Like Karen above, I think this subject has been covered very well and from all angles. I also agress that there is a staging solution for every budget. Stagers and their suggestions can make a world of difference, no matter the price of the home. Only when the condition of the home is very poor and the money isn't there to make improvements would staging not add value.

Kim Dillon, Creative Eye Home Staging, Chester County, PA

APR

2008

Thanks for the post about staging. I currently have a new listing (repairs still being done) and it is vacant.

HOLY COW you have some blog posts in the comments :) I am with you on price being king. I am sure that staging in some instances may help a property sell quicker and maybe even sell for slightly more in some cases. I think in your market though your cost/benefit analysis seems valid to me.

BTW - HAPPY BIRTHDAY!!

Being a "discounter" my clients generally tend to be very cost conscious and I've never had any of them bite on the idea of "staging" their home. That said, I honestly feel that "sizzle" sells and that there are times when I truly wish that my sellers would take the plunge and utilize a stager.

The builders have been doing it for years....how many times have you been in a display and thought.."Whoa! Nice Home! Then later are in the same model home without all the bells and whistles and you think, "hmm, nothing special?" True, it hasn't happened to me that often either, but I have seen it ;-)

So, I would think, that a properly staged home could bring more money than one that doesn't show as well. I also think that they could sell quicker. Just my opinion.

Bob Mitchell

ValueList Real Estate Services, Inc.

Broker Bryant... here is a whopper of my reply. Sorry for the delay in posting but I had a dickens of a time getting into AR. Plus I wanted to really wrap my head around what you wrote and what was written in the comments. So here goes...

Yes... staging CAN help every single home that is for sale that NEEDS it in Poinciana Florida or ANYWHERE else in the United States.

But I think what MANY REALTORS understand staging to be is actually NOT all that it is.

If a home seller goes on-line and gets a list of "10 Things You Can Do To Ready Your Home for Selling" and does as it advises... THAT IS home staging.
If their Realtor then comes to look at the home and advises 10 more things to attend to, that better readies their home for market, and they do those things... THAT IS home staging.
If a Stager is hired and they come up with 10 MORE things for the seller to attend to and the seller or the Stager does them... THAT IS home staging.

Just as SELLING a house does NOT always require a Realtor. Staging a house does NOT always require a Stager. However, Realtors and home-sellers who have worked with a good and reputable Stager have learned that we do see more issues that work against the homes sale and offer more creative ideas and solutions to ready/package/market a home for selling in ways they never considered.

FIRST and MOST OFTEN what a Stager does is ADVISE, CONSUL and DIRECT the seller as to what they can do to BEST to prepare their property for selling. ADVICE! ADVICE! ADVICE! Stagers give advice. A Stager can also COACH the seller on how to quickly, easily and inexpensively accomplish and address that which can be done to help make the home more appealing. These consulting services are typically VERY inexpensive... in some markets less then $100.

Staging MUST consider budget. But don't confuse the fee to hire a Stager with the cost of staging. Staging is NOT only about what is paid to the Stager. The monies spent for staging will also include what a seller invests to make a home more presentable that is not paid to a Stager. Paint, flowers, light bulbs, the kid up the street how is paid to mow the lawn on a vacant property etc. are all part of what it costs to stage a home.

Staging is NOT ALWAYS about bringing in props. Stagers start by addressing the basic CONDTION of the home and offering ideas and solutions to improve it. The final thing we do, if and when needed and the budget allows, is add the "bling" of props. If bringing in props IS an equitable option... then why NOT offer that solution?

There are basically 5 Levels of Service that Stagers can offer... but NOT all Stagers DO offer all 5:

CONSULT: Focusing on the condition of a home, a Stager visits a Seller's property to instruct and direct Seller on what they must do to best ready and set their own property for market.
RE-ARRANGE: A Stager is hired to set a Seller's property and uses Seller's existing furniture, art, and accessories, to achieve the best sales impact possible.
ENHANCE: Stager is hired to set a Seller's property and uses the Seller's existing furniture, art, accessories, and brings in additional decorative props and/or furniture they own and loaned or rent to Seller.
VACANT: Total furnishing and setting a Seller's (personally owned) vacant property.
MODEL: Planning, designing, furnishing, and staging a builder / developer's vacant spec or model property.

Vacant Homes have unique challenges. To fully address the needs of a vacant Previously Owned Homes or vacant Newly Constructed Home can require more time and materials... so of course they cost more to FULLY address. But what NEEDS to be done does depend on a number of issues including: selling price, budget, competition, market conditions, time on market and motivation of the seller. I know many Stagers called into "furnish" a vacant previously owned property and ended up advising that the limited "staging" budget would be better spent cleaning and/or painting the property then furnishing it.

Information is POWER... the more a Realtor knows of and understands what we do and when to use our services the better for them and their sellers.

It troubles me that some Realtors choose to filter ALL that we do through one dirty lens. The fact that they hold the false belief that what we do is HIDE problems is grossly ignorant. Any good Stager is committed to getting a client's home sold. We KNOW there will be a final walk-thru inspection... so hiding and not repairing or correcting a homes problem would be COUNTER to basic the premise of what we do. If gone into this in GREAT detail... but I also think the SOLE reliance on the belief that "Price is King" is a limited sales and marketing strategy. If it were the SOLE issue to consider, then why is it now commonly advised to have a home inspector come look at a property prior to going on market?

But getting back that "ignorance the Realtor community has for home staging" issue, I do believe these ways of thinking are partially the Home Staging Industries fault. A common mantra a home Stager tells a seller is "what a buyer sees in a home is what they believe they will be buying". So if, when the buyer tours a home, the see a kitchen that is a skuzzy, fifthly mess this is what they believe they are buying... even if the seller has every intention of cleaning the kitchen prior to moving out. A buyer only KNOWS what they see.

The Home Staging Industry also suffers from similar perception. For the most part Realtors and home sellers only know what they SEE of home staging. Much is what is VISUALLY shown here on AR and on Stager's websites all over the country are beautifully set rooms within homes that are for sale. The pictures and images that Home Stagers SHOW of their work is most often the most extravagant staging they have done. We show the "BEST" of our work in the hopes that Realtors and home sellers will some how magically understand that we do and offer many other types and levels of service. What "buyers" of home staging services sees of what we do, is what they believe they will be buying.

What we SHOW is not all we do. How does a Stager show the fact that they are advising a seller to scrub the scum out of a shower stall, to hide away the kitty litter box from prominent display, to replace the 2 of 4 burnt out bulbs in a ceiling fan, knock down the spider webs gathered in corners, repair a window with a broken seal, clear out the fire trap of clutter that fills a furnace room, or remove art that might be considered controversial and distracting. There is a litany of things unique to each home we address each time we are called in to stage. Unfortunately, all that can be done and is done does not hold the immediate visual impact the final dramatic images we display of rooms set by a Stagers. The Home Staging Industry has work to do to show MORE of what we do... not just one image of it. Thinking that showing the most dramatic transformations tells our best story is working against us.

Don't let the words "staging" or "Stager" trip you up. While these words are relatively new, what we advise has been given as advice in real estate sales for year. All that has really changed is that there is a INDUSTRY committed to understanding the intricacies of how a home can be best merchandised and marketed as a product so that it appeals to a buyer and entices them to buy.

So that is ONE BIG comment that only begin to explains the why and how of what we do.

mmm yeah, Craig basically said everything I would say. :)

BTW, I love this post that you wrote and comments it generated. Great stuff! Would you mind submitting this to the Blog Carnival of Real Estate Home Staging? It's http://blogcarnival.com/bc/submit_2606.html

Cheers,
Cindy
Organizer, Blog Carnival of Real Estate Home Staging

Broker Bryant, You may just have created one of the best discussion I have ever seen here on SIF. Craig, as only Craig can do has very thouroughly stated the facts about how professional stagers think in our approach to our part in Marketing the homesellers property. This discussion, in my estimation moves us all closer to common ground in the understanding of what a Professional home stagers role is in the larger scheme of the Real Estate world. Craigs words so keenly describe the degrees in which a stager can effect the Marketability of a property all the way from involvement in an advisors role to a complete commitement in the form of total staging. EXCELLENT CONVERSATION.

Damn Craig!!!!! Great comment. I think you are absolutely right that it is the REALTORS(R) and public's perception of what staging actually is that is throwing us off. I also think a lot of that has to do with what stagers are throwing at us i.e. the best staged home on their website. Maybe that is an area that should be improved on. When I look at staging sites they seem to be geared towards "hitting the home run" instead of really pointing out what can be done for the average Joe.

The reality is "the average Joe" is who most of us are dealing with on a daily basis. When I think staging the first thought I have is "My sellers can't afford it". Why is this? My perception needs to be changed by Stagers throwing some reality at me. That was why I wrote this post. Thus far.....it has worked. I'm starting to get a new perception of what staging is all about.

So this post has been a success. It has also had 617 clicks!!! So folks are reading it.

OK Cindy I entered it. Thanks for the link.

Bryant;

I also want to thank you for starting the conversation. As a host of a radio show centered around the business of staging properties to show better and sell more effectively this forum has been very educational to me. You made the best point in that your perception needs to be changed. This is exactly the dialogue necessary in order for both professions to understand the hesitancies and the misconceptions on both sides and find the means to forge a team focused on the same goal...successful sales.

THANKS!

Hallelujah! Yay! Woohoo! As the office manager of rooms b.y. root (oh and the daughter of Yvonne Root, owner of aforementioned concern) there is nothing I love more than reading BB say that he believes that this post has been a success...specifically in helping him to more clearly understand what staging really is. We at rooms b.y. root have always felt that one of our first tasks within this burgeoning industry was to help brokers and real estate agents fully understand how we hope to be a part of the team. I am glad that this post has drawn so much attention and that it has helped to move the industry forward in that goal. Thanks so much to BB for posting and to all who have discussed here with such openess.

Forget staging! HAPPY BIRTHDAY!

APR

2008

Inspired by all of the amazing comments that have been provided in this blog, I'm going to a meeting tomorrow, armed with new info about the complete menu of services I provide. Additionally, I'm going to provide the following tag at the bottom of the page:

EDUCATE YOURSELF: For a comprehensive online dialog between Agents and Stagers across the US & Canada regarding the merits of home staging (including case histories), go to: http://activerain.com/blogsview/455792/Does-Staging-a-home

I'll let you know if any agents give me a follow up call and we'll see if Bryant gets a new influx of Broker comments and questions!

I was just poised to submit my comment to this litany when I read on and someone has touched on my thoughts and expressed my "original " ideas to the forum..I can only concur with Gina who says "we are on a team here".

I got the impression from reading all of this material that many RE's and stagers are at odds. Aren't we focused on the same prize...selling the property?

Stagers are available to put effective ammunition into your arsenal of marketing strategies. From my understanding of the current housing trends, I believe the war on stagflation warrants measures that weren't in the chest 10 years ago.

I have great respect for REs, the paperwork alone is mind boggling. We are here to help, not hinder. Our work has measurable effects when used logically.

Susan Milner addressed this, but I want to underline it a bit ....

Let's say you are in the position of buyer's agent ... you show two similiar homes, same size, same floor plan, one staged, one not staged. The staged home is asking more money.

Do you point out to the buyer that the unstaged home is probably the better value? With apologies to my stager friends, we certainly do point it out to buyers, sometimes reminding them that for not too much money they can make the lower priced home look like its staged counterpart ....

So following that train of thought ... the unstaged home might sell faster...... hmmmm....

Cheryl,

With all due respect, why are you marketing a product for less profit? And no, not everyone can just breeze in and make it resemble the staged prop even if they are up to the task. Part of our appeal is to insure that a buyer won't have to do these chores, but to gather up their belongings and move In. Not everyone is into a FIXER.

And exactly what kind of NOT TOO MUCH MONEY are you referring to? Is that the selection of paint color, the arrangement of furnishings for traffic flow or any of the other creative marks that were left on the well staged home? Perhaps you are suggesting they contact a stager after they move to the new property?

hmmm...

APR

2008

Cheryl Cheryl Cheryl,

VALUE is realative. I could give you a zillion examples.... but let me bounce this one off you.

If the better value home is clean, freshily painted, new carpet and refinshed floors is it better value to a young couple how as a young child and due to have another and are moving from out of state? Having a home in move in condition for SOME (not all) buyers.

Cheryl,

One thing you didn't mention was if the hypothetical staged property has a better lot or a view that would warrant the higher price tag for the staged home. We are in an IDENTICAL situation, where we are staging a 4 million dollar OWNER OCCUPIED home, and the exact same floor plan is for sale directly across the street. Our staged home is asking $100,000 more, but not because we are staging it - it's because it has a VIEW.

All things being equal, even in high end homes, this owner realizes that he needs every possible edge to sell his home quicker than the one across the street that he is in direct competion with. Staging usually does NOT warrant an increase in the asking price, it DOES give the home a more appealing, marketable, sell-able edge to it's competitors. ~ Just my $ .02

I KNOW you and the TLW will enjoy this.

Ruffled Feathers makes for some Good Flapping in the Rain

APR

2008

Bryant...happy belated birthday to a fellow Aries!!!!

oh yes, this was about staging.....ooops <G>

MAY

2008

Craig covered most of what I would have said, so no point in being repetetive. But I would like to add:

When you put a home on the market, you are entering it in a beauty contest. The best looking homes sell faster and often for a higher price.
Staging is not an excuse to overprice a home.
An overpriced home will not sell whether it is staged or not.
Some staging is better than no staging at all
If you have to choose between making repairs or staging due to budget, make the repairs

Our consultations are in writing and usually 4-10 pages long. We open every closet and cabinet and instruct the home owner how to prepare before they put the home on the market, and once the home is on the market, so it shows at its best. We have an extensive list of suppliers and vendors that do good work for a good price and can show up the next day in case there is a repair that needs to be addressed and the listing agent doesn't have someone to refer. After we are done, we often hear the sellers say that they wished they had called us in years ago. The house never looked so good when they lived there.

I do not try to "trick" buyers, conceal damage or structual problems. I have been asked to do so by unscrupulous home owners or listing agents, and I walk away. If we discover a defect or problem during the course of staging, we make sure to inform the home owner and listing agent.

Almost 80% of the homes we have staged sold in 60 days or less, half of those in 30 days or less, and many of those in 7 days or less. And yes, a few of the homes we staged did not sell while they were staged (two are still unsold one year later). They were grossly overpriced and the owners would not entertain lower offers. I guess they weren't that interested in selling. A home we staged last fall had been on the market for over 200 days before we staged it. It closed escrow 58 days after staging.

My company is invested in helping our clients sell their homes quickly and for the best price. We assist in the marketing by providing professional quality photographs for the listing agent to use on the MLS and in other marketing as part of the staging package. We will provide a Real Estate Show if the listing agent would like one. 80% of buyers are shopping on the internet for homes before going to see them. If your listings don't look appealing on the MLS, with great photos and lots of them, they will be dismissed with the click of a mouse.

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