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Why Does Your Agent Want to Reduce the Price Rather than Stage?

Far too often, Realtor's with a listing will suggest reducing the price if it hasn't moved.

The Realtor's job is to sell the house. If they have priced it right for the neighbourhood and current market yet they are suggesting you take a price reduction it is time to ask them a very important question.

Why are you not suggesting a Professional Home Stager rather than telling me I need to drop the price?

There are a number of reasons why they might not suggest a Professional Home Stager.

They:

Don't know any stagers
Don't know what a stager is or does
Feels they told you how to stage already
Don't believe staging works
Are afraid you will ask them to pay part or all of the staging fee
See that a reduction in your asking price has less negative impact on their commission than paying for a Professional Home Staging consultation

On a $250,000 home a $10,000 reduction is only a $250 hit to the listing agent's commission based on the listing agent getting 2.5% commission. Is this an important piece of the puzzle or just coincidence?

Posted by Toronto's 2 Hounds Design: Decorating + Staging on 09/18/2008 12:41 AM

Comments (49)

Price Reduction or Staging? in the Home Selling Channel

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Originally posted at: 2 Hounds Design - Unleashed: Why Does Your Agent Want to Reduce the Price Rather than Stage?

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49 Comments on Why Does Your Agent Want to Reduce the Price Rather than Stage?

SEP

2008

Interesting information. I have a friend in town that is trying to get into staging. I have asked a number of realtors in casual conversation about their experience with staging. Seems like it has received mixed reviews. A number of the female agents didn't seem convinced that a stager could do a better job than she had already done. The male agents sounded convinced they could sell it without incurring the additional expense.

Go get 'em. From one striving business owner to another, I hope you develop a prosperous business.

Michael - Scher Professional Inspections

I dropped a client recently because even with a stager the home wouldn't have moved. Why? They had hobbiest do the work in their home and it showed. They wouldn't make the necessary changes. They hid things from me as a Realtor and I didn't know it until I saw the problems after the third open house. All the staging in the world won't work if the seller leaves the house a mess, won't mow the lawn, doesn't care that there are dishes in the sink and they've been given 24 hours notice. That the toilets are filthy and they refuse to clean them. You know who cleans them? Me, their Realtor. I do the dishes. I've cleaned the windows, washed the floors, mowed the lawns, painted walls, put in plans and shrubbery. Not the seller. Why? Some don't care.

Can you explain to me how one competes with 14 short sales with in a two block radius? Staging? When you have deals that are undercutting your seller who is a standard sale and deals are out and about in the field. Price reductions are happening every month in one neighborhood in Chicago and it's wrong. Down right wrong!!

Please don't assume on commissions and maybe you don't understand the scale because most Realtors share that selling/listing commission with their brokerage firm and on top of that we have monthly expenses roughly around $750 to $1,000 to maintain our business but that doesn't include the costs of open houses, marketing materials, signage, paying for home warranties at times to get the deal closed in the area of $400 and sometimes $1,200 for one property. Some of us do hire home stagers and the one that I work with supports me and by that I mean, she works in a professional manner and realizes that some of the properties that I list wouldn't require a stager.

Maybe I'm reading this wrong and I hope I am but I feel as if you are using Realtors on a "chicken little" basis because business is slow, sales aren't moving like they should. A good Realtor watches their budget yet knows where it's worth to stick our necks out. I just fired a client and I put in over $2,000 in marketing and staging was visited but the seller wouldn't move on it. I offered to pay and even had a fellow stager come in and you know what? The seller wouldn't make the changes. Yup. The one that wouldn't maintain the lawn, had a mess in the house, when things went wrong in the house, the hobbiest was brought in to rectify the problem which created even more problems.

I have no objection in paying. Please know that we put our money on the line to market these homes and not all of our listings sell. When you stage, you get paid. If we don't close, we loose our financial, emotional and physical investment in that property. Big difference.

It sounds to me like you are another vendor who thinks that the broker has deep pockets. I suggest that if you need more business you should work WITH the broker in educating the seller on how your services can help them sell thier home faster and for more money. I agree most agents probably are not to familiar with what a stager can bring to the table. Its your job to educate them. Better yet why don't you work on a contingency basis like us brokers and get paid only when you produce a sale?

In this market, staging wouldn't work. It's price alone that is getting the sale. If a home is priced comparable to where the foreclosures are, it has a great chance of selling. Many are selling within hours of being on the market, so for those staging wouldn't be needed. I believe in home staging, I have staged homes with what the seller's already had, but with vacant REOs(and some that I've seen are in HORRIBLE condition and could use staging to make them seem less EVIL) you just can't stage.

(See that a reduction in your asking price has less negative impact on their commission than paying for a Professional Home Staging consultation)

How insulting your post is to Realtors. Who are you to say that Realtors should pay for staging services. I have nothing against staging a home, but it's not my home and not my bill to pay. Should a Realtor have to pay for the lawn service and the cleaning lady too to get the home sold? If the home needs painting should the Realtor have to pay for that?

My sister used a stager and was paying $350 a month to rent the stagers furniture plus she paid the consultation fee. Her Realtor didn't pay the fees and my sistger certainly didn't feel her Realtor should pay it. Realtors work for their commission and their experience and education are most often what gets the deal to close when issues arise.

I think stagers should offer their service's like a Realtor. You get paid when the home closes.

Dane: I think the big problem is misinformation in the marketplace. Many REA's have not had the opportunity to work with a really top-notch professional home stager and may not know anyone else who has. The staging market is flooded,as you well know, with wanna-be's, hobbyists, and the dreaded sister-in-law's best friend stagers. I think if many REAs were given the opportunity to see how much an experienced professional stager can help to sell their listings faster and for a better price, they would be all over it.

Down here in Los Angeles, it is almost always the home seller that pays for staging, although some REAs will pay for a comprehensive consultation as part of their marketing package. The home seller will get 94% of any profit on the sale (assuming a 6% commission) and they should be responsible for getting their home into top selling condition, as they were when they lived there.

IMO, the home seller should be paying for full scale staging not the listing agent.

I can totally understand how these realtors feel. They have enormous overhead and by the time they pay all their expenses, their fee is not outstanding for all the hours they put in.

The reason that most stagers don't wait until close of escrow to get paid is because we have no control over major areas such as price & availability. We are another vendor providing a service just as a painter would be.

Staging can be incredibly helpful, but we need to be realistic - sometimes there is simply no money for it and not every single home needs to be staged (i.e. the trashed REO's or sellers that won't upkeep). They need to lower the price rock bottom and sell as is and just get it done.

(I have no objection in paying. Please know that we put our money on the line to market these homes and not all of our listings sell. When you stage, you get paid. If we don't close, we loose our financial, emotional and physical investment in that property. Big difference.)

Agree Barb!

A good Realtor does not need the help of a stager to tell their client what they need to do to make their home more presentable. We the Realtors from day one explain to our clients what they need to do in order to have their home show well at no extra cost to them (that's part of what we do). Whether they listen to us, well that's out of our control. The sellers sets the list price even though we sugest a lower price range. Now, if a realtor chooses to take the over price listing, thats up to them. I personnally won't, it's a waste of my time, my companies and my marketing money. You so call stagers charge our clients a unreasonable about of money, then when the home still doesn't sell you blame us the Realtor for listing the property to high. You can never admit that maybe the slow market, people not being able to afford to purchase, the world economy can have something to do with it. So tell me when the real estate market get's better and homes start to sell like crazy again, what line of business will you be in? Let me guess, that's when you get your real estate license and become on of those temporary, just in it because the market is hot agent.

This sure is a mixed bag. I do not want to go long here as I have already had a long, long day!! Staging vs. a Price Reduction. Either can be appropriate or just one on any given house BUT both are equally important!

Price & Condition - Condition & Price - the largest driving factors in selling homes today.

My experience in the last 90 days has been amazing in the town home market - a dead zone (like the commercials) hre in Florida right now. I have two to mention one had been way over priced but Staged for 10 months; once the price dropped (100 G's) to a more realistic price it sold. It was not just the reduction but the Staging that sold it. Two units in the complex were identical except for the Staging - the unit I staged SOLD - with a higher asking price. The Staging SOLD the unit over the other according to the Buyers.

In another case one of my Staged Properties went into contract in 75 days in complex with brand new/never sold units still available and others going at auction. The Staged property went for close to asking price - well over the auction sale.

As buying is an emotional decision Staging does work as it makes the properties memorable and allows the buyers to begin mentally moving in. Professional Home Stagers create BUZZ in and around the property.

With that said - Home Staging is a new industry and is going through major growing pains. Every ones neighbor wants to do it and thinks they can because they watch the shows - the cannot!! Makes me crazy to see all the awful staging (small "s") going on in Real Estate. Check out your Staging Professional before you hire them; be sure they are full time - serious - committed professionals that have some business sense.

That's my story and I'm stickin' to it. BTW - I still believe the homeowners should pay for their Staging as when they don't they do not take any pride in what it took to get it spiffed up, how the property is maintained or how it looks to potential buyers.

Home Staging as Real Estate is certainly not a cookie cutter business! I love my Realtors!!!!!!!!!!!!!!!!!!!!!

Have a great night! Jan Whitlow, ASPM, IAHSP

I think staging can really make a home more appealing, especially if it's just sitting there empty and bare. So far I have not had to take that step, but I have been giving it some thought.

Michael, Seems we've gotten the same impression. There are so many who don't feel they need staging so won't give it a chance (with a proven professional) but the one's who do try using a stager once won't sell without ever again.

I think it is an owner/sellers responsibility to prepare their home for sale (which includes paying for a stager if required) but it is the Realtor's responsibility to EDUCATE the homeowner about the available service. They are the professional and should have the options to run down to help the seller.

Thanks for stopping by Michael!

Barb, The market must be really tuff in your area right now. It is a terrible position for all right now.

I feel for you, your sellers and Chicago and hope there is an upturn soon. I would never suggest a Realtor should pay for staging. I think a lot may be fearful if they suggest staging, especially after a property has already been sitting on the market, their seller will tell/demand/request/confront them that perhaps they should pay.

There are Realtors who do pay, those who pay sometimes, those who recommend but don't pay and many many more who don't even mention staging.

A home owner who hires a Realtor expects the Realtor to inform them of all aspects...the Realtor is the professional.

Too many Realtors automatically go for the price reduction. Plain wrong if they haven't discussed staging. Harsh sounding, not meant to be.

How many buyers agents do you know who will say,

'ah, wave the inspection'! Or
'I'll inspect if for you!'

The difference? 2 I can think of off hand:

Liability
Most buyers don't expect their agent to pay for an inspection

There is, I feel, an inherent fear by listing agents of being asked to fork out more money...when as you've said they have already invested hundreds.

Suggest, recommend, at least encourage your sellers to look in to Professional Staging consults. That's my position as a Professional in the industry and as a buyer and seller.

Barb, thanks for taking the time to comment. I hope I've cleared up the 'chicken little' view! BTW, I really hope things get better soon for you guys!

P.S. For some of my L.A. I have accepted payment upon closing.

Hi Tony,

You are jumping to conclusions my friend. I don't expect a realtor to pay for the consult nor the staging. That is a business decision for them to make. My personal feeling is it is the homeowners responsibility...but I do see the marketing advantage to partnering with a stager to form a team.

Do Brokerages have deep pockets? I don't know...do they? I do know they have credit a L.A. can use to market properties which they repay upon closing. I don't however assume all Brokerages offer this help to their agents.

I do educate Realtors...but it is the Realtor's job to educate themselves. L.A. are telling prospective sellers they are the professional...but most don't do any education of their prospective clients let alone themselves.

I can count on 1 hand the number of Realtors who have asked my how staging works, what is involved etc.

Also, I've gone in to Brokerages and met with the Office Managers...talk about being abused or having my time and one one occation my money wasted. I can see why on one hand, every Tom Dick and Hennriette is a stager (small s...lol, thanks Jan!) how are they to know I'm the real deal. Well, they could look at my portfolio...but that seems to be asking too much in most cases.

As both a Realtor and a Stager, I would just like to say we all have the same goal, to sell the property. We as Realtors do our clients a dis-service if we do not provide them with the best possible advice, Staging is a marketing tool. When your listing is properly priced and Staged it sells.

I live in Maryland things are slow here as well. Short sales and foreclosures abound! In August, I Staged properties in both Silver Spring (short sale) and in Washington, D.C. The homes both went under contract in less than 2 weeks. I have yet to receive payment on either as I receive payment at settlement. That works for me because my contract states that the Staging is paid on the HUD-1.

Just my 2 cents,

Anita

Amy, I don't know what to say:

'If a home is priced comparable to where the foreclosures are, it has a great chance of selling.'

If I'm listing my house...but it is not a forclosure...you'd price it to compete with them anyway?

Perhaps things are different where I am but forclosures are destroyed by the owners before they leave. Everyone here knows a forclosure will require work and $.

Dawn,

'How insulting your post is to Realtors. Who are you to say that Realtors should pay for staging services.'

Read my post again...I'll wait.

No where do I say a Realtor should pay for the services of a stager. I said they may be afraid the seller will insist the Realtor pay. BIG DIFFERNCE. Appologize!

Just kidding! Thanks for taking the time to comment...hopefully next time I won't ruffle your feathers! ;)

Michelle I agree with you whole heartedly!

Beth, agreed some either don't need staging (yeah for those home owners for their good taste!) or they just wouldn't or couldn't maintain...so not much point anyway.

Loida, wow. Hey, I can sell my own house without you and save the commission!

Dane - Any business takes time to build and while your industry has been around for some time in the US it is still in its infancy here in Canada. You have to crawl before you can walk and walk before you can run.

Regardless of your personal feelings on the matter it is not the real estate professionals responsibility to educate the consumer on staging, discuss the benefits perhaps, but educate that's where you come in.That's part of what an advertising budget is for, that's where you're blog could be put to good use instead of knocking those you wish would help you build your business.

You will find that professional ones do not partner with a stager, a home inspector, a lawyer, a painter or any other service that a home owner might need ... they will however recommend at least three in most cases perhaps more if and when the need arises or they are asked for recommendations.

Jan, great comment!

A suggestion: copy and paste your comment and give some background in to your blog...you've got yourself a great post. Get those 200 Points for the time you've invested after a long day!

Georgina, I can imagine I'd be in the same position as you if I were a realtor. I'd see the value of including a staging consultation in my marketing. My suggestion, find one who is really really good and who is able to work with you including with fees.

If a Realtor uses me for every single listing weither required or not...they are NOT going to be paying my full fee.

Anita thanks for adding your 2 cents and congratualtions on your sales!!!

Whether to offer staging as part of marketing really is a personal decision...but it does work and more realtors are YELLING that they offer free staging.

Hi Barrie,

As an ex-Realtor you should understand that it is a Realtors responsibitlity to explain the available services to the seller. Educate...to some degree yes. Realtors are the 'go to' professional when it comes to selling.

But! That is changing. Too many Realtors are not changing with the times and sellers know this. I have referred many Realtors to MY clients because the homeowner respects my recommendations and can trust that if I recommend a Realtor they are top-notch and don't try to say they can 'stage' for them there no need for a Professional stager or worse, no need for a stager.

Professionals do partner with stagers. It is a team effort. Don't get lost in the past!

SEP

2008

Hmm Dane - I read it as Dawn did - and so I went back and read it again.......below your points you state...

"On a $250,000 home a $10,000 reduction is only a $250 hit to the listing agent's commission based on the listing agent getting 2.5% commission. A Professional Home Staging Consultation in the GTA starts at $250 for an inexperienced stager."

That to me sounds like you're suggesting a realtor pay for the staging........because you are referring to the "hit to the listing agen'ts commission'.........Now you know I love you girl........and I've always liked how you post pro-realtor blogs.........i even asked your permission to use your FSBO post......quote in my website......:-) But this post was confusing........judging by many of the responses.:-) luv ya

Hi Liz,

I guess I missed my point! I was looking at it as a Realtor may see how a home owner would approach staging 'after the fact'.

It would be hard as a Realtor to say, well I recommend you take a reduction or stage. As a homeowner...if, when a reduction is being discussed, the first mention of staging is as an alternative...I'd be upset and I'd suggest they cough up some dough for not suggesting it earlier.

I think many realtors, as humans are afraid of conflict and see that suggesting staging (after the fact) there may be some upset homeowners who say 'then you pay for it'.

Placed in that position some NOT ALL may chose not to bring up staging for fear of being asked to cover the cost.

Liz, you know me...it's a personal choice ;I'd never suggest an agent should or tell an agent to pay for it...unless they asked an unreasonable commision...which just doesn't happen.

Hey congratulations on the Feature - see controvery works! :-) I wish we had stagers locally - we don't - at least no one I've heard of - or that markets themself.........If there was a good one I'd be more then happy to make that a part of my service package........but not because the seller expected it of me - but rather because I choose to offer it as part of my service and something that differentiates me from the rest!

Good going girl! :-)

We as agents are taught, price is what sells homes. Well this is partially true.

While each transaction is unique, and many factors are used to properly price a home. The showing condition offsets price to a degree. Odds are if you are using price as the only means of selling a home then chances are your client's and you are loosing out.

I work with a stager for every one of my listings ... I pay the fee for her consultation and I feel that is totally justifiable. I view this expense as part of my marketing for the home. It ensures that the homeowners are properly educated on preparing their home for re-sale, it means more money in their pocket at closing which is never a bad thing and it could mean the difference between selling the listing or watching it go on the expired list.

I'll admit that staging can transform a space and give buyers that 'warm and fuzzy' feeling that homes sometimes lack. I've even staged some of my new construction projects in the past but in the end it all comes down to price. (in my market)

To answer your question: "Why are you not suggesting a Professional Home Stager rather than telling me I need to drop the price?"

Because it's always been about price. All the chintz accents and odd numbered candle groupings in the world won't overcome an asking price that's above the comparable market. The 'hit' to my commission never enters my mind. Staging does have a place but it's not to artificially inflate market value. My .02 worth anyway.

I am a realtor and I NEED a stager to help me make a difference in a home - I can talk about decluttering, color, etc - But the stage comes with the credentials in that area and it seems to make a difference when it comes from him/her!

Dane - thanks for the heads up!

Jan Whitlow, ASPM, IAHSP

You make a very good point...

Dale, I'm not sure how others work, or what the reasons are for doing certain things, but more often than not, these days, sellers aren't paying full commission. They are also not listening to us in all instances, about staging a property. A lot of sellers think their house is perfect.

Sometimes we want to pull our hair out, because we have to try to tell some clients that they have too much stuff, and some of it has to go into storage, and the black bedrooms have to be painted, etc., and they refuse to do anything. I've gone as far as paying for the initial consultation, only to be asked afterwards to pay for the staging costs. When a seller is already not paying full commission, and then ask the agent to pay the full staging costs, it may be asking for too much, and it happens all the time. That, on top of the $1,000-$3,000 that sometimes costs to market some harder to sell homes, becomes too hard to handle.

As much as I try to help all my clients, and I always do go above and beyond and give a lot back; I can't walk away in the red either.

More often than not, though, it's not the cost of the staging that is the big problem. It's convincing some sellers that the amount they want for that home, is not realistic for that neighbourhood.
And yes, I know some will be saying, well, why are you taking an overpriced listing?
In some cases, even when the listing is NOT overpriced, and you convince the seller to list at a realistic price/market value, they will still not accept a full price offer. They are expecting to sell above asking, because they know someone who did, and they think all areas and homes (and markets) are the same. Why should their house be any different?

I am the first person to suggest to my clients that they contact all the professionals involved in a sale immediately. Not just the stager, but the home inspector, to do a pre-listing home inspection, or to contact their lawyer ahead of time, to review paperwork, if they wish, since they need a lawyer anyway, etc. It's all easier said than done, though.

We need to get consumers better educated about staging and the value of it.
The last two homes I had staged sold for full asking price, within 1 week, and not in a 'hot' area at all. Yes, they spent a couple of thousand dollars, and I gave them that break on the commission, and more; but if they had not done it, the houses would still be there, like the others are, that were on the market before mine went up. Staging works.

As far as waiving home inspections, I just can't believe it.
The home inspection clause is ALWAYS on my offers, and I sometimes have to twist their arm to get it done. There is no way I would ever tell a client to waive the inspection. I want to be able to sleep at night.

great Info ,and some of these comments are very interesting ,funny how different a realtor looks at things ,I guess we all have are own field in the market

Excellent bit of advice, Dane. I'd like to reblog it but can't figure out how to do so. Thought it would have been as easy as clicking on the image that says "reblog" ... hmmm

My personal realtor & friend has been using an interior designer since before staging became so "hot." He told me that he can tell a seller exactly what they need to do, and they will ignore him because, "He's a realtor - what does he know about design?" He'll have a stager/designer come in and say the exact same thing, and they say, "Okay, I'll do it." For that reason, he includes a consult with his listings (but the client pays for actual staging).

We live in a world where credentials matter to people. Realtors have an enormous amount of knowledge to bring to the table; they can't be specialists in everything.

We are partners together to get homes sold so people can get on with their lives (and we can eat!).

Dane, ruffling some feathers make for a great dialog and great blog.

I have to put in my 2 cents worth. There are assumptions being made on both fronts of the stager and realtor. We are assuming that we are not working with professionals.

A professional realtor would NEVER assume they can stage the property by themselves. They don't have the time, and they rather be using their energy getting more listings and closings rather than trying to schlep furniture and/or decluttering a whole shelving unit worth of stuff. They would pass it on to another professional to do his/her job.

Really savvy and top-producing agents are USING staging as their marketing tool. Instead of giving away home warranties, which homeowners may not see benefits to helping "seal the deal", they are rather gifting home staging consultations. That directly contributes to a faster sale. As far as the actual cost of doing a home stage, that is really passed on to the homeowner unless it is a $1m home, and the realtor has a bigger budget to help sell it as quickly as possible. The realtor can help pay for some of the costs related to staging, as it will be mutually beneficial if the home sold in the shortest amount of time on the market, AND, it sold for the most amount of money. I know you guys are snorting "yea right, not in this economy" BUT imagine, if there were 2 houses that were listed for $1m, which one would sell first? The staged one or unkept, non-staged home? Also, I say the most money, because even in this economy, it may not sell for $1m, BUT it may sell for $965 as opposed to the home that doesn't spark an emotional attachment, that will sell at $890.

A professional home stager, would never undermine or blame a realtor for not selling a home. We are in a tougher market than we are used to but homes do sell when 2 factors are met, as my fellow ASP Stager, Jan Whitlow mentioned. That is Pricing and the Condition of a home. Realtors are our friends as they refer us business and vice versa.

We professional home stagers, are not in this industry to gouge the homeowners. Most of us, like myself, had home staging find us. I will have to blog about how I came about starting my company in a later blog, but most of us professional stagers are in it because we found our PASSION and LOVE helping homeowner's move on to their next phase in life (whether it's because of divorce, death, relocation, lost job, bigger house, downsizing) or clients move on to their next big project as the case with many builders and people who turn over homes. We don't wake up one day thinking, "I wanna be rich, I think I'll be a homestager." It is hard work, takes lots of patience, educating people from all walks of life, and it is tough being in a relatively new field. There are times when I want to quit, but when I get that call from a client, saying "I feel so at peace, loved what you did to my place," or a realtor saying "thank you so much for your assistance as that has really helped the homeowner go forth with her retirement plans," it gives me energy with a renewed purpose and drive.

Loida, I don't mean to single you out but I want to let you know that our business is not in any way a competition with yours. Our industry was built and is in the real estate industry and we are there to support REALTORS! Do not fear that we stagers, will one day become your competitor. I love my industry as we are in, what I call, "a recession proof" industry. In a slow market, a staged home sells faster than a non-staged home. I think you will agree. In a HOT market, a staged home sells for more money (usually more than the asking price) than a non-staged home. If a home is selling at full asking price for a lackluster home, imagine how much it will sell for a wonderfully, professionally staged home? Why on earth would all of us Professional stagers quit or business when that is a GREAT time for us home stagers?

Bottom line:

TO ALL REALTORS: stagers are your friend. We help you market your property and the homeowners usually pay for it. We also help you get listings. Savvy clients who has heard about benefits of staging, and has staged their homes, has yet to find a realtor that is "on the same page." I have referred many homeowners to realtors. In fact, if you want to walk the talk, you should have some names of reputable PROFESSIONAL home stagers in your local area ON HAND. Make sure you interview them and ask for portfolios and qualifications. I have had 3 clients who have canceled their listings with their realtors, because as one client told me, "I can't believe we've been wasting our time for 3 months, and they never even brought up the idea of home staging. I had to find out through a friend."

A professional home stager and a professional realtor = SOLD home!

You definately know how to put a burr under people's saddle! How will that get you more business? Sellers are slow to move in a more positive direction with staging and it is hardly the realtors fault and no seller has ever asked me to pay for staging. They usually have a heart attack when the bill is presented. That has everything to do with the stager herself/himself. Money is the real issue nothing else.

I think that staging is important but not for every house. It all depends on the situation. If the client is willing to pay for it i say let's do it.

I have never been approached by a staging professional to even find out how the fee schedule works. We are much too busy to try to look through the yellow pages for a stager. I would gladly add a stager to my support team if I found a reliable one!

I do not like being negative, but I did not appreciate your blog. It was very derogatory towards REALTORS and contained too many generalizations. I thought we were on the same team, with a common goal? Let me explain:

You stated "Far too often, almost all the time really, Realtor's with a listing will suggest reducing the price if it hasn't moved." Bold statement...in the last 6 months I have talked 4 listings into keeping their price the same when they called for reductions - AND suggested a stager.

Your statement: "If they have priced it right for the neighbourhood and current market...". The reality is that, far to often, we give the right price, and the vendor thinks it's too low and demands it be listed higher.

As for your suggestions as to why stagers don't get called...they are poor. I work in an office with 60 REALTORS, and we work closely with two stagers, who provide colour brochures for our listing presentations, and sometimes estimates. We thoroughly believe in them, and trust them to make US look good. Some of us offer to pay the first $50-$100 of the fee, depending on the value of the home.

I found this statement laughable: "A Professional Home Staging Consultation in the GTA starts at $250 for an inexperienced stager." What about a professional, experienced, stager? They are more, but we pay it if they are worth it.

And was this necessary?: Is this an important piece of the puzzle or just coincidence?

Yes, your statements are accurate for SOME REALTORS, but when you write an article for the general public, generalizations hurt ALL REALTORS, even the ones who support YOUR business. Your article could have been written in a much more positve manner. I believe in your message...its your delivery that was wrong.

Hi Dane!

More contorversial than ever:) I added my 2 cents on this topic on my blog. Thanks for inspiration!

SEP

2008

Wow! That sure set off a storm of comments! I have actually LEARNED a lot by reading through all these responses. We all feel that we are important and have something to contribute, and need to learn how to work on the same team FOR the sellers/buyers.

I love being a stager in Denver and I went into because of my passion for helping people and I have a flair for decorating/design. No, we don't make that much money, but doing something you love is it's own reward. I have a few realtors that call me when they have a house to list. Most of them pay my initial consultation, but I would NEVER suggest that they pay more than that. It is the home owners responsiblity to fix/upgrade/improve their home or settle for less money. If a professional tells you what would make a difference and you don't do it, then it's your loss. And, yes, coming from a professional stager makes it easier to take advice then coming from the realtor who is making money from your home sale.

Realtors who recognize the value of staging are way ahead of those who think they can do it all. How many of them do the inspections, or the appraisals, or the improvements? Do what you do best and bring in other professionals to help. (I use pros to do the painting, landscaping, flooring, etc)

Geat post - even if it did bring up alot of issues!! I'll keep reading yours!

Debbie Fiskum, Perfect Transformations Home Staging & Decorating in Denver

I don't get it. I have read many of these posts and it seems that agents and stagers are on the same page with the agent paying for the initial consultation. No, I don't do home inspections myself or appraisals or home improvements. But I also don't pay for a consultation when refering potential business to these vendors. Why would an agent pay to drive business your way when we as agents work and get paid only when the deal closes? I think all you agents who pay for an initial consultation need to re-evaluate your business model. Stagers should be kissing your butts for referals!

Tony Zenkewich

All Queens Realty NY

SEP

2008

I hear you, it's always tempting to hit on the agent and the commission BUT... NOT...most good agents are not thinking commission when they think price reduction. You see IF you don't get sold the agent doesn't get a commission but neither does the seller get any $$$...That's not the goal.

The truth is that a listing in our area costs the listing agent between $750 to $1000 a month. SO, if I have 4 or 5 lor 10 istings, do I feel I should pay for the staging??? NO. The seller should have an investment in the staging and keeping it staged or it just doesn't work out well. They have no investment, they don't keep it staged and blame the staging or the realtor...When the market is dropping faster than the property can get sold, it is necessary sometimes to reduce the price. I've had instances when the price we discuss makes perfect sense at the time, while the work and staging take a month to complete and we are then priced out of the market. It's a constant review and adjustment to the market. Should they stage ABSOLUTELY. Should I pay for it rather than have them reduce the price? No I don't think so. If price is wrong, they should probably do both. That's the reality of it.

Dane I would have to say that the price and staging would be equally important. The house can look gorgeous due to staging but if it still is overpriced it will not make a difference. On the flip side a home that shows dumpy that is reduced but is priced fairly well may still not sell without at least some proper TLC.

SEP

2008

Wow - some pretty interesting comments going on here. Dane-I know things can get frustrating when you're passionate about what you do and want to pull your hair out when others don't get it. Our industry is fairly new and we need to continue building relationships and proving our worth. We know the power of staging - we see it everyday. It takes time to win some over but just keep pushing forward and it will happen. In today's economy, everyone is hesitant to spend a dime. Realtors get blamed that a seller's home is not what it was worth 2 years ago. It's frustrating for all....but remember this to shall pass and it will all come around.

I love the business I'm in - am I getting rich doing it....No but it's what I've committed myself to do because I know it works! I also love the Realtors I work with and feel it is my job to make their job less stressful. Many Realtors I work with do provide a staging consultation for their clients as part of their marketing strategy. I have one top agent that has actually paid for vacant staging because they have worked with us for years and know what we can do for their listing. They told us in the long run it paid off because the property spent less time on the market, required less energy and advertising dollars - a risky and bold thing to do but it worked for them. You can bet when a Realtor pays with their own money I am going to bend over backwards to get that listing sold. I never expect or recommend that a Realtor pay for any part of staging, that is totally up to the individual. When I'm called in to do a consultation, it is my job to sell staging. When a Realtor calls me in I am there to help that Realtor do their job for the homeowner - GET THE PROPERTY SOLD. . I totally agree that homeowners that don't get it and won't keep their home show ready should not waste their money on staging and a reputable Stager should walk away. My reputation and stats go with every listing and if the homeowner is not willing to work just as hard as I do to sell their home, I will not waste my energy. The majority of our business is vacant home staging. I see it work time and time again and know the importance of a home emotionally bonding with a buyer.

I work with some top listing agents and they're true believers on the power of staging. We've had to earn that trust by performing and working with not against others in our industry. I want the agents I work with to succeed and have a speedy sale and will do anything I can to help them get to their next listing. Yes, I do put in many hours that are unpaid just like some of my Realtor friends but I believe it all comes back around. My agents know that I am true to them. I have many homeowners that contact me for staging before they ever call a Realtor. When asked if I can recommend a good Realtor, I know who to call.

For those who say staging is not necessary and the only thing that matters is price, I think you should reconsider your stance. I have interview 100's of potential buyers to find out what they are looking for in a property- yes some say price but the majority tell me they need to connect with the home. If they walk into a cluttered nightmare they cannot see past that and walk away. When they see a vacant property, they feel it's cold and uninviting and walk away. In today's market, I don't think any of us can afford for a buyer to walk away.

As a Stager, I am not here to work against anyone in the industry. There are those Realtors who feel they don't need us, just as there are homeowners that feel that don't need a Realtor. You will probably never win them over but that doesn't stop me from trying. I think some comments here from Realtors have been a little harsh as well. I feel Stagers offer a valuable service to homeowners and Realtors and are not going away any time soon. Find a good reputable Stager in your area and give them a chance to help your business grow. Believe me, building a great relationship between a Realtor and Stager is a win-win situation for all.

Well put Debbie and thank you for taking the time to craft a well thought out comment!

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