Another Reason to Stage REOs
I just read an article Can a lender sue after foreclosure? by Liz Pulliam Weston, about lenders suing their customers after a short sale or foreclosure. In some states, this does not apply, as state laws prohibit this practice. Luckily, for the states that allow this practice, the fact that the homeowner lost a major (and probably their largest) asset is usually enough to keep the lenders at bay. Additionally, the foreclosure process is expense and pursuing a customer post-foreclosure/short sale is a risky chance.
My staging wheels started turning feverishly after reading this article. Often home staging is dismissed when short sales and foreclosures are involved, mainly because of the financial burden. This is understandable - however, the benefits staging a REO are tremendous.
Staging usually helps the buyer see the home as a more valuable asset. Kathy Burke's post (LENDERS: Do You Have REO that is Ready for Market....Why You Need to Stage that Listing!) also brings light to the benefits of staging REO properties. Look at her pictures, which would you rather buy?
My reasoning is the higher the offer price, the more likely the lender is to accept said offer and the sooner it gets sold. What do you think?