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So, Who Does Pay for the Staging?

By
Home Stager

So Who Does Pay for the Staging?

 

Will Hamm asked in the Q&A section If a client asks you to stage their home, who pays for it?”

 

Of course, I have my own opinion on the subject, as did the agents who a questionresponded to the question.

 

When I started staging in 2007, the market was already turning towards a buyer’s market. I was in Northern VA and one of the agents I met was offering to pay $150 towards a staging consultation for his listings. He viewed it as a marketing expense, which when you look at it, it was.

 

However, I always felt it better when the home seller paid for the staging consultation and any staging inventory and resulting fees themselves.

 

First...when the seller pays for the staging consultation, they are more likely to buy into what the stager says.

I have been on a handful of consultations where the agent paid for the consultation and for the most part, the sellers were just going through the motions. They listened and nodded their heads, but I could tell that I would not be there had the agent not paid for the consultation.

 

Second...the agent could find themselves in a losing situation where they have paid for a staging consultation only to find that their seller cancels the listing agreement or the house does not sell and they are going with another agent.

Trust me, this happened to an agent I know. They paid for my consultation fee and another agent ended up with the listing. Long story.

 

It’s your decision whether or not you choose to pay for your client’s staging fee. Some brokers have built it into their policies, marketing and budgets to pay for a client’s staging fee.

 

This is just one stager’s opinion.



Posted by

Kathy Streib
Retired Home Stager
and Interior Redesign

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Comments(34)

Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

I love your take on this.  The whole point of the sellers "buying into it" is huge.  And you are right, when it's their money on the line, that's more likely.

Jan 18, 2019 09:32 AM
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

Featured in the group:  BARTENDER, MAKE IT A DOUBLE.

Jan 18, 2019 09:33 AM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Good morning Kathy - skin in the game.  Seller should pay. 

Jan 18, 2019 10:46 AM
Elizabeth Weintraub Sacramento Broker
Elizabeth Anne Weintraub, Broker - Sacramento, CA
Put 40 years of experience to work for you

My home stager does not charge for consultations. She views it as presentation, and she wins the business. I would never pay for staging. Sellers who would expect that would also expect an agent to wipe their butt. No thanks. Seller's home. Seller's responsibility. If they want more money in the sale and a faster sale, then they stage.

If they don't, they don't. Not my call. Not my house.

Jan 18, 2019 10:58 AM
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Prop. Mgr, Wenatchee, WA

Hi LKathy,
Before I retired staging wasn't a thing in my market.  We just didn't have any stagers.  Some of the agents went to classes to be quasi staging consultants.  That said, in today's market I agree that it should be a homeowner expense to get the home properly prepared to market and sell.   Everything is negotiable, of course!

Jan 18, 2019 11:44 AM
Francine Viola
Coldwell Banker Evergreen Olympic Realty, Olympia WA - Olympia, WA
REALTOR®, In Tune with your Real Estate Needs

You bring up really good points.  I haven't been in that situation where a seller has asked me to pay for staging but now I have a good rebuttal!

Jan 18, 2019 12:33 PM
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

I like how you have laid this out, Kathy!  I know many sellers have loads of questions about staging - How much it costs, etc.

Jan 18, 2019 12:37 PM
Anna "Banana" Kruchten
HomeSmart Real Estate - Phoenix, AZ
602-380-4886

I so agree with you Kathy Streib !  Our sellers pay for the consultation and if furnishings need to be rented they cover that cost as well.  We do have some 'light staging' things that we don't mind letting them use, but that's it.

Jan 18, 2019 02:34 PM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Kathy people do not seem to appreciate what they get for free, so I agree with you that if possible the Seller should pay.

Jan 18, 2019 02:59 PM
Susan Atwell, Westchester County, NY
AtWell Staged Home - Somers, NY
Creator, Stage to Profit System of Home Staging

Totally agree! I wrote about this almost 10 years ago and recently updated my post on "Who Pays for Home Staging" at my blog.

To summarize, I list 3 solutions:

Option 1 – Home Seller Pays

Best option. Home sellers have the most to gain from the investment.

Option 2 – Real Estate Agent Pays

For an initial 2-hour consultation. (Not recommended due to the risks that the client may take the home off the market, not implement the recommended changes, or insist on listing the home at a price that is too high.)

Option 3 – Real Estate Agent Reimburses Home Seller at Closing:

Client pays for home staging and the agent reimburses an agreed upon amount at closing. For example, reimburse a 2-hour consultation. The client can then decide to invest in any additional staging time and services. This is my favorite option for agent's who want to offer staging as part of their marketing strategy.

Jan 18, 2019 06:17 PM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Oh, how terrible that the seller didn't hire the agent that paid for the consultation - I wonder if she changed her way of doing business when it came to staging after that?

You make a VERY good point - I can hammer home the need for staging but, getting the stager in front of the sellers to hammer-home the benefits is just icing on the cake. That is SO true! 

Jan 18, 2019 09:18 PM
Paul S. Henderson, REALTOR®, CRS
Fathom Realty Washington LLC - Tacoma, WA
South Puget Sound Washington Agent/Broker!

I offer this service however our stagers are sparce and most clients want me to cut my commission rather than enhance it Kathy Streib 

Jan 18, 2019 11:48 PM
James Dray
Fathom Realty - Bentonville, AR

Morning Kathy.

Still haven't convinced any sellers to stage their home.  Pity, as some of the would have sold a lot faster and most likely for more money

Jan 19, 2019 12:28 AM
Kimo Jarrett
Cyber Properties - Huntington Beach, CA
Pro Lifestyle Solutions

Persuading sellers to stage their property, either in a minor or major way is always challenging, yet, isn't that an essential skill we must possess to sell? Sellers who seek highest market value IMO are best suited to invest in staging and usually do because the primary benefit is a rapid sale with higher equity. 

Agents can invest in staging and get reimbursed at COE and I've done that on several occasions successfully, however, it's the seller who is financially responsible for staging.

Jan 19, 2019 09:08 AM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

One of my copywriting clients lost the re-listing on a house because another agent has promised to have the staging done at her own expense. It's a multi-million dollar house and the quote from my client's stager was about $30,000.

She'd been trying to get the seller to do this for about 2 years, because this new construction doesn't show well vacant.

Can you envision any agent gambling that much on staging?

Jan 19, 2019 09:33 PM
David Smith
Brokers Guild Classic - Lakewood, CO
Residential and Commercial Broker

I insist on having my clients partake in a Staging Consultation on every listing I take, after some initial experiences going without such led to some frustrating experiences with both the Initial Staging as well as ongoing show-worthiness(cleaniness, etc.) of Listings taken without a staging consultation.  I usually pay for the Consultation Fee, in most cases $300-$500 and have been glad in every case I did, gotta spend some money if you are going to make some money!

Jan 19, 2019 09:45 PM
M.C. Dwyer
Melody Russell Team at eXp Realty of California, Inc. - Felton, CA
MC Dwyer-Santa Cruz Mountains Property Specialist

Thanks for writing this - you've brought up some excellent points.    It's bad enough that we pay for the marketing already.    It's a strange business model that we do all our work on spec and only get paid at the closing.    

Jan 20, 2019 01:30 PM
Jan Green - Scottsdale, AZ
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

I agree 1000%. I paid for a one hour consultation because I was asured I would get the listing of this home only to have the seller get upset with the stager and cancel the listing.  Out a few dollars and lesson learned.  The seller should pay for it!

Jan 22, 2019 09:44 AM
Sharon Tara
Sharon Tara Transformations - Portsmouth, NH
Retired New Hampshire Home Stager

This stager agrees with you! 

I always prefer to have the seller pay. Yes, I've had many situations where the agent paid and the sellers did every single thing I said, but I found the sellers in general to be far more invested in the process if they pay.

Jan 22, 2019 11:48 AM
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

Staging is part of our Team's value proposition. We own a staging company and provide staging to all sellers at no additional cost. Do you think that helps when we negotiate for our commission?

Our staging company also stages for other agents and gets paid to do so.

Feb 17, 2019 03:42 PM