Admin

Begone Monthly Inventory Rentals!

By
Home Stager with Capital Style Home Staging

I have spent my life in design of one sort or another, but have only been a Certified IASHP stager for a year. With my full time corporate job keeping the design part of me working only part time, I don't have a ton of experience in home staging -- at least next to the likes of all of you!  I do, however, know how to talk to people.  I know how to write and present a contract.  I know how to be compelling and sympathetic.  I know how to help people.  In fact, that's why I do this.  The world is divided into two sorts of folk:  those who serve, and those who are served.  I'm the former.  No matter what I've done in my life, the common energizing force has been that of service to others.

The fact that I can serve (help) people, and be creative is just great.  The fact that I'm "new" in home staging means I've struggled with how to price these jobs, just like every other newbie.  So, I stood on the shoulders of others and did what I was taught:  charge accessories at 20% of their retail value, and bill your clients every month for "rental" while they're on the market.  And, oh by the way, encourage them to remain staged until closing, not contract, so that if anything goes pear-shaped with the contract, their home can bounce back on the market, still staged.  Okay...that's what I've been doing.  

Doesn't feel good.

I today's "cool" market, homeowners are investing in deferred maintenance.  The smart ones are staging their homes and hiring Realtors with contemporary marketing techniques and a strong internet presence, who are charging them a full (rather than discounted) commission.  Then, they go on the market, probably at a price point lower than they had hoped.  Well, the house doesn't sell right away, so here comes another mortgage payment.  There goes their opportunity for a great deal on a house they'd like to buy.  And before you know it, they're faced with a price drop.  Adding insult to injury. here comes the envelope from their Professional Stager; that happy, lovely woman who helped them transform their home into a showplace, but wait!  the happy little envelope contains an unhappy little invoice.  Doesn't feel good.

Sorry folks.  I can't do it anymore.  I've stopped sending rental bills to my currently-staged clients, and I'm putting a little more money up front in new contracts.  That way my price is my price, and isn't contingent on the homeowner keeping or not keeping their house clean, the Realtor being aggressive or not about marketing the property, nor the temperature and mood of the real estate market.

Staging, in my book, should be a positive experience for the Realtor who can bring you volumes of business, the homeowner who will tell their story at every cocktail party and business mixer for the next few months, and for me.  I need to feel good about what I do, so "Begone Monthly Inventory Rentals"!

Lori Kim Polk
Premiere Home Staging : Home Staging Services - Roseville, CA
Home Stager - Roseville, Sacramento
Yikes Jaynee, I hope this works out for you. Please share how you will be revising your contract.  I am curious. Discounting your services won't make you feel good either.  Paying up front or monthly is still a payment from the client. Do you want to hit 'em at the beginning or spread it out a bit? It just depends upon your area.  All in all, your service is fee based and you should be paid for doing the great job that you love and do :)
Apr 15, 2007 06:43 AM
Christina Williams. REALTORĀ® TN property search & local insights
First Realty Company - Crossville, TN

How will you be revising your contract?

Apr 15, 2007 07:26 AM
No Longer Available
White Rock, BC
I am too am curious about this. Do you leave rental accessories in occupied homes? What about breakage and damage? Enlighten us a little more! Joelle Green
Apr 15, 2007 07:35 AM
Terry Haugen STAGE it RIGHT! 321-956-2495
Stage it Right! - Melbourne, FL

Hi Jaynee!  Your approach is novel but my question is, if the client is tired of paying the rental, they can always opt out can't they?  We're not holding a gun to their head to keep our props.  For me its my bread and butter.  I get paid when I'm not working and that is a huge plus for me financially.  In addition, because my props are in their house, everytime I stage I have to go buy new ones.  That costs me my time and my money.  I think you should keep it the way it is.  Its their choice afterall.  In any business you need to make sure you are doing whats best for your business and the client.  Free props don't seem like a benefit to your business.

Terry Haugen - STAGE it RIGHT!

Apr 15, 2007 07:58 AM
Jaynee Acevedo
Capital Style Home Staging - Kensington, MD
Capital Style Home Staging

Thanks for your feedback.  

I've decided to charge a little more for each installation.  Clients (in occupied homes) get to keep the soft furnishings that they "use", like sofa pillows, bedding, towels.  Those costs are completely covered in their contract.  The hard accessories (that I get back) are partially charged for on the original job, and are/can be partially charged for in future jobs.  Labor costs and design fees are based on the intensity and duration of each project, and are completely covered in the contract price.  Damaged items are a different element, and I charge the client replacement fees on anything they've destroyed or lost -- at least within reason.  I always forgive that broken wine glass, or that one missing towel.  

I guess I just want my clients to have their staging costs be predictable, and not dependent on the temperature of the market, or any of the hundreds of variables that keep even the gorgeous staged homes from selling right away.  In the long run, I think this will help my business.

Does this help make my crazy approach sound more sane? 


Apr 15, 2007 09:10 AM
Craig Schiller
Trempealeau, WI

We just give a flat fee for up to 3 months of rental of our Props.

I never really thought of doing it any other way.

Me

Apr 15, 2007 09:34 AM
Home Staging
Reston, VA

Hey Jaynee - I guess I don't understand how your contracts are written currently or what you are changing. Are you going to stop doing monthly inventory rentals? What will you do instead?

Let us know how this works for you.

Apr 15, 2007 09:43 AM
Yvonne Root
rooms b.y. root - Prescott, AZ
Home Stager - Northern Arizona
Jaynee, How cool that you decide to run your business in a way that makes you comfortable. I think you are probably doing the same thing Craig is doing or at least very similar. Anyway, we all make decisions every single day. Some work, some don't. Let us know how this works for you.
Apr 15, 2007 12:35 PM