Angela recently took Weichert Realtors through some of the pros and cons of staging a home and provided an interesting cost benefit analysis of staging a home for sale.
As you know and if you keep up with the njretoday real estate blog, we produce a real estate blog talk radio show every Friday about different real estate topics. Last week we had Angela Gagauf of NJ Home Staging And Redesign, LLC. Angela took us through some of the pros and cons of staging a home and she indirectly gave us a cost benefit analysis of staging a home for sale.
Staging your home to sale is an investment and a key component of the marketing of your home. It’s one of three marketing aspects you, the seller, are in full control: Property Accessibility and Pricing are the other elements that can affect the saleability and marketing of your home.
Staging in general, is highly misunderstood. Some people are under the impression that staging is about de-cluttering and cleaning a home for sale, which is no where near the true picture of what staging entails. Staging is about presenting a property in its best light. It’s about making turning your home into “show room.”
Imagine if you were selling your car. Before putting you car on the market, you might organized the truck, detail the interior, and de-clutter the back seat so that you can present your vehicle in it’s best light. Staging follows the same concept, expect the concept of creating a feeling of being well maintained is magnified when what you are selling something that requires a large commitment as the purchase of a home.
Faster Selling Time and More Buyer Activity: When you stage your home for sale, your agent will love you because we know that a staged home sells faster! We also know that the pictures we take of your home will enhance the online marketing of your home. 90% of all buyers find their home online first. Buyers rely heavily on pictures and the property description to decide if visiting the home is even worth their time.
Possible Gain: If you stage your home and price it right, you automatically increase the odds of having more than one buyer interested in buying your home at the same time. Multiple offer or other buyers could effectively net you more than your asking price.
Staging is not a dollar for dollar investment: If you invest $1500 into staging your home, there is not guarantee that you can recoup that investment, especially in a declining market. Staging is a dollar per hour investment. Without staging your home could inevitably sit on the market and effectively net you less as the days, weeks, months pass you buy. Buyers equate a home that sits on the market as being over-priced and therefore negotiable. Therefore, you might save $1500 by not staging your home, but it could cost you $10,000 in the long run.
If the house is still occupied by you, you must maintain the show room condition, which is not any easy thing to do, especially if you have pets, children or a hectic work schedule. If you live in the home and stage once and do not maintain it’s show room quality, you are flushing your money down the toilet. Making a decision to sell a home is a hard one because as soon as you put your home on the market, it’s no longer your home. Its a product to be offered to the highest bidder.
RESA (Real Estate Staging Association) released their 2009 statistics (We’re still waiting on the 2010 Statistics)
- Vacant and occupied homes staged BEFORE being listed for sale sold on avg. in 40 days compared to vacant and occupied homes listed UN-STAGED which spent on avg. 263 days or 9 months on the market before the owners decided to stage.
- After staging, those same homes spent an avg. of 60 days or 78% less time on the market.