Staging a home - is it worth the cost?
One of the more common questions I get from my clients is concerning home staging and does it really work. Well in short, yes. However, the real question becomes, is the cost justified. Does home staging really create value? Again, the answer is an emphatic, yes. Here is a quick explanation why.
Increased demand for "move in" homes
Current market trends are showing us that buyers are increasingly shopping for a specific home style/look/feel. Remodeling projects are big investments of time and money, and buyers want to avoid that. Properly staging a home is the way to convey the true value and design potential of the home to the prospective buyers that tour the home. A recent survey of buyers indicating that 81% of buyers surveyed responded "agree" and "somewhat agree" when asked if the staging of furniture impacted their positive opinion of the home.
Selling your home is a competition
Make no mistake about it, selling your home is a competition, and competitions have winners and losers. As a person who has been inside of a lot of homes, its a solid fact that there are some homes that just wow you as you walk in. That is what staging a home does, it wows the buyers. A well staged home will always stand out against other non- staged homes. It iis important to understand that the entire home does not have to be stage to get achieve the desired result. This may be an important thing to factor in if you are on a budget.
Sell it faster and for higher price
The old saying of "time is money' rings true when applied to selling your home. A properly staged home sells, on average 25% faster than non-staged or vacant homes. Coldwell Banker Real Estate Corporation performed a study indicating that staged sold for an average of 6% above original list price. In part, this is due to the fact that staged homes often receive multiple offers.
Ok, so what does it cost?
Home staging costs can vary widely among various service providers. In my experience I have know home staging companies to charge either percentage of sales price (.5 - 1%) or a per room fee. Per room fees can range anywhere from $250 - $500. The per room contract is often on a per month basis. Data suggests that the investment in home staging results in a average increase of 6% to market value of the home. If you keep home staging costs under 6%, then staging was a profitable investment.
One final thought on the topic of home staging. I tend to favor the use of home staging when taking a new listing. Personally, I have never encountered any situation where my client was not pleased with the results of professionally staging their home.