Speaking Up about Home Staging

The Real Estate Industry has continued to evolve over time.  With its evolution have come many new and exciting fields of technology and subsidiary business.  Just 10 -15 years ago agents were an essential commodity in the business of buying and selling homes because there was almost no way of finding out what was available in a given community without one.  Before online MLS capabilities were available, agents were provided weekly copies of new listings, which were inserted into large three ring binders.  Often there were multiple listings per page with, if you were lucky, a single exterior photograph of the home.  With so little information to go on, buyers typically were more concerned with finding a home in the right neighborhood, at the right price with their major needs and wants met.  The question wasn't always whether they were ‘in love' with the house, but could they make it their own?  Could they live here?  If they could and it met their needs then an offer was made....

     Today, most buyers have the entire MLS at their fingertips through broker reciprocity websites.  Most buyers, as many as 91% per NAR, will shop online before ever calling a real estate agent.    Many, when shopping locally, will drive by the home first - checking it out first to decide if they want to ‘deal with an agent'.  What sellers and agent often don't realize is that if their listings don't make the cut, they may never even have known that anyone was looking.  Being a Real Estate Professional in today's technology driven market has gotten much more difficult. 

      It is this changing market that has brought to life so many emerging industries.  Professional Real Estate Staging is one of those industries.  Its emergence was as a direct result of the changes and increased technology.  When buyers became able to see more of homes before going to visit them, the results were that they were able to eliminate more homes without visiting them, increasing the ability to find a home they ‘liked' better.  As technology has increased, the need for Professional Real Estate Staging, often called Home Staging, has increased.  

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     Today, in this buyers' market, what the internet depicts will provide a direct correlation on the speed of sale and end sale price.  Statistics show that the more photos of the home provided in MLS, the quicker the home sells.  In addition, the quality of the photos must also be taken into account.  This is where Real Estate Staging begins to become important.  Quality staging helps bring to life the best parts of the home, it helps connect potential buyers with a lifestyle feeling and the desire to see more of the home.  Homes that are left unstaged, often lack the emotional appeal and highlights to bring buyers to the door.  Recently, we received a testimonial from a client who highlighted this effect quiet well.  "We first dropped the price to 200K and showings picked up (7 in one month). Then a month later we staged it and showings really began to take off (39 in one month). Staging costs, but it pays in the long run." Chris Facello, Agent, Carolina One Real Estate. 

     While many agents have been taught that every home will sell at the right price, and to some degree this is true, what many don't realize is that price is not the only factor.  In today's market price is just one of many factors.  One of the single biggest for buyers is whether the property is ‘move-in ready'.  With our on-the-go lifestyles, no longer do buyers want to make a home ‘theirs'.  Instead, they want to close on Friday, unpack on Saturday and throw a barbeque on Sunday.  They want to move in and begin living.  Savvy agents began to capitalize on this understanding of buyer behavior and hired professionals who could assess the needs of the individual home, demographic of buyer and create a comprehensive evaluation and plan.  Rather than reducing price, homes are staged to present the home's best foot forward - to capture the buyer upon first impression.   The results are higher sales prices and days on market reduced by more than half in most markets.  Best of all costs are typically minimal in comparison the results.  HomeGain.com recently reported that staging earned an average return on investment of 349%. 

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     For Real Estate Professionals these remarkable results typically mean higher commissions that are earned more quickly, reduced marketing expenses and more listings.  Additionally, for buyer's agents, their time is maximized when they bring their clients to staged homes because the homes show better creating the likelihood of a pending sale. 

     With the evolution of the real estate market, exercising fiduciary responsibility has become a more involved process.  Today, Real Estate Staging is one of the best returns of time and money for both home sellers and Real Estate Professionals. 

For more information on staging and how you can become a CSP Elite Agent visit www.CSPElite.com.