These days there's a statistic for everything, so let me throw one in about staging. Staged homes STATISTICALLY sell for between 5% and 10% more than their unstaged competition.
So using those figures, a $260,000 home will sell for between $13,000 and $26,000 more. That's great news for your client because you've protected their equity, but it also means that the 3% seller's commission has increased between $390 and $780, or on average $585 per home.
From there the math gets easier to understand. If, on average, you earn an additional $585 per home and sell 24 homes per year, you're AT LEAST $14,040 ahead of where you would be if you hadn't recommended staging.
All this is based on just a $260,000 home ... and only the commission. Now, because we also know that a staged home typically sells 2 to 3 times faster, start factoring in the need to host fewer open houses, spend less money on advertising, leaving more time to focus on other leads... PLUS the additional referrals from satisfied clients who have realized greater profits themselves, and it becomes clear that staging makes good financial sense.
New View Home Staging is a full services real estate staging and property styling company serving Kitchener-Waterloo, Cambridge, Guelph, Stratford and surrounding communities. We pride ourselves in exceptional customer service and would welcome the opportunity to work with realtors and homeowners in southwestern Ontario.
Christine Bird, owner and lead stager, is a Certified Staging Professional and CSP Elite Agent trainer. Please call 519-505-0892 to speak with Christine about your real estate staging requirements.
Christine, thanks for that data and along that same train of thought. What would the typical cost range be to stage a $260,000 home?
Great statistics for homeowners and Realtors! Staging for a $260,000 home in my area would be rather inexpensive (maybe $650 for a home staging consultation and 1/2 day of actual staging) when compared to the $13,000 or more home price increase. It also depends on the condition of the home, some homes require more staging and other repairs to be performed prior to an Open House.
This post really shows how beneficial staging can be to everyone involved, after all, all our goals are the same. We want to sell your home quickly, make your home looks its best, attract the largest buyers audience, and hopefully get you you're asking price.
Kevin, cost would likely range between $400 and $750.
Kate, I have similar "investment in staging" costs in my area... and truly it's an investment and not an expense, when the seller stands to gain so much in return!
Christine, you said it very well. The investment in staging is bringing a 343% ROI as per the latest Home Gain survey in February 2009.
The added commission a Realtor gets from a staged house is even higher in GTA were the average prices are higher. Less time on the market does save marketing money for the Realtors and sanity to their clients. Here is where Realtors can make a difference in their clients' lives. These are the happy clients who will spread the word
We are all in the referral business, aren't we?
Christine: Really great analysis of the cost/benefit ratio. From many of the posts I read here on AR and comments I personally receive this ratio is usually the most misunderstood part of staging. Thanks for sharing.
Christine - Love these stats - would like to know where they came from. Whenever I mention stats, people always want to know where they are based out of.
Can you share where you found those figures?
Thanks,
Mel
Great post Christine! I love how you made it easy and clear to understand just how beneficial home staging is to the real estate industry. We consistently say that by partnering with right home stager a realtor can increase their business & profit, increase client satisfaction and referrals and build a great reputation! Its a partnership that benefits everyone involved - the realtor, the stager and most definitely the client!