Why Stage Your Home In A HOT Seller's Market?
If inventory is low and homes are flying off the market, you might wonder why your listing agent still recommends that you stage your home? No matter how hot the market is, Buyers will always compete and pay more for the best homes. Attracting more buyers, means more offers, which means more money, in any market. Bottom line, home staging plays a pivotal role in just how many offers you will receive and ultimately, how high that bidding war will go!
01. A Staged Room is More Attractive In Photographs
Most Buyer’s first impression and interaction of your home is likely to be online where they’ll look at photographs and decide whether or not to view your home in person. The more attractive the photos are, the more Buyers will be enticed to schedule a showing.
This is especially important when listing a vacant home that may not have any or very little furniture. Without staging, the Buyer is scrolling through a bunch of pictures of blank walls. The pictures tend to look bland and boring, leaving Buyers with little inspiration or excitement. On the other hand, a staged room can appear more warm and inviting. The staging can help Buyers envision the home’s potential.
02. Buyers Want Move-in Ready Homes
The pandemic has left labor and materials in short supply. Finding a contractor, handyman or any skilled tradesman, to do a kitchen remodel or even a small job, can be challenging because they are booked out for months. Homeowners are also experiencing delays in getting materials, or finding enough materials as production may have been halted or a manufacturer has gone out of business. The scarcity continues to increase the cost of both materials and labor for any renovation project.
Even those with the resources, do not like the idea of living through a renovation. As we all spend more time living and working from home, any renovation projects would seem to be intrusive and a major inconvenience. That’s why a home that requires little to no updating is on the top of many Buyers’ lists right now.
03. Staging Conveys Home Is Well Maintained & Higher Quality
While having the right furniture pieces and accessorizing is a big part of staging, there are other details that must be addressed. The home should be cleaned, decluttered, lights working, walls cleaned (a fresh coat of paint is one of your best ROIs in staging), everything in working order, all your “honey-do” items taken care of, etc. It’s the accumulation of these details that can elevate a home’s worth exponentially in the Buyer’s mind. It sends the message that the Seller have taken care of the home and have pride it by showing it at its best. It’s also the Buyer’s first glimpse into how good (or bad) the inspection will go.
04. Staged Rooms Look Larger & More Functional
To a Buyer, a room with furniture in it, always looks larger than a room without furniture. Part of this is because they have no reference point to gage, for example, how big a king or queen bed actually is in length and width. Therefore, they cannot mental compare how their bed would fit in the space. Staged with a bed and side tables, a Buyer will have an idea if their bed is larger or smaller than the staged bed or any furniture for that matter.
Staging can also help bring purpose to small rooms or awkward spaces. Giving Buyers a visual of what they can do with the space, will increase their value perception of the home.
05. Staging Expenses Are Tax Deductible
The IRS considers hiring a professional stager to style and furnish your property to enhance its attractiveness to potential buyers a selling expense that can be deducted from your capital gains. Other selling expenses include legal fees, title fees, and even real estate agent commissions can also be deducted. Be sure to consult your CPA as there are some grey areas when it comes to selling expenses that are deductible.
06. A Staged Home Sells For Money
A staged home will make you more money. Do you really need a better reason? It’s because of reasons 1-5, that Buyers are simply willing to pay more when they can see a home’s potential. Professionally staging your home isn’t cheap, but it’s one of the highest ROIs when it comes to preparing your home for sale. According to the National Association of Realtors, agents reported that staging increased the financial offer on a home by 5% - 20%. Being strategic in which rooms to stage and how to stage them is key for the highest return.
Every home can benefit from some level of staging. It may be using the furniture and accessories you already have or adding in/taking away a few pieces here and there, or hiring a professional to bring in all the right pieces. Preparing your home for sale is one of the most important steps in the home selling process. It should not be overlooked and requires someone with an objective, detailed eye. I put many hours working with my clients to ensure their home stands out and is picture perfect to attract the highest possible sale price!
