Home staging helps home sellers cash in with higher profits and quicker sales.

Last year, 5,250,000 existing homes sold in the U.S according to the National Association of Realtors. There were 510,000 newly constructed homes sold as well, which means that every single day an average of 15,780 home sales closed in the U.S.

If you're trying to sell your home, that means you have some SERIOUS competition, all wanting to sell their listing quickly and for top dollar. So how can you stand out?

Of course, it’s important to have a great Realtor on your team that specializes in home sales like Anthony Alfano and the Alfano Group team. But homeowners also have a secret weapon that will help them separate their listing from the competition, attract more qualified buyers, sell faster, and for higher prices: home staging.

In this blog we’ll cover some of the hard facts, statistics and data on just how effect home staging is for selling homes quickly and netting sellers higher profits.

What’s the average cost to stage a home for sale?

Last year, home staging cost a median of $675 for home sellers.

Of course, it will cost more to properly stage a high-end or luxury home, but it’s important to remember that the ROI will be the same or even better, netting far more for the seller.

How much extra money are buyers willing to offer for a staged home?

According to national surveys:

4% Of staged homes see an increase of 16-20% of the home’s value

8% See an increase of 11-15% of the home’s value

22% See an increase of 6-10% of the home’s value

37% See an increase of 1-5% of the home’s value

10% Of the time, home staging has no impact on the dollar value

0% Of the time, staging a home has a negative impact on price

19% Of the time, the effect of home staging on prices in not determined

Data reveals that homes that are staged also sell for an average of 6% above the asking price!

What’s the effect of home staging on Days on Market?

An independent survey showed that staged homes spend only half as many days on market as non-staged homes.

Time is money when it comes to selling a home – and staging saves time:

A National Association of Realtors (NAR) study seconded that when it found that the longer a home stays on market, the further the price drops and the less it will ultimately sell for.

Since 90% of homebuyers first start their search online these days, your listing photos will really stand out and attract more buyers when your home is staged.

The same NAR survey found that the average staged home has an ROI of about 8-10%.

A comprehensive study found that homes that were staged AFTER they were already listed sold in an average of 198 days.

However, when homeowners had their homes staged BEFORE they listed them for sale, these properties sold in only 42 days!

That means homes staged pre-listing sold 79% percent faster than those staged post-listing.

What do Realtors think about home staging?

32% of real estate agents report that staging a home increases the dollar value that buyers are willing to offer by a substantial 1-5%, particularly on medium to high priced listings.

To put that dollar increase due to staging in perspective, that means the sellers would see $3,500 to $17,500 more on a $350,000 home sale!

That’s just a start to the financial benefits of staging, as 16% of real estate agents believe staging actually will increase the price their buyers offer by 6-10% which would be up to $35,000 on that same $350,000 home.

How do home buyers feel about staged homes?

Of course, realtors have a great perspective on home staging, but what if we asked those same buyers we're trying to attract?

In fact, 81% of buyers say it’s easier to visualize themselves living in the home when it’s staged, and 28% overlook the home’s faults when it’s staged.

46% of buyers are more willing to go view and walk through a listing they saw online when it’s staged.

What do buyer’s agents think about the effects of home staging? 49% of agents representing the buyer feel that home staging helps influence most buyers, while 47% feel at least some buyers are affected by staging.

How many sellers’ agents recommend staging?

34% of listing agents stage all of their homes for sale

13% Only stage homes that are difficult to sell

4% Stage only high priced listings

44% De-clutter and fix the property only without staging.

Which rooms are most likely to be staged?

            1          Living room

            2          Kitchen

            3          Master Bedroom

            4          Dining Room

            5          Bathroom

            6          Children’s Room

            7          Guest Bedroom

Who pays for home staging?

62% Of seller’s agent offer home staging services to sellers as part of a full-price commission package.

39% Of homeowners pay to have their home staged before the home is listed.

10% Of homeowners pay the stager after the home is sold.

3% of the time, the real estate agent’s firm pays for home staging services.

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Contact us for more information about staging your home or selling for top dollar!

10 Important questions every home seller should ask.

1. Should I get my home staged?
To correctly market and sell your home, you should start seeing things through the buyer’s eyes as they first walk into your listing.  Does it still look lived in?  Are personal affects everywhere?  Is it too cluttered and are design elements non-neutral or noticeable?  Studies show that by decluttering your home, removing most personal affects, and staging your home with furniture and artwork, it will sell faster and for more money.

2. What’s our marketing plan?
This is where the homeowner and real estate agent sit down to map out a comprehensive plan how to market and sell their home.  Just listing a home on the MLS isn’t enough – you both should be clear on what tactics and marketing efforts will be used to gain maximum exposure, bring potential buyers through the front door, and ultimately sell for the top dollar at the best terms.  Remember to ask about open houses, social media and online advertising, and setting up a schedule of future price reductions that follow a timeline.

3. Am I being realistic about pricing?  
Every seller wants more than their home is worth and every buyer wants to get it for less than it’s worth, but the price negotiation will probably end up somewhere in the middle.  Pricing a home should be based on logical data not emotion or personal beliefs, in the form of a detailed Comparable Market Analysis presented by the listing agent.  If you’re outside the bubble of realistic pricing and where the appraised value will come back you’re going to end up with a lot of frustration and wasted time, so ask questions to make sure the deal makes dollars and sense.

4. Is it more important for my home to sell quickly or for every dollar possible?
Of course we want the highest possible price for our home but we also want it to see quickly, not sitting on the market for month after month as other sell, possibly holding us back from finding our next dream home.  For that reason, buyers should understand that the higher the price, usually the longer it takes to sell (and the less interest and offers you’ll have.)  So think of the balance between price and timing like being on a seesaw, and the buyer should ask what’s the proper balance.

5. Is there anything that’s outdated or needs fixing or remodeling?
Doing some light cosmetic fixing and modernizing in your home before it goes up for sale can bring you far more dollars once the deal closes.  Painting and landscaping are the two most inexpensive ways of making your home stand out, and modernizing the kitchen and bathrooms, particularly with new fixtures and flooring really will catch a buyer’s eye.

6. Would I buy my house for this price?
That’s the ultimate questions, isn’t it?  Would you buy your home (or one like it) for the price you have it listed at?  If the answer is no, or if you even have to think about it for a while or hemm and haw, then you probably need to get realistic and readdress the pricing, condition, and marketing strategies.

7. What are the terms?
Too often when we get an offer on our home, we focus only on the price.  Bu the terms of the sale count, too – not just in closing an amicable transaction on time but the wrong terms can cost your money.  Ask your realtor to thoroughly cover timelines, contingency plans, and all the fine print of costs, inspections, etc.

8. Am I making it accessible enough for buyers?
If you really want to get your home sold, you’ll want to make sure potential buyers and buyer’s real estate agents have full access to your listing.  Ask your realtor if the listing is convenient enough for buyers to look through on short notice, or if an arduous process of limited showing hours and appointments will deter buyers – and lose you money.

9. How will the buyer’s pest, roof, and home inspections come out?
Of course getting an offer from the buyer and going into contract is just the start of the process to close the sale, so ask a few questions in anticipation of their inspections.  Buyers should always get home inspections and roof certification inspections, chimney inspections, etc. and a pest inspection is mandatory.  So if you know there will be issues that come during these inspections, think about making repairs and addressing them ahead of time.  That way it won’t slow down the sale – or lead the buyer looking to renegotiate the price.

10.  How soon am I ready to move and how flexible am I?
Once the buyers make an offer it sometimes dawns on the homeowner that a closed sale means they’ll have to move out in short time, usually about 30 or 45 days.  Be prepared for that day by starting to pack, organize all of your possessions, and possibly start moving furniture and boxes off sight to a storage unit ahead of time so you’ll have flexibility once you sign on the dotted line.

Does it make dollars (and sense) to fix up your house before selling?

As the real estate market gains momentum and people start thinking about selling in the spring, a common question is: "What’s the payoff on fixing things around the house before we put it on the market?" 

The last thing you want to do is undergo extensive repairs that cost you money – and valuable time, only to find you don’t recoup that cost once the house sells.  Then again, leaving obvious fixes left undone can turn buyers off, and drastically reduce the price of any offers that come in.  So what’s the happy medium?  Here is our expert opinion on what fixes will add bang for the buck once you sell – and what to leave off your To Do list. 

The reality is that a declining market in the period between 2007 and 2012 drove all housing prices down.  As a function of increased inventory – including plenty of foreclosures and short sales – people got less money back from remodels and repairs they put into their homes, too.  The good news is that remodeling costs have dropped 10-15% in the last 5 years, too, even as the cost of building materials has risen 17%. 

But there are smart ways to “spit shine” the look of your house, focusing on signature and most-viewed areas that will yield you the most money back when offers come in. 

Try to understand it from a buyer’s eye; when they first walk in, their eye takes it all in as their mind categorizes each detail into positive, neutral, and negative features.  If you have a woefully outdated bathroom, for instance, that may trigger the thought that it needs to be updated – causing them work, and taking money off their offer price.  If they walk in and that same bathroom is newly remodeled with high-end tile, fixtures, and decorations, that would be a positive factor that might put you ahead of the competition, and if it was clean and new but with nothing fancy, a neutral factor.

At the very least, you want to eliminate the negative factors that will ding your asking price.  Those include health and safety items – like a leaky roof, overburdened electrical panel, or bad smoke detectors, which will all be flagged in a home inspection, anyway. 

So what repairs will yield you the best return on investment?

That’s easy -  focus on the kitchen and bathrooms as your remodeling priority.

Kitchen: 

-Fix any broken doors or tracks on cabinets and drawers.  If they are outdated but functional, consider having them painted.  Lay down new wax paper in the bottoms. 

-Modernizing lighting by installing a cool new fixture over the sink doesn’t cost much.

-Replace old tile or cheap linoleum countertops, possibly with granite (ask your realtor if that surface is recommended.)

-Add a nice new sink faucet and fixtures.

-A hanging pot rack or wine rack is a great signature piece.

-Retile the floor with nice, big, earth tone tiles to get rid of old 6” tiles or linoleum.  Laying them down in a diamond formation – instead of square – looks great, too.

-Paint the walls a neutral color with satin or eggshell paint.

Bathrooms:

-If the toilet works fine, just put a new seat and lid on it.

-Replace your shower curtain with a nice new one.

-Install a new mirror and medicine cabinet and also replace your sink with a new, modern sink and vanity set.  The sink area is where people look first and spend the most time in the bathroom, and they have great deals on sets that come with a nice faucet and fixtures as well.

-Install new earth tone large tiles on the floor.  This is especially easy since the bathroom floor doesn’t cover a lot of surface area. 

-While you’re at it, take down your towel racks and TP holders and replace them with nice new ones.

-Pop in a cool signature lighting fixture over the sink.

-Paint the walls in a soft, neutral color with satin or semi-gloss, and your bathroom is ready!

Here are a few ideas for other areas of the house that won’t cost much:

-Add new high wattage light bulbs to illuminate the house well, especially dim areas.

-Take down old wallpaper, that’s always a no-no.

-Take down paintings or decorations (except for a mirror or two) and fill the nail holes with spackle, sand to smooth, and paint over them.

-You don’t need to paint the whole inside of the house, but do cover any brightly-colored rooms or high-traffic areas with a new coat of paint in a light, neutral color.

-If the outside doesn’t need new paint, a good power washing is a great way to make it look better.

-Paint your front door with a shiny, traditional color – like red or black – and remove any screen doors over it. 

-The garage door also looks better with a coat of paint, and if it needs it, think about painting the trim only (if you can get away with it) just on the front of the house.

-Clean your windows well, inside and out.  This is a great alternative to replacing them, which can be very expensive.

-Hire a stager if your realtor recommends.  Usually this pays off the best with high-end listings.

-Sprucing up the landscaping is one of the best and cost-efficient ways to improve the curb appeal of your home.  Make sure to weed, prune, lay down some fresh stone or mulch in beds, and plant nice flowers in the front yard, especially on the way to the front door.

-Pools, hot tubs, decks, garage additions, or trying to enclose and winterize patios and sunrooms never pays off when selling a home.

- Get your carpets professionally steam cleaned unless they are really bad and in need to replacement.

-Same thing, you can have someone refinish real hardwood floors, which will make them sparkle.

The repairs that give you the best % payback:

-Exterior siding – adding nice fiber-cement siding to the exterior of a home instead of repainting pays back 78% of the cost.  However, this may differ depending on what part of the country you live in and you never want to stick out in the neighborhood (have siding when everyone else has stucco, etc.)

-Replacing an old or shabby front door pays by 73% of the cost.

-A reasonable kitchen remodel yields a 72.1% return on investment.

-Putting in a new garage door will pay back around 71.9% of the cost. 

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We hope the information helps!  Remember to call us if you have any questions about selling your home or what to fix up before it goes on the market.