Here are 5 things you may or may not know about the benefits of home staging:
1. You will make a lot more money…
In a 2014 survey of over 3,500 professionally staged homes, over half sold for 10% more than their unstaged neighbors’ homes.
2. The cost of staging won’t cost you a dime…
When sellers spend an average of 1% of the value of their homes on staging, they see (on average) a 1,000% return on investment!
3. Your house will sell much faster…
In a recent Real Estate Staging Association® (RESA) survey, professionally staged homes spent 72% less time on the market.
4. Your online photos will stand out…
According to the National Association of Realtors® (NAR), over 95% of home buyers search online first. By looking at those photos and pre-judging the home, they will decide whether or not to call the agent or to visit the home. If buyers are not impressed with the photos, they will move on to the next listing.
5. Not staging will only help to sell your competition before you do…
Competition can be stiff and today’s buyers have very high expectations. Successful agents know that the key to competing is professional home staging. Why? Because staging prior to photography will create a great online presence, which will drive traffic to the home and bring in much higher offers.
Can you think of any other reasons to stage first?
The spring market was crazy HOT in Toronto and the GTA. Believe it or not, houses in this area sold for ($100,000 – $400,000+) way, way OVER asking! The real estate market was nuts!! The average house in Toronto was valued at over a million dollars and we in the suburbs experienced a ripple effect.
Houses sold unconditionally… without inspection, without staging… cars parked down the streets, people lined up outside of homes… C R A Z Y !! It reminded me of the mid-1980s when house-flippers drove prices into the stratosphere.
First time home buyers were constantly out-bid on properties… and if they were lucky enough to buy one, I’m hearing now that many are walking away from those properties because:
1. they can’t afford to bring them up to code (per after-purchase home inspection)
2. having been pre-approved for a mortgage, they got into a bidding war and no longer qualify for a mortgage based on the current market value
3. due to becoming cash poor, they’re unable to turn it into their ‘dream’ home
These buyers would sooner walk away from a $100,000 downpayment and pay a fine than to be stuck with a money pit. This has caused problems for the sellers who purchased another home. I see potential lawsuits. I’ve also seen properties with ‘For Lease’ or ‘For Rent’ signs as a result of buyers walking away. What a nightmare!
On April 21st, a law was passed to deter foriegn investers from speculating and driving house prices up in Ontario (specifically Toronto and the GTA). Now, the market is settling down, prices are closer to where they should be and yet, sellers still think that they can ride the gravy train… by not investing in home staging. The pendulum is swinging the other way folks! Where you once got away with selling your properties ‘as is’ and received well over asking for them, you may now be getting ‘low-ball’ offers. Remember… buyers expect to be WOW-ed and if your home’s current condition doesn’t do that, it will be reflected in their offer!
A simple consultation may be all you need to get your home ready for the market.
Let Groovy Chick Redesign and Home Staging help you get there and to set sail!