Real estate agents are recommending home staging to their clients before putting a home on the market more than ever. They see firsthand the direct effect that staging has on a buyer’s reaction to a home and how staging can sell a home faster and for more money than a vacant home. Let’s dig deeper into some surprising statistics that show how professional home staging benefits both the buyer and the seller!
What Do Selling Agents Think of Home Staging?
In the National Association of Realtor’s annual report on home staging, over half of selling agents see at least a one percent increase in the home’s selling price with nearly one-third of selling agents seeing a home’s selling price increase between six and 20 percent. What does that mean for the home seller? The median home price in the United States is right around $200,000, so home staging can add between $2,000 and $40,000 to the selling price.
When you factor in the cost of home staging, the return on investment is estimated to be 586 percent! Consider this: for every dollar you put into staging your home, you can get up to $500 back in your selling price. Compared to a kitchen remodel, bathroom upgrade, or finishing a basement to add living space, all of which are home remodels that have negative returns, home staging is an excellent investment.
As of 2017, 25 percent of sellers are paying for staging before they list their homes on the market because their agents are letting them know that not only will they get more out of their home, but their home won’t sit on the market. While three-quarters of expired listings are vacant and the median time a house will spend on the market is 65 days, staged homes sell 88 percent faster than their vacant counterparts!
What Do Buyer’s Agents Think of Home Staging
In the NAR report, an amazing 97 percent of buyer’s agents say staging has some effect on the buyer’s perception of a home, with over three-quarters of prospective buyers finding it easier to “visualize the property as their future home” when it’s staged. This is because staging makes the home as appealing as possible, making spaces seem larger, functional, and neutral instead of lived-in homes that are often cluttered and overly personal or vacant homes that have no definition of space or personality.
Buying agents report that a prospective buyer will spend on average of 40 minutes in a staged home, which is significantly longer than the quick tours of a vacant property. However, don’t think that staging is only for open houses and tours, 40 percent of buyers are more willing to walk through a home they saw online if the listing had beautifully staged pictures.
Many sellers want to know if they need to stage the entire home or just specific areas. According to the report, buyers get the most effect from a staged living room, master bedroom, kitchen, and outside space, with less effect from a staged guest room or extra space. If you are selling your property or are an agent representing a seller, there’s no question that staging a home works!