Does Staging Your Home Really Matter!? A Detailed Analysis

Have you ever watched HGTV or visited an open house and thought “Wow! I feel like I just stepped into a magazine”? Then you have experienced a common home-selling element: staging. As sellers prepare to list their homes, the question always comes up, "Is staging my home really necessary?" There are many reasons, financial and other, that staging could benefit the sale of your home and a couple key considerations when making the decision.

Certainly, the cost and return on investment are primary considerations when determining if staging is suitable for you. Research from the National Association of Realtors® suggests that staging has the potential to boost a home's sale price by an average of 1-7%. Although this percentage might seem modest, for the average $300,000 home, it translates to an additional $3,000 to $21,000—an impactful improvement.

Typically, the cost of staging a home falls in the range of 0.6-0.75%. Using the $300,000 example once more, this translates to approximately $1,800 to $2,250—an initial investment that can be relatively high when considering other costs of renovation and moving. When comparing staging bids, those that calculate to higher than 0.75% of the homes list price may be higher than necessary, but there could always be special circumstances such as difficult to stage rooms or higher list price homes. If the bid is lower than 0.6% of the list price, and it isn’t any sort of special pricing, then they could possibly be sacrificing quality.

These are just the initial figures concerning the potential cost and return of staging. Despite the numbers it's crucial to consider the purpose of staging. Staging is intended to elevate the perceived value of a home rather than its intrinsic value. It enhances the visual appeal, making it more enticing for potential buyers and aiding them in envisioning themselves living there and arranging their furniture. This emotional connection can potentially lead to more offers, although it's not a guaranteed outcome.

Homeowners who have acquired and maintained good furniture and decor can often create a similar effect to staging, albeit with a couple of adjustments. Staged furniture is usually more compact, general and unobtrusive than the oversized, plush couches and sitting chairs, heirloom dining room tables and hutches, and the personal character of wall artwork. The purpose of staging is not to show how a house is lived in by the current residents but to allow the widest audience to imagine utilizing the space. To achieve this look we often suggest selective removal of personal furnishings to simplify and enhance the space.

For some, home furnishings can detract from the perceived value of the home. Generally we see this with below-average or fixer-upper type properties where furniture is dirty or worn and disheveled. In these properties adding trendy/clean staging furniture can evoke the feeling of “lipstick on a pig” - the contrast between them highlighting the deficiencies of the house. With a property like this a buyer is generally looking for the “good bones” of the house and/or a more economical price. Clean and unfurnished rooms can often give these homes the feeling of greater size, potential, and most importantly, value.

Making this decision takes careful consideration, taking into account the condition of the home, its existing furniture and decor, and even current market conditions. That is why utilizing a real estate professional’s judgment is important so that they can explain to you the likely costs and benefits of staging. It may help the home sell faster or for more money, or you may be able to use your own furniture and accentuate it with less costly accent pieces, or it might not be called for at all. The important thing is that you understand and believe in the decision you make. We would be happy to schedule a free consultation to help you decide which approach would be best for you and your situation.