The Value of Home Staging

 Posted by Dennis Begg on April 5, 2016 at 12:49 PM

Downsizing is often part of the home staging process. The National Association of Realtors states the average home staging investment is between 1 and 3 percent of the home’s asking price, and generates a return of 8 to 10 percent. 

If you are one of many home sellers who wonder why the house down the street just sold at an asking price similar to yours, while yours remains on the market, it may be time to assess the home environment. Chances are downsizing can help improve the appearance of your home, as well as reduce your moving expenses by eliminating the cost of packing and moving unnecessary items.

In those cases where a home is full or even very full, getting ready to go to market may require more thorough cleaning and aggressive downsizing. Professional estate sale and online auction services can help in these instances. Costs of these services are similar or even less than basic home staging services and produce similar results. Typically, professional estate sale management fees are paid as a percent of sale proceeds. Once those fees, plus any administration fees, have been paid, the net gain on the estate sale belongs to the home owner. As a result, the owner may profit not only from the net revenues of the estate sale, but also the increased value of a decluttered home. Even in situations where the outcome of an estate sale is just “break even”, the seller still benefits from the improved value and generally a faster sale of the home.