Real Estate Agent · Cleveland, OH · Member since 2017 · 184 posts · 253 votes
Next month I'll be finishing my smallest flip to date... a 780 sq ft house in the Westpark neighborhood of Cleveland, Ohio. Because of the extensive renovation, I plan to price it at the high end of the comps around 90k.
1. What could I expect to pay to stage this small house? It only consists of 2 bedrooms, living room, kitchen and bathroom.
2. Is it worth the money to stage a house that would probably appeal to a first time home buyer?
3. Any reccomendations for a good staging company in Cleveland, Ohio?
Real Estate Agent · Sarasota, FL · Member since 2016 · 91 posts · 26 votes
8y
I would think your in the ballpark of $1000-$1500 for the staging then monthly rate forward.
We stage every rehab and being the person that photos properties, it's 100x better for the photos.
you can always do your own minor staging with ikea, blow up mattresses and boxes if you plan to do others. For what staging costs you could probably buy used for a 2bd1ba enough staging items but stop and ask isn't worth your time.
Good luck!
Fort Worth, TX · Member since 2018 · 41 posts · 21 votes
8y
Depends on the cost, but just off the cuff I'd say no, probably not worth it.
But I say that with the assertion that I've considered staging several of mine and haven't done it and don't feel it kept me from getting the top of the market on any of those occasions. In fact, had it helped me get more, I'd have just run into more appraisal issues and it would have been a total waste.
Real Estate Agent · Sarasota, FL · Member since 2016 · 91 posts · 26 votes
8y
I would think your in the ballpark of $1000-$1500 for the staging then monthly rate forward.
We stage every rehab and being the person that photos properties, it's 100x better for the photos.
you can always do your own minor staging with ikea, blow up mattresses and boxes if you plan to do others. For what staging costs you could probably buy used for a 2bd1ba enough staging items but stop and ask isn't worth your time.
Good luck!
China, ME · Member since 2014 · 3k+ posts · 4k+ votes
8y
In my market, no. Entry level homes are in extremely high demand.
I have a 594 sq ft rehab under contract in Halifax, MA. Quick and easy rehab that has lots of meat on the bone.
One of the big attractions for this property is that it will sell at $225,000 and in that price range, homes in this area have sold in 18 days over the last 6 months.
If you're in a buyer's market, or if this home is at the high end of the price range, you might not move it as quickly and staging may be worth the spend.
Next month I'll be finishing my smallest flip to date... a 780 sq ft house in the Westpark neighborhood of Cleveland, Ohio. Because of the extensive renovation, I plan to price it at the high end of the comps around 90k.
1. What could I expect to pay to stage this small house? It only consists of 2 bedrooms, living room, kitchen and bathroom.
2. Is it worth the money to stage a house that would probably appeal to a first time home buyer?
3. Any reccomendations for a good staging company in Cleveland, Ohio?
Thanks!
You don't need to stage it. Staging it will add zero value to your transaction. Take whatever you have budgeted off of your list price so that you are closer to the middle of the comps & watch it fly.
Professional · Greenwood, In. · Member since 2017 · 13 posts · 8 votes
8y
Staging is always worth it. When I stage a home it goes under contract in days not months. You can find comparable Stagers that can fit almost any budget and they often have a free photo package included. Staging a property yourself means luging and storing multiple items that need updating often. If you are in the business of moving properties fast and making money, you can not go wrong with hiring a pro. to make sure your photos shine above the mundane. Shop around your area and be sure to use a Stager, not a decorator. You want a person who appeals to the masses and not just to one person's taste. They should have different levels of staging and a wide variety of quality finishes to chose from. When they make you money they have a loyal client, and you have a strong business model.
Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
8y
To answer your question will require some research on your part since most answers you get here will likely not come from investors experienced in your exact market.
1. Go to every listing open house in your market, see what your competition is doing. For those you can’t go into, look the listings up and go through the photos.
2. Identify your market conditions by analyzing the average DOM (days on market), the current inventory levels (are they low - sellers market, are they high - buyers market).
Knowing yourblocal market conditions and what your competition has will be the info you need to answer your question.
Generally speaking, it is a fact that staged homes sell for more than non staged homes. Some of that is contributed to the fact that the photos look so much better which helps market your product and get potential buyers through your door. On the flip side, for such a small home in a price point below $100k, it is likely not necessary, particularly in a sellers market.
Options: Do some light staging - bring nice towels from home to place in bathroom, bring light staging items like cooking books, candles, fruit baskets for kitchen, and some artwork to hang on some main walls. This should be more than enough for this product.
Flipper/Rehabber · Montgomery, NY · Member since 2016 · 2k+ posts · 1k+ votes
8y
I stage, but use my own furniture that I have bought over the years. It's not professional, but it gets the job done. Turns echoing empty rooms into quiet and comfy rooms. It is a bit of work setting up and taking down, but I have even sold some of the pieces with the house and made a little more money there.
Paying for staging on a low end property is not worth the investment. All it does is cut into your profits. Low end market/small properties do not benefit from staging based on the pool of buyers. They are not as discerning.
Staging is always worth it. When I stage a home it goes under contract in days not months
Glad it worked for you, but saying it's always worth it can't be correct. Not that I'm against staging, but never done it and always sold at the top of the market in days, not months or even weeks.....and some have had appraisal issues even then. For me it would have just been an extra expense that I didn't need and would have gone against my bottom line.
Your market may require it and it may work well to get sold higher and quicker, but not all do.
Sydney, New South Wales · Member since 2018 · 7 posts · 0 votes
8y
I personally think that getting packed early and shifting all of your items out to a self storage unit while you sell your house might be a better bet. In fact I think a lot of people actually like the idea of seeing a potential home or investment property entirely devoid of furniture and personal belongings. the objective here is to showcase that the house is visible. If you're already got a pretty decent interior design setup, I don't think you need any form of staging at all!
Real Estate Investor & Consultant · Los Angeles, CA · Member since 2016 · 620 posts · 386 votes
8y
@Michael Kiley we are in LA, so this may be a bit more than your market, but we pay bout $3.80/sqft on average for our staging. Our staging company is really good.
Home Stager · Seattle, WA · Member since 2017 · 4 posts · 1 vote
8y
@Michael Kiley I am a Stager in Seattle and I recently staged a 2BR 1BA with living and dining that went under contract in 2 days for $499,900. Obviously the market here is crazy and super competitive, so I would say it really just depends on your specific market. This staging cost the client $2,000, but he was able to get the price point he wanted because of the appeal and connection that staging provides to potential home buyers.
Tucson, AZ · Member since 2016 · 120 posts · 127 votes
8y
As others have said, probably not for a lower end flip. However, it really does depend on your market and what your competition is doing as @Will Barnard pointed out. It also depends on how quickly the houses are currently selling and if it is a buyers market or a sellers market. If it is a buyers market, then you may have to. If it is a sellers market, you probably won't have the house on the market for long enough to stage.
There are a couple things I would point out though. While a general rule of thumb is not to buy houses with awkward layouts that can't be changed, if you happen to do this, then you probably want to stage the house so that the prospective buyer can see themselves in the home. When dealing with awkward spaces, it is hard to imagine how to use them, unless someone has already laid it out.
Also, smaller homes (not necessarily cheaper homes) could also benefit from staging for the same reason. With less space, it can be harder for a prospective buyer to invision fitting everything into such a small home.
Finally, I would have to agree with @Kenny Lee on there being issues with appraisals, even if there are multiple offers above the ARV, you would have a hard time getting it appraised on a lower-end home. With higher-end homes, it seems that there is a more wiggle room for pricing above typical market value. But again, this could be market specific and I am only speaking from what I have read and seen.
Ann Arbor, MI · Member since 2014 · 1k+ posts · 997 votes
8y
if it's the norm, then you should stage. If it's not AND it's a seller's market, you can probably skip. If it's going to cost more than 0.5% of the sales price, i wouldnt do it.
Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes
8y
I sold a little $150k rental last year that sounds a lot like yours. The professional quote was $1600 for 2 little bedrooms a living room, kitch and bath. I needed to do something to give a couple spaces purpose but couldn't spend over 1% without a negative ROI, so I rented a couch and a 6-piece bedroom set from a rent a center place. I made a 2nd bed with buckets, a piece of plywood and a futon mattress and did the bath and kitchen ourselves. Put in a few lamps and pictures and we were ready to roll. The rental place set-up and picked up once we were under contract. Thought I'd throw that idea out there.
Virtual staging is something I will look into in the future as well. Would at least get them in the door!
Real Estate Agent · Tulsa, OK · Member since 2016 · 408 posts · 242 votes
8y
My stager is amazing and affordable! IF you can get one for a decent price go for it! If not, then like James said, drop the price what you expected.
Staging not only wow buyers when they are shown the house in person, it also makes your photos amazing. It's a win win in my book and I will stage everything I can, I am a believer!
Real Estate Broker · Aberdeen, WA · Member since 2015 · 101 posts · 74 votes
8y
People see the word "staging" and think "expensive". Don't fall into that trap. Smart staging maximizes the visual appeal of the property at a cost appropriate for the sales price. For a $90K sales price, spending a smart $900 (1% of the sales price) will more than pay off. You say you are going to price in the high-90s - do you think adding a touch of "wow" will make the difference between a $97K sales price and a $99K sales price? I think it could.