– Carol Ann Wolf
I love this question, because I love myth-busting! Staging is still incredibly important even in a “seller’s market”. Yes, it may be easier to find a desperate buyer when there is a shortage of housing inventory, but that is just the thing – that buyer is desperate. When something new comes available, they are pressured to jump on it and make a quick decision. It may not be their dream house, but, hey, sometimes you gotta just take what you can get. They may not be totally in love with it, but they make an offer anyway.
If the buyers stay interested enough to make it through the initial negotiations to get their offer accepted, there is still the inspection to get through. That can definitely be a buzz kill. By now, they are starting to have buyer’s remorse. Their financing is not going through easily. (Lenders have really been putting the squeeze on, and interest rates are rising). Then the appraisal comes back low and they have to come up with more cash. (This is common in a hot market, as appraisal prices tend to trail a few months behind actual sales).
In the mean-time, another listing that they like better may come on the market. The buyers simply may not have enough passion to carry them over each of these hurdles. Losing the deal at this point would cost the seller a lot of precious time on the market, but the reality is that we are seeing a high percentage of contracts fall through.
That’s where staging comes in. It creates that emotional connection – that tie that binds. When a buyer is head-over-heels in love with a home, they will stick it out through the thick and thin of the entire process.
So all of that is what you need to communicate to your staging clients. At the same time, you will need to adapt to the current market weather. It may be that, with houses turning over more quickly, that you need to shorten your contract period. For example, if you were previously doing a 3-month contract, you might consider making it 2 months – or if it was 60 days, you might go down to 30.
You can also build up other revenue streams. A lot of people buying homes means a lot of homes needing new decor. Interior designers are on the prowl for clients with a new home. You have the jump on the designers, because you met that client before they even sold their last home and, even better, they already know they like you and your work.
RESA Expert at Staging Studio
BY Design Home Staging in San Antonio, TX has received numerous awards over the years, including RESA 2017 Top Ten Staging Teams. Debbie is a frequent speaker at national staging conferences, and produces an annual interior design trends forecast. A realtor herself, she has developed approved CE courses for realtors, and has co-hosted a weekly real estate radio show. The training that Debbie provides through Staging Studio is accredited by RESA and was a finalist for the RESA 2017 Innovative Product of the Year. Debbie is passionate about raising the bar for the home staging industry and helping other stagers build profitable businesses.