#HomeLove – Home Staging

The Hidden Costs of Selling a Home: Who Pays for House Staging?

Via REPMagazine.

“…Home staging in Canada is the act of preparing a private residence for sale in the real estate marketplace. The goal is to make the home appealing to the highest number of potential buyers, thereby selling the property more swiftly and for more money. Staging techniques focus on improving a property’s appeal by transforming it into a welcoming, attractive product. However, many real estate agents and their clients misunderstand home staging, thinking it’s merely interior decoration. In reality, it’s a marketing strategy designed to showcase the home’s best features and potential…

The Costs of Home Staging

The cost of home staging varies widely across Canada, depending on the size of the home, the extent of the staging, and the market conditions. On average, professional home staging can cost between $1500 and $5000. This typically includes a consultation, minor repairs, and the rental of furniture and decor to stage key rooms. For instance, a recent case in Toronto saw a homeowner spend $2300 on staging, which significantly boosted the home’s market appeal, more than covering the cost of the staging with its overall final sale price.

In the Canadian real estate market, the cost of home staging is typically borne by the seller. This is because staging is seen as an investment that can enhance the home’s appeal, expedite the sale, and potentially increase the final sale price. Sellers often view this expense as a strategic move that can yield significant returns, making it a worthwhile investment.

However, it’s not always the seller who shoulders the entire cost. In some instances, a real estate agent may choose to cover the cost of staging as part of their marketing strategy. This is more common when agents have a high confidence in their ability to sell the property quickly and at a good price, and they view staging as a tool to achieve this goal. The cost of staging then becomes a part of the agent’s investment in marketing the property.

There are also situations where the cost of staging is shared between the seller and the agent. This usually happens when both parties see the value in staging the home but want to mitigate the financial risk involved. The specifics of this arrangement, including the percentage each party pays, are typically outlined in a written agreement to avoid any confusion or disputes later on…”

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