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Buyer beware ... of staging, new report warns

MELANIE MCINTYRE, Daily Reporter Staff Writer

Buyer beware ... of staging, new report warns
MELANIE MCINTYRE, Daily Reporter Staff Writer


Home staging typically is regarded as a helpful home selling tactic, but a report released this month by the National Association of Exclusive Buyers Agents has put a slightly venomous spin on the measure, claiming it may lead househunters to buy homes that don't suit their needs or, worse yet, are defective.

"The whole intent of staging is to get the buyer emotionally involved with the home. Our member agents want home buyers to see things logically, to see past the staging," said Jon Boyd, president of the NAEBA, which on Friday, August 17th released "How to not get tricked by staging - and potentially save $5,645 when you buy a home."

The report focuses on common staging practices and how they might influence buyers, and includes first-person accounts from NAEBA members about some of the negative consequences associated with showing potential buyers a staged home.

"When we surveyed our brokers and agents, 82 percent of the respondents stated that buyers were likely to get distracted from important issues when viewing a staged home," Boyd said.

"The most prevalent staging trick reported in the survey was sellers using small furniture to make a room look bigger than it actually is," he continued.

A majority of members also have seen staging cover up real problems - rugs hiding damaged floors and designer curtains covering rotted window sills, he said.

"Since staging doesn't increase the intrinsic value of a home, buyers need to be very careful," he continued. "Remember, you're not buying the pretty furnishings, you're buying the house."

Basic staging strategies have been around for years, the report noted, and can include removing clutter; placing only basic, attractive furniture in each room; keeping walls, trim and carpets in neutral colors; removing personal items such as pictures or hobby items; and cleaning windows and making sure all rooms have good lighting.

The Accredited Staging Professional program for stagers and real estate agents - developed by the "inventor" of home staging, Barb Schwarz - focuses on seven Cs, four of which deal with the aforementioned staging strategies: clean, clutter-free, color and creativity.

The remaining Cs mainly deal with the relationship between the seller and stager and the stager's role in the selling process, according to Mark Reed, an ASP instructor in the Midwestern U.S. and corporate relations director for stagedhomes.com.

One C stands for communication, which is especially important between the seller and stager as the former tends to view his or her home in a very personal manner, while the latter sees it as a product, Reed explained.

The sixth C stands for the stager's commitment to help sell the home, and the seventh C stands for compromise, in terms of helping sellers determine how to obtain the greatest return for their money, he continued.

"Buyers only know what they see, not what (a home) is going to be," he said, meaning a stager's primary concern is emphasizing a home's potential.

Emotional staging is another ploy sometimes used by real estate agents or homeowners staging their properties. The goal is to get buyers to picture themselves in the home having an enjoyable time by creating "vignettes," according to the report.

Pillows and two wine glasses in front of a fireplace, for example, or place settings on a dining room table.

Reed said he'd never heard of emotional staging and that any sort of "manipulation" is not an accredited stager's intent.

"Our job is to uncover for the buyer the permanent features they'll want to be aware of in the first place," he said, noting that this includes nice windows, fireplaces, hardwood floors and cathedral ceilings.

Further, he noted, accredited stagers are always instructed to obtain disclosure statements and alert real estate agents of any home defects they discover.

The NAEBA and Reed both pointed out staging's ability to help bring about a more lucrative sale.

The figure cited in the report's title was gleaned from a 2003 survey of 2,000 real estate agents by HomeGain, an Emeryville, Calif.-based provider of online marketing solutions that connects real estate agents and brokers with homebuyers and sellers. Results of the survey revealed that home staging can increase a home's average sale price by $5,645.

Reed said staging can up final sale prices by 7 percent.

The NAEBA report points out that staging "does not add square footage to the home, improve the home's location, improve the quality of the fixtures, improve the quality of construction, increase the desirability of the floor plan or the views the neighborhood."

Reed doesn't disagree.

"Staging is only part of the recipe for a sale," he said, along with condition, price and location.

Copyright 2007, The Daily Reporter, 580 S. High St., Columbus, OH.