PREP WORK

Getting ready to sell? 10 staging tips to wow home shoppers 

By Lucie Brand 

The Globe and Mail September 4,  2013

1. Start with a change of mind

Too often investors/home owners become either too emotionally attached or not attached at all. I have worked with investors who were renovating a property and blew their budget on some obscenely expensive tile they “had to have” and had nothing left for furnishing the place. On the other hand I’ve worked with landlords who did not see the value in painting a place that had gone through 3 tenants! Looking at a property from a buyer’s perspective is key.

Take a tour with a realtor or a staging professional and get some outside opinions on what areas you should focus your dollars on and what’s needed to get the maximum offers.

2. Maximize curb appeal

The outside should draw people inside. Neatly trimmed bushes, mulched beds, weeded lawns all help make that crucial “first impression”. Freshly painted front doors with new mailboxes and house numbers are easy ways to create maximum impact without breaking the bank. Adding seasonal urns by the front door for some colour are another way to brighten up concrete steps or boring brick.

3. Choose neutral colour palette

Bold colours are great for living, but not for selling. Light and Bright should be your motto! Stick with a warm, neutral palette like tans, taupes and greys. Avoid dark colours, especially in small spaces (like powder rooms). Keep the ceilings white to keep walls looking tall. Rule of thumb, if the walls haven’t been painted in over 2 years, now is the Time!

Return on investment: 109 per cent*

4. Let there be light

Lighting plays a vital role and is often overlooked when getting a property ready for sale. Dark hallways, rooms with little natural light, basements and bathrooms should be addressed. A minimum of a 2-bulb overhead fixture with maximum watt bulbs can transform a dingy area. There should be NO overhead receptacles without a light fixture! Consider adding pendant fixtures in dining rooms and eating areas. Big box stores offer affordable options in brushed nickel or silver fittings.

Adding ambient lighting is essential especially in areas where there is no overhead outlets. Adding table lamps and floor lamps will help brighten up any room and help your property appear as “light-filled” as possible.

Return on investment: 303 per cent*

5. Flooring

This is the other main area that always increases the value of a home. It will ALWAYS cost you less to replace worn carpet or add new flooring then to leave it to the new home owners.

Most purchasers are looking for reasons to discount their offers. Flooring is one of the first things buyers see when they walk in. If their first thought is “I will need to replace these floors”, I guarantee they are discounting their offers $5000-$10000 for condos and $7000 – $15000 for houses. Doing the work yourself will cost you a fraction of that amount.

Return on investment: 107 per cent*

6. It’s all in the details
Replace all burnt out bulbs, touch up any nicks and dents in high traffic areas, replace torn screens and fix leaking faucets. Once the fix ups are done it’s time to focus on the pretty stuff. Fresh linens in the bathrooms, a bowl of fresh green apples on a kitchen island, fresh flowers on a dining table or in the entrance way.

Adding live or silk greenery to bathrooms and adding a new crisp bedding set to the Master all help create the impression of a well-cared for home.

7. Clean, clean, clean

This may seem like common sense, but unfortunately it’s still the one area owners tend to try and shortcut.
This is the time to hire a professional cleaning company. Special attention should be placed on appliances, inside and outside of cupboards, baseboards and windows. Bathrooms should be scoured and if necessary use grout cleaner to get the tiles looking spotless!

8. Highlight best use of the space

Tenants may have liked to use the dining room as an office, but it should be shown with it’s intended purpose. Giving a room more than one function (i.e. guest room and office) is a great way to effectively show the space. In condos this becomes essential when space is at a premium.

Using small glass desks with a stool you can tuck in can creatively introduce a “work space” where one wouldn’t think possible. Adding a daybed to a den/office creates extra sleeping space. Determine what adds the most value to potential buyers in your neighbourhood and showcase the space accordingly.

9. Kitchens and bathrooms are the place to invest

If you have dated cabinetry, cracked and worn laminate counters, chipped or broken tiles, consider investing in repairing and upgrading these rooms.

If your budget is limited, changing cabinetry hardware to brushed nickel or silver knobs and handles will give it an immediate appeal. Consider painting cabinetry instead of replacing them.

Depending on the price point of your property it is often worthwhile to install stone counters. This immediately adds value and is very durable for long term use. If stone is not in the budget, consider a “stone– like” laminate counter. Recaulking around sinks and bathtubs is a simple improvement that can greatly improve the look of a bathroom.

Return on investment: 172 per cent*

10. Vacant properties sit, staged properties sell

Staged homes sell 2 – 3 times faster and up to 6 per cent more than unstaged ones**. People perceive staged units that are well decorated as worth more. Professional stagers know how to highlight the features of the unit and distract from any “not so desirable” features.

If your budget is limited consider focusing on the main living areas and at least one bedroom. If you can’t borrow furniture and artwork, rental companies carry everything from furniture to linens. Just keep in mind that the goal is to show people how to use the space effectively.

Return on investment: 299 per cent*

Remember that 79 per cent of buyers have already viewed your property on the MLS, make sure that your property stands out among the competition! Staging is your key to getting noticed and getting SOLD.

Photo By: Exterior Encounters

STAGE RIGHT?

MARKET READY
By TIM McKEOUGH
New York Times September 28, 2011

Q. Our old apartment is sitting empty, and not selling. Is it worth the money to hire someone to stage it?

A. Staging an apartment — adding furniture and accessories to make it look lived in — can be expensive. But you may be able to cover your costs, and then some, by creating a more appealing environment.

“I won’t let people come on the market empty if I can help it,” said Deanna Kory, a senior vice president at the Corcoran Group, who has used staging to help sell apartments for more than a decade.

Ms. Kory, who has staged apartments on her own and worked with professional staging companies, said renting a hand-picked selection of furniture and arranging it with accessories will often speed up a sale and generate a higher selling price. Generally, she has found that sellers with empty apartments can increase their selling price by “at least 5 to 10 times the investment you’re going to make” in staging, she said.

For instance, if you put in $10,000, it should yield between $50,000 and $100,000 more in profit than an apartment sold empty, she said.

But, she added, “There are good stagers and not-so-great stagers.”

“You have to get recommendations,” Ms. Kory said. “If they have a good track record, they should be able to tell you stories and show you some photos.”

One stager she has worked with is Sid Pinkerton, who runs a company called From Drab to Fab. Mr. Pinkerton has been in business since 2003, and he estimates that he has staged over a thousand apartments in New York City during that time.

One of the primary reasons for staging, he said, is that potential buyers often have difficulty understanding the proportions of empty rooms.

“Most Americans are what I call ‘visually challenged,’ ” Mr. Pinkerton said. “When rooms have no furniture in them, you have no size spec. It raises the question, ‘Will my furniture fit in here?’ The whole point of staging is to answer those questions before they even arise.”

This is especially true, he noted, when it comes to bedrooms. “They might feel small when they’re empty, when in fact they will very easily hold a queen-size bed, nightstand and dresser.”

While every job is different, Mr. Pinkerton said his services for staging an empty apartment “can be as little as $5,000, but up to $15,000 and more,” depending on factors like size and layout. Those figures include furniture rental; if you add some of your own furniture to the mix, the fee would be lower.

The other option, if you’re confident in your design skills, is to do it yourself. Companies like CORT (888-360-2678 or cort.com) and Churchill Furniture Rental (800-941-7458 or furniturerent.com) carry a range of pieces catering to different tastes, available for short-term rental.

Just remember the goal. “You’re trying to appeal to the baseline needs of the general public,” Mr. Pinkerton said, not create a space that reflects your personal style. “Staging is the complete counterbalance to interior design.”

http://www.nytimes.com/2011/09/29/garden/staging-an-apartment-market-ready.html?ref=marketready

Images featured is the work of Bloom Property Stylists in Calgary, Alberta

10 TIPS IN 2010

Ten ways to get more money from your home
Tim Kiladze
Forbes
Published: Wednesday, February 24, 2010

At last some hope for American homeowners: A week ago the National Association of Realtors reported that fourth quarter existing home sales surged almost 14% over the previous quarter. Still homeowners must be realistic; the median existing single-family home price remains 4.1% below 2008 fourth quarter levels, according to the same report.

The freefall in home prices may be over, but the buyers' market persists -- there's stiff competition to get a house sold for a good price. In a competitive market sellers need to make every effort for their properties to appear more attractive so they sell for more.

And it's the simple touches -- not the big renovations -- that often matter the most.

Clean and De-Clutter
HomeGain's 2010 Home Sale Maximizer Guide, which identifies key repairs to increase your home's selling price, says "cleaning your home and freeing it from all clutter can be the most important of all pre-sale activities." Suggested tips include organizing closets and storage rooms, removing all personal possessions and removing appliances from kitchen counters to free up the space.

Staging
Staging means dressing up your home by hanging artwork, putting out fresh flowers or turning on the fireplace in the winter. The techniques may seem basic, but a 2009 survey of Realtors found that $300 to $400 spent on staging can yield a $1,500 to $2,000 increase in home price.

Online Advertising
Most home buyers browse online listings, and good ads with video walk-throughs are clicked on 150% more than those without. Web appeal is more important than ever in selling a home.

New Front Door
Jean Nayar, author of Staged to Sell (or Keep), says a home's exterior can have a big impact on potential buyers. For cash-strapped owners, replacing the front door is a cheap exterior enhancement that can have a big impact.

"Tier 1" Renovation
Bill Carter, president of the National Association of Remodeling, recommends piecemeal renovations rather than complete overhauls, such as upgrading HVAC systems and hot water heaters, as well as installing double- or triple-paned windows. Homeowners who are able to get a small loan should invest in energy-saving projects and utilize the available tax credits.

Outdoor Entertainment Areas
Because of the recession, "people are starting to realize they've got to rethink their way of life," Carter says. He notices that families in warmer areas are emphasizing outdoor living space, such as patios and decks, rather than taking vacations.

Attic Bedroom
An attic bedroom is a great green renovation for families able to afford it. Instead of building an addition, homeowners can add space without increasing their carbon footprint. "You already have the roof and the joists and the walls there, so you can take advantage of costs already spent," Nayar says.

Inexpensive "Greening"
Installing water-conserving faucets and adding weatherstripping to movable joints are good, money-saving improvements for buyer and seller alike.

Pre-Sale Home Inspection
A pre-sale home inspection may not add value to your home, but it can certainly prevent loss, says David Tamny, president of the American Society of Home Inspectors. He says some homeowners are now advertising their completed pre-sale inspections as added insurance that their home is ready for sale.

Neutral Paints & New Carpets
It's easy to get lost in the suggestions for increasing home value, but a new coat of a neutral-colored paint and new (or shampooed) carpets are always a good base from which to start.


Look the Part

Louis Cammarosano, general manager of HomeGain, a real estate marketing company in Emeryville, Calif., stresses the importance of subtle yet crucial marketing tactics such as staging, or dressing up your home. "It's the same thing when you go for a job interview," he says. "You're looking at a person -- how they dress, how they speak. You're not looking at their credentials initially."

Last year HomeGain surveyed 1,000 real estate agents to determine which home repairs offer the biggest rewards. After ranking for return on investment, the survey found that cleaning and de-cluttering -- including removing personal possessions, polishing woodwork and glass and removing excess furniture -- is the most important. Spending US$100 to US$200 tidying up can increase a home price by US$1,500 to US$2,000.

Putting out fresh flowers, hanging artwork and turning on working fireplaces in the winter all can be equally helpful, but there are exceptions to the rule, Cammarosano says. In some parts of the country, including California, staging seems to matter more than it does in other places, where online presentation might be more important.

"Web appeal is the new curb appeal," says Julie Reynolds, senior director of PR at Realtor.com, which is run by the National Association of Realtors. She recommends making your home stand out online because "the value of a home is what a buyer is willing to pay." Ads that stand out often include walk-through videos; those that do are clicked on 150% more than those without, she says.

Sellers should also think about the type of buyers they have in mind. Targeting families? Make the house look lived-in. Hoping for a young couple to move in? Remind them that kid-friendly parks and other activities are nearby.

Renovate with Marketability in Mind

Certain renovations can also add value, but they don't have to be major overhauls. Jean Nayar, author of the book Staged to Sell (or Keep), which offers simple suggestions to add home value, says installing a new front door is an inexpensive exterior improvement. She also suggests replacing worn-out siding. New fiber-cement siding will generate the best return on investment, but vinyl siding will work for those with smaller budgets.

Bill Carter, president of the National Association of the Remodeling Industry, also stresses "piecemeal" renovations.

"Without HELOCs [home equity lines of credit], without property values, without lending, without people working, you're not going to see a big reach for [big renovations] yet," he says. He suggests upgrading HVAC systems and hot-water heaters, as well as installing double or triple-paned windows.

Outside projects can also add value, depending on geographic location. Particularly in warmer climates, consider adding a new patio or deck. But if you do have the budget for a big renovation, Nayar recommends thinking green.

"There is a trend in general to reduce your carbon footprint," she says. "Consumers are more aware of green living concepts and reducing your energy consumption because of the good that it will do the planet."

For example, creating an attic bedroom is a good way to add space to your home without using more energy. Plus, "you already have the roof and the joists and the walls there, so you can take advantage of costs already spent," Nayar says.

But thinking green doesn't have to be expensive. She also recommends installing weatherstripping and low-flow faucets as cheap alternatives.

Safety First

Pre-sale home inspections have gained traction in the depressed market because buyers are trying anything and everything to outdo one another. With a heavy supply of houses on the resale market, a pre-sale inspection can provide extra assurance that there won't be any surprises after signing the sale contract. David Tamny, president of the American Society of Home Inspectors, admits these inspections may not identify ways to add value, but they can certainly prevent a loss of some.

"Because of the do-it-yourself movement, people do things that are unsafe," he says, citing botched ceiling fan installations and improperly spliced wires as examples. If these problems are not detected when the home is sold, some sale contracts allow buyers to renegotiate prices if inspectors find them after signing.

Sellers needing to move quickly, however, should remain focused on the basics, Nayar says -- neutral paint jobs and replacing or cleaning carpets. That could be the difference between a signed contract and the for-sale sign remaining on the lawn.

Photo By: Tosska