HOME STAGING BY NUMBERS
THE NUMBERS IN THE US
It seems appropriate to analyze the statistical data from this pioneer country in the implementation of home staging to compare with the current situation in Spain and project what will happen in our country.
Did the home staging application cause any effect on the buyer?
Did home staging make it easier for the buyer to see themselves living in that property?
Do real estate agents do home staging before going on the market?
52% of real estate agents apply home staging before marketing a property, including 31% in all their properties. 40% do not apply it directly, but make the suggestion because they know the importance and benefits it brings, only 8% do not make or suggest it.
Does the real estate agent outsource the service or does he do it himself?
We observe that almost half of the real estate agents hire the service, despite the fact that the average investment is $1,500 when outsourcing and $300 when the agent does it personally. The explanation for this dedication is that preparing a property requires Knowledge and time that the vast majority of agents do not have.
Did the application of home staging cause any change in the sale value of the home?
We observe that according to the response obtained from the real estate sellers, 52% of the cases the house increased its sale value after carrying out home staging, even reaching more than 20%. The impact on the number of homes may be even higher given that 29% were not sure if they had increased in value.
It should be noted that photos, videos, virtual tours and staging have also become more important since the start of the COVID-19 pandemic, as we can see in the following graph, 83% of real estate agents stated that having these resources became even more important. since the coronavirus began, as people spent more time at home. Likewise, this trend to purchase and display online is on the rise in many areas and is here to stay, as well as the greater teleworking offer.
Chart taken from: National Association of Realtors – Profile of home staging 2021.
NUMBERS IN SPAIN
After having analyzed the numbers in the United States, pioneers in the application of home staging and the good results obtained, we delve into the numbers in Spain according to the survey carried out by the Association of home staging of Spain (Ahome stagingE) in the year 2019 (6).
In this case, the two benefits related to the commercialization of properties after applying home staging that are observed in the US are repeated:
1.Shorter time to market: going from an average of 8.6 months to 1.19 after home staging was applied.
2. Increase in the value of the property up to 25% in 52% of the cases.
Another important piece of information to which it is very difficult to assign an objective value is the degree of customer satisfaction that uses home staging services. The important thing is to know that 90% are very satisfied and 7% are satisfied.
THE NUMBERS OF HOME STAGING IN SALES OPERATIONS
The sale price of the majority (51%) of the homes where home staging is applied ranges between 150,000 and 300,000 euros, so the theory that it is an exclusive service that is only carried out in high-level homes is ruled out here.
Another very interesting piece of information reported by this entity, and in line with previous data referring to the value of properties where home staging is applied, is that the investment in home staging represents 0.86% of the average sale price. Which, once again confirms that it is not a boutique service as many people believe.
In addition, here it is extremely important to publicize, according to the data published by the newspaper El País, that in Spain there is usually a reduction of 7% and 10% of the prices published in the properties for sale, commonly known in the jargon like “haggling”, that is to say that a house published at 200,000 euros, can sell for between 186,000 and 180,000 euros. Therefore, if the price of the home staging service is, in this case, 0.86% of the property, it would imply an investment of 1,720 euros and considering that in 48% of cases the value is maintained and even in 52 % the value increases, that is to say that the percentage of haggling decreases considerably or even cancels this option as it happens in new construction or recently renovated apartments.