Property staging is the parent industry of the far better known home staging sector. While traditional home staging is still the most common type of real estate enhancement service, there are several other types of staging which are used throughout the property industry, all with the goal of drawing more profit out of each sale or rental transaction. This article will focus on some of the lesser known aspects of the real estate staging market.
Let’s start with home staging, as a quick introduction. Home staging entails improving the aesthetics of a residential property in order to make the house, condo or coop more appealing to prospective buyers. The theory of home staging is to make the home have virtually universal appeal, by studying the target buyer demographic and setting up the property to suit common buyer wish list criteria. Staging is not at all like renovating, since the changes performed are cosmetic and not structural in most cases. Staging is supposed to be completed for as little money as possible, to optimize the increased profitability from the sale or rental. In general, staging costs a fraction of home renovation prices.
Commercial property staging is a growing sector of the real estate enhancement business. Commercial spaces in large cities, such as San Francisco and New York, have been staged for years and now the rest of the world is catching on. An empty commercial space is one of the least attractive types of real estate possible and many buyers or renters have a difficult time envisioning their business functioning in such a featureless space. Commercial staging sets the tone for a more satisfying viewing by allowing interested parties to see the space as they are likely to utilize it. It is common for commercial properties to be staged as offices, restaurants or boutiques, depending on the particulars of the property and the type of renter or buyer being courted. There are even companies now which specialize in manufacturing mock fixtures and furnishings common to business spaces, exclusively for commercial staging applications.
Rental staging is another niche facet of the staging business. Rental staging can be used to prepare commercial spaces or residential spaces and the techniques are known to help secure the ideal tenant for a particular unit. Rental staging is particularly fantastic, since once a landlord or management company invests some capital into furnishings, they can chose to get that money back many times over using one of 2 methods. The first is to re-use the furniture in other rental locations as they become available for new tenants. This will make the rental process fast and easy for the property owner or manager time and time again. The second way to recoup the investment is to offer the prospective tenant a completely furnished rental at a higher cost per month. Usually, the investment in furnishings can be recovered in 12 to 18 months and is all profit after that… Rental staging is especially suited to seasonal rentals, including a variety of high end properties, and has become a specialty of many urban home stagers the world over.
The property staging business is enjoying success in leaps and bounds. It is very satisfying to work in such an amazing industry where you actually get paid for helping people to make more money. With the present American tax laws allowing full deduction of home staging expenses, it is super simple to get home owners, landlords and management companies on board with your staging designs, since they know that they have much to gain and literally nothing at all to lose. This is a textbook win/win scenario for all involved…