Summary
This blog post explains how to measure the effectiveness of home staging, which is the process of preparing your home for sale by enhancing its appearance, functionality, and emotional appeal. The post suggests five metrics to use: number of showings, feedback from buyers and agents, time on market, offers received, and final sale price. The post also provides tips on how to adjust your home staging strategy based on the results and feedback you get. The post aims to help you sell your home faster and for a higher price by using home staging.
Home staging is a proven way to make your home more appealing to potential buyers, but how do you know if it’s working? How do you measure the effectiveness of your home staging strategy and determine if it’s worth the time and money?
In this blog post, we’ll show you how to measure the impact of home staging on your home sale with these simple metrics and tips. You’ll learn how to track the number of showings, the feedback from buyers and agents, the time on market, the offers received, and the final sale price. You’ll also learn how to adjust your home staging strategy based on the results and feedback you get.
Why Home Staging Is Important
Home staging is the process of preparing your home for sale by enhancing its appearance, functionality, and emotional appeal. Home staging can help you sell your home faster and for a higher price by making it stand out from the competition and attracting more buyers.
According to the 2021 Profile of Home Staging by the National Association of REALTORS (NAR), 82 percent of buyers’ agents said staging a home made it easier for a buyer to visualize the property as a future home. The same report also found that staging can increase the dollar value of a home by 1 to 5 percent.
Home staging is not just about decorating your home, but rather about marketing it to the target audience. Home staging is about highlighting your home’s best features, minimizing its flaws, and creating a neutral yet inviting atmosphere that appeals to the widest range of buyers.
How to Measure the Effectiveness of Your Home Staging Strategy
There are several ways to measure the effectiveness of your home staging strategy, depending on your goals and budget. Here are some of the most common metrics and tips to use:
Number of Showings
One of the easiest ways to measure the effectiveness of your home staging strategy is to track the number of showings your home gets. Showings are the appointments where potential buyers come to see your home in person. The more showings you get, the more interest your home generates, and the more likely you are to receive an offer.
You can track the number of showings by using a sign-in sheet, a lockbox, or an online scheduling system. You can also compare the number of showings before and after you stage your home to see the difference. Ideally, you want to see an increase in the number of showings after you stage your home, indicating that your home staging strategy is working.
Feedback from Buyers and Agents
Another way to measure the effectiveness of your home staging strategy is to collect feedback from buyers and agents who visit your home. Responses are the comments and opinions that buyers and agents express to you or your listing agent regarding your property. These insights can assist you in understanding what buyers and agents appreciate or disapprove of concerning your home, as well as their perceptions of its value and condition.
Input can be gathered by asking buyers and agents to fill out a survey, questionnaire, or comment card after they have viewed your property. Additionally, consider having your listing agent reach out to buyers and agents via phone or email to gather their opinions. This information can help you pinpoint the strengths and weaknesses of your home staging strategy, enabling you to implement any necessary improvements or adjustments.
Time on Market
The duration on market refers to the number of days your home remains listed for sale before securing a contract. This metric is a crucial indicator of how effective your home staging strategy is, as it shows the level of demand and appeal your property holds. A shorter duration on market is preferable, indicating that your home sells more quickly and often at a higher price.
You can track the time on market by using a calendar, a spreadsheet, or an online tool. You can also compare the time on market of your home with the average time on market of similar homes in your area to see how your home performs. Ideally, you want to see a decrease in the time on market after you stage your home, indicating that your home staging strategy is successful.
Offers Received
Proposals submitted refer to the quantity and caliber of offers you obtain from prospective buyers interested in purchasing your property. These proposals serve as a significant measure of how effective your home staging strategy is, as they indicate the value and appeal of your home. The more and better offers you receive, the better, as it means your home sells for a higher price and with better terms.
You can track the offers received by using a folder, a spreadsheet, or an online tool. You can also compare the offers received before and after you stage your home to see the difference. Ideally, you want to see an increase in the number and quality of offers after you stage your home, indicating that your home staging strategy is effective.
Final Sale Price
The final sale price refers to the sum of money you obtain from the buyer purchasing your property. This price serves as the definitive measure of how successful your home staging strategy has been, as it demonstrates the return on investment for your staging efforts. The higher the final sale price, the better, as it means your home sells for the maximum possible value.
You can track the final sale price by using a contract, a statement, or an online tool. You can also compare the final sale price of your home with the original listing price, the average sale price of similar homes in your area, and the cost of your home staging to see the difference. Ideally, you want to see an increase in the final sale price after you stage your home, indicating that your home staging strategy is profitable.
How to Adjust Your Home Staging Strategy Based on the Results and Feedback
Measuring the effectiveness of your home staging strategy is not enough. You also need to use the results and feedback you get to adjust your home staging strategy accordingly. Here are some tips on how to do that:
- Should you receive fewer showings than anticipated, it might be necessary to enhance your online listing, improve your curb appeal, or adjust your pricing strategy. Additionally, you may want to incorporate different or additional furniture and decor to boost your home’s attractiveness and warmth.
- In the event that you receive negative feedback from buyers and agents, you will need to tackle the concerns they raise, such as issues with cleanliness, unpleasant odors, required repairs, or necessary updates. It may also be wise to eliminate or replace personal or distracting elements that could deter potential buyers, like photographs, collections, or religious artifacts.
- If your property remains on the market longer than expected, you may want to consider lowering your asking price, introducing incentives, or revising your marketing approach. Updating or refreshing your home staging might also be essential to align with evolving seasons, trends, or buyer preferences.
- If you receive fewer or less competitive offers than anticipated, it might be advantageous to negotiate more effectively, exhibit greater flexibility, or explore alternative financing options. Additionally, emphasizing or showcasing the features that add value to your home, such as views, storage space, or amenities, may prove beneficial.
- Should your final sale price fall short of expectations, it may be necessary to reevaluate your closing costs, fees, or taxes. Additionally, assessing your home staging budget and associated expenses could help identify areas to cut back or enhance your overall return.
Conclusion
Home staging is a powerful way to sell your home faster and for a higher price, but you need to measure its effectiveness to make sure it’s worth it. By tracking the number of showings, the feedback from buyers and agents, the time on market, the offers received, and the final sale price, you can measure the impact of your home staging strategy and adjust it as needed. We hope this blog post has helped you learn how to measure the effectiveness of your home staging strategy and achieve the best results possible.