Wednesday, March 21, 2018

Real Estate Investors - Don't Leave Money on the Table!

I work with a lot of real estate investors. I know they are frugal to a fault - everything they pay for is at a discount.... This is not a bad thing, but sometimes they don't see the importance of finishing their projects. What do I mean by that?

If you flip houses but don't stage them - you are leaving money on the table! Your project is only half finished!! THERE IS A REASON THAT EVERY SINGLE HOME IMPROVEMENT SHOW ON EVERY SINGLE NETWORK STAGES HOUSES AFTER THEY ARE REHABBED. Why is this? Because they know that people will fall in love with a house that has furnishings in it. Think about it - houses that are un-staged or empty start looking alike and it's hard to differentiate one house from another. They all have the same neutral walls, the same carpeting or hardwoods and the same neutral bathrooms. STAGING A HOUSE GIVES IT A VISION. IT HELPS PEOPLE IDENTIFY YOUR HOUSE AS THEIR FUTURE HOME. PEOPLE FALL IN LOVE WITH STAGED HOUSES, not empty rooms, and when they like what they see, they make an offer!

So if you're an investor and you're flipping houses, make sure you LEAVE SOME MONEY IN YOUR BUDGET FOR STAGING. In some cases, with smaller homes, I can stage a house for approximately $1350. Incidentally, after I stage a house, it usually goes under agreement within the first week (sometimes just a few days!), even though it may have been listed for months prior to staging. Here's a statistic from the National Association of Realtors from 2017: "Twenty nine percent of seller's agents believe staging increased the value of the home by 6-20%."









If you were looking at this house, would you rather see the above master with that sorry bed(!) or the staged one? Look at the difference! STAGING WORKS!!