Jul 11
14
We recently sold our townhome in Burnaby. This townhome was in a complex of 38 other townhomes. Each unit was pretty much the same – with a few minor variations.
We managed to sell ours for $7,000 more than the highest sale ever in the complex AND about $30,000 higher than average. Plus the next property to sell in our complex, just a few weeks later, sold for $17,000 less than ours.
How’d we set such a record?
One word: STAGING.
Our house looked tidy but it wasn’t take your breath away gorgeous. We weren’t sure we could get top dollar for our place as is, so we called in a pro. We hired the Staging Goddess – turned her loose with the budget we had in mind for painting, cleaning etc. and the results were astounding.
Our Home for Sale – Before Staging
Our Home for Sale – After Staging
The return on our staging costs was at least 200%. I think it was probably more because we would have spent $5,000 on paint and cleaning and a few other things anyway so the “real” cost of staging was only about $3,000 (our total cost for everything we did to the property was $8,000). We feel VERY confident we got $20,000 more than we would have for the property without staging. Plus we sold it with a no conditions offer so we didn’t have two weeks of waiting and wondering if someone was going to go through with the deal or not.
So after this success story (because seriously – if you can turn $8,000 into $20,000 in a few weeks why wouldn’t you do it??) we started chatting with stagers to learn about the merits of staging for rentals – something we’ve never done.
Should You Stage a Rental Property?
Donna Ragona, recently featured in Canadian Real Estate Magazine’s July 2011 issue for the cardboard furniture she uses to stage, gave me her thoughts on staging a rental:
“It is not necessary to stage the entire rental property. I usually recommend staging key areas for rental properties.
I always recommend that properties have a strong curb appeal. A well maintained yard and some simple planters or flowers helps add some colour. In addition, making the entrance inviting and welcoming is important (see example below!).
A simple table, artwork or a silk plant are some quick ways to help stage this area.
In addition, I would recommend staging the living room with furniture. The kitchen is another area that is recommended. Some ideas would be using simple accessories on the counter, some artwork and a table and chairs if possible. Bathrooms are also key areas and are very easy to stage. The use of simple rolled towels, shower curtains and artwork does wonders. I also would recommend that at least one bedroom (preferably the master) gets staged.”
Donna’s approach is affordable, easy to set up and quite effective. Her furniture rentals cost about 20% of what the real furniture rentals we had for our property so it’s an approach that makes sense for rental properties. If you can stage a rental for less than the cost of one month’s rent AND get a great tenant in their quickly – it does start to make sense to stage your rentals.
Vacant Rental Property – Before Staging the Master Bedroom 
Vacant Rental Property – After Staging the Master Bedroom
(From Donna Ragona – hard to believe but that furniture is cardboard!)
Entry Way of Home for Sale – Before Staging
Entry Way of Home for Sale – After Staging
(from Donna Ragona – to contact Donna about staging in the Greater Toronto area: Telephone: 289-291-1211 Website: www.suitedesign.ca)
Next up – we asked Janet Touhey. Janet also provided us with a wealth of information on staging in general, which we’ll share another day. Today, we’ll have the same answer from her about staging a rental property. She says:
“A home that is not staged usually stays on the rental market longer, costing the investor a loss of investment income.
We stage all our rental properties and it’s well worth spending a little money upfront to fill it quickly, rather than having to play catch up on rent later.
We keep our rental homes very appealing and clean and always have a great response to rental ads. I attract great tenants and have had very little trouble over the past 20 years. We also retain our tenants for long terms and they respect our rental homes and keep them clean and tidy. Why? Because we set the precedent when we rented to them. We showed our tenants we care about keeping our rental homes immaculate and we treat them with the same respect and attention. I find there are investors that do not adhere to the same principles as we do and they are often the same ones grumbling about not being able to get good tenants and how the tenants are not taking good care of their homes.
Recently I placed an ad on Craig’s list for my cottage that came up for rent. I attracted 15 inquiries the first day. 5 people viewed the cottage. All the people that viewed the cottage wanted to rent it. They all cited how poor and unkempt the rental properties for rent were that they had recently viewed in our area. Within 3 days we attracted a wonderful appreciative tenant who has now signed a 1-year lease.”
Kitchen for Sale – Before Staging
Kitchen for Sale – After Staging
(From Janet Touhey – for staging questions and assistance in and around Nanaimo, Parksville and Qualicum area: www.kisshomestaging.com 778-424-1011)
We don’t stage our rental properties, and most of the time our properties fill very quickly. Every once in awhile as we’re going into a second month of showing a property we think “hmm – maybe we should stage this” … so thank you to Janet & Donna for your insights and perspectives! In a coming post I will share some of the do-it-yourself and hiring tips Donna and Janet also shared with me!!
In the meantime, I’d LOVE for you to share your thoughts on staging rentals. Have you done it? Was it worth the time and expense? Any other tips?? Remember cool people comment on blog posts … 
Thank you.
