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You have purchased a property, took out a hard money loan, and rehabilitated the place from top to bottom – the renovation work is complete, everything functions as desired and looks great, so you are ready to put the home on the market, right? Not always, as a good staging might make a smart next move.

When Is the Best Time for a Rehabbed Home Staging?

In investor circles, one of the more commonly discussed elements of property flipping is the cost-effectiveness of staging homes when putting them up for sale. Many investors swear by staging and will justify this final step in all of their properties, while others think that any gain provided is eaten by the cost of the staging or difference in the hard money loan amount.

The truth is somewhere in the middle, as staging can clearly add value to the property to the eyes of the prospective buyer. Showing that person a series of empty rooms will not be as engaging and exciting an activity as giving their imagination something to work with. Whether staging is needed for your home is often decided by other homes in the same market, as staging easily forms a market trend.

If Similar Homes in the Area Are Staged, Yours Should Be Too

Taking a quick look at the other, similar homes (any homes that any one of your prospective clients would be likely to look at) on the market should give you a good idea as to whether you would benefit from the services of a professional stager or not. Often, other homes on the market make the difference because they collectively set up an expectation in the mind of the buyer. The buyer then discredits any property listing that does not meet that expectation – often without even noticing that he or she has done so.

The main advantage to staging a home is that you can interact with your clients on a subliminal level, through careful manipulation of the home’s interior. This can engage them in a way that a sales pitch never could, because it lets them implicate themselves visually and emotionally in a property that they can see themselves living in, which is, obviously, incredibly important, and easily pays for itself in most cases. Therefore, including the cost of the home staging in the hard money loan you take has every chance of turning into a profitable investment.

Are you a beginning rehabber? Check out these tips from us.