The Wall Street Journal recently reported on home “staging” companies that are taking the process to the next level. They are hiring people to live in high-end homes to give the appearance that the home is being lived in. The idea is that instead of leaving homes vacant for potential viewers, home staging companies will have the home occupied because it will sell better. Sound far-fetched? Maybe.
It’s Working for Some
According to Showhomes Management LLC, based in Nashville, revenues have increased by 88% since last year. The company’s vice president Thomas Scott believes the reason is because occupied homes, especially those that are well decorated, sell much better than vacant homes. But now, home staging companies have become even more creative – they’re allowing people to actually come and live in the home, versus just giving an impression of occupancy. It’s the cherry on top for home staging companies that want to create the ultimate picture of luxury and the comfort of home.
The Home Staging Process
So how does the process work? Home staging companies are looking for a certain type of person who can live in an unsold property and furnish the home appropriately. That’s because these properties are generally luxury homes that are meant to attract high-income professionals. Candidates who are selected must have the furniture and “personality” to match the high-priced home. They must keep the home spotless between viewing hours, usually from 8 AM to 8 PM, and are encouraged to bake cookies or light scented candles prior to showings. This helps take the illusion of a lived-in home to the extreme. The little details are what matter most. One agent even went as far as removing a decorative Buddha statue to create an air of political and religious neutrality.
The Reality
The truth however, is little more than home staging gone wild. Candidates chosen by home staging companies typically enjoy drastically lower rents and bonuses if the home sells quickly. They are referred to as “resident managers” or “property managers,” and direct inquiries about the home to the people they work for. They bring their own insurance and furniture to the property, the latter of which is often times borrowed and sometimes rented.
Potential buyers who are made aware of the staging are generally impressed by it, stating that the atmosphere created by the occupants made them believe the home belonged to a professional who made millions of dollars a year. By showing viewers the potential that the homes have, both sides win. The builders and staging companies are able to sell their home, and resident managers are able to relocate to the next property that needs a little human touch.
If you’re interested in purchasing a discounted luxury home, check with Go Banking Rates for some of the best mortgage rates available online.
