We have all had the frustration of feeling underpaid and overworked, all while fielding requests to cut pricing – so how can we comprehend raising prices? So many of us fear even the thought of raising prices. Why? Well, in an industry where pricing and other factors are not regulated, and services are often subjective, it can be easy to under-value the services that you provide. You may have set your prices early on in your business, without fully understanding the ins and outs of each service, or the industry as a whole. You may have felt that you should be charging less than your competition, due to inexperience (which of course is NOT a great pricing strategy, but that’s for another post). You are likely afraid that by raising prices, you will stand to lose a long-standing and loyal client, or turn off potential new clients.
Here are just a few benefits to raising your prices:
Get paid your worth, and enjoy your projects more
Attract higher quality clients – someone will always look for the cheapest price – don’t compete on price, compete on value
Make more money!
Position your company as a higher-standard or “premium” business
Before raising my own home staging consultation fees, I needed to do an evaluation.
How much did I want to raise my fees by?
To determine this, I calculated how much time I spent on each project, as well as what my expenses were (both direct and indirect). This is something that your accountant can help you with, but it’s really quite simple – all you need to do is sum up any material costs, labour fees, and your own time. Your accountant can provide you with a general overhead cost based on your annual expenses. Next, I outlined the value that I provided, in order to determine how much money I felt that I needed to make in order to feel that my time spent was valuable. I also reviewed competitors to see where our current pricing structure fell in relation.
How many consultations would I need to do to make the same amount of money?
What do I mean by this?
Ok, bear with me, we need to do a little math.
Let’s say that you charge $200 for a consultation, and want to raise your prices to $250 (please note that these prices are not intended to be guidelines of what your prices should be, and are simply intended as an example for the purposes of this exercise). At $200, in order to make $1000 in a week, you need to provide 5 consultations. At the new price of $250, you would only need to provide 4 of these. What does this mean? It means that you can afford to lose 1 consultation a week, (or 20% of your clients) and still bring in the same amount of money, while also giving you more time to spend on other aspects of your business. Play with these numbers until you get to one that you’re comfortable with.
Once I determined how much I wanted to raise my prices by, I set out to create a plan of action, including setting a timeline to implement the change, and introducing the increase to my current client base.
Every home stager works differently, and as such, they each provide variations of a standard home staging consultation. So why is it that despite what our consultation includes, we feel that we should all be priced the same? You will always have price shoppers – you know, the clients that are looking for the cheapest and quickest fix to any problem, but that doesn’t mean that they need to be your clients. By changing my pricing structure, and raising my prices, I began to attract a better quality client, and was able to provide a better quality of service to each of my clients.
What do your consultations currently include? Is there anything that is included that could be removed, while still providing a full-service consultation? Is there anything that could be added to increase the value (think of what you could add that would not significantly impact you financially)?
There were a number of aspects of my home staging consultations that were of great value, but not appreciated by some of my clients. Meanwhile other agents were asking how they could add more value to the staging services that we provided to their clients. If you have ever signed up for any sort of “plan” or “package” (cell phone company, online cloud storage, etc.), you have probably seen a tiered pricing structure. I realized that this worked well for these companies, and so I adapted it into my pricing structure. The reality is that there will always be those clients that want the cheapest, quickest, and easiest. While these may not be my ideal client, it doesn’t mean that I want to turn away a paying client, especially because these are often the real estate agents that are doing the greatest volume of business.
Here’s how my new tiered pricing structure worked
I removed some elements of my existing consultation (without compromising the quality of the service of course), and kept the pricing the same
For my existing consultation, with all of the great bells and whistles, I raised the price
I then added a third package, which included some additional home staging services
We then emailed all of our real estate agents to notify them of the new pricing structure:
Subject: BTSH Introduces 2 NEW Home Staging Consultation services!!
Email:
Over the last several years, BTSH has worked to continually improve the quality of the services that we provide and we are excited to announce two new versions of our current home staging consultation services! We appreciate your on-going support, and for making us your #1 choice in Waterloo Region, so we want to ensure that we continue to offer you both quality and value when you invest in Home Staging. You spoke, and we listened – based on feedback from our clients, including both homeowners and real estate agents, we will be rolling out our new consultations starting <date starting>. Now with 3 comprehensive home staging consultation packages available, we’re sure to have one that suits your client’s needs.
As a Real Estate Agent, when you hire BTSH for your home selling clients, you get more than just a walk-through consultation, you get our commitment to a successful home sale by offering you the following:
<insert your value here>
Notice that we didn’t say anywhere in that email that we are raising prices?
When evaluating whether or not to raise your prices, I want you to think about this – who is holding you back from raising your prices? We all have that client that makes a lot of noise any time we enforce a policy, or introduce something new to our business. Think about this – 80% of your business comes from 20% of your clients. And 80% of your stress comes from 20% of your clients. Sometimes you just have to shut out the noise and do what is best for you and your business.
Hire a home stager as early as possible in the process
Homeowners will often try to tackle renovations and decluttering before calling a home stager, but it is actually better to call them in first. As soon as you have made the decision to sell your home, contact a qualified home stager to consult with you on what needs to be done to get top dollar. You may be planning for a renovation that will not yield a high return, and a home stager can help you to maximize your budget.
Detach yourself emotionally from the home
We all know how many memories you can create while living in a home, but when it comes time to sell, it is important to think of the house as a product, and just like all products, it needs to be marketable in order to find the right buyer. This can be challenging, especially if your reason for selling is not a positive one, but focusing on the process will help. By packing up your items, you will find the moving process much less stressful, and you can keep all of your private memories…well…private.
Your research
Be sure to select the right home stager for you. Who understands your market best? Who offers the type of service that is right for your home? What does their portfolio look like? Do they have what it takes to properly showcase your home? Be sure to check out reviews and testimonials, ask for referrals from your friends and family, and review their home staging portfolio.
Ask questions
By asking the right questions, you can ensure that your home is in good hands. Your house is generally your largest investment, so why would you trust that to just anyone? Ask what professional training and certification your home stager has received. Are they associated with an accredited association or organization, such as RESA? What awards and credits have they earned? Hiring a qualified professional will help to ensure a positive outcome for your home. Keep in mind that home staging is NOT the same as decorating or designing a home, so choose your home staging professional based on their home stager training and experience. They may also provide decorating and design services, but they should have the qualifications needed of a home stager as well.
Surrender control
Allow your home stager to create a design plan that works for your home and your target buyer – keep in mind that this may not be to your personal taste, but trusting in their expertise will yield the greatest return on the sale of your home. Questioning their vision could lead to compromises in the design, meaning that your home will not showcase as well, and it could delay the process.
Trust the professionals – hire a real estate agent and a professional photographer
This is the best way to ensure that you maximize your investment in home staging. With the right marketing, and quality photography, your home can receive maximum exposure and make your home’s greatest features really shine.
Understand what you get
Every home stager will have a different process, different pricing, and different packages. Be sure that you fully understand what your investment will provide you with (i.e. staging report with recommendations, staging rentals, access to trades, etc.) and what it does not include (i.e. house cleaning, repairs, etc.).
DON’T
Over-renovate
Quite possibly the biggest mistake that is made, especially when planning a house-flip, is over-renovating. Not all upgrades are created equal! Be sure to consult with your home stager before beginning any renovations on your property – they will assess the best value to allow you to maximize your budget, and invest in the updates that will produce the greatest return on your investment.
Cheap out
As the saying goes, you generally get what you pay for. Selecting the cheapest stager in town could cost you more in the long run if the house takes longer to sell, between additional carrying costs, price reductions, not to mention the stress of having your house available for showings regularly. If a home stager’s price is lower than the industry standards, there is likely a reason.
Over-manage
Don’t get caught up in the design details – leave that to your professional home stager! The better that you follow their recommendations, the faster the home sale, and the more money you will get (we know that this is cliché, but it really is true!). You wouldn’t clean your own teeth, would you? So why would you try to stage your own home?
Over-declutter
Your home stager will provide you with recommendations that are specific to your home. If you are planning to live in your home for the time that it is listed for sale, your home stager will likely aim to work with most of your own furniture and decorative pieces, if they feel that these work well for your target buyer. If you are eager to get started and begin the purging and decluttering process, be sure to keep some non-personal decorative items out for your meeting with your home stager, in case they would like to work these into your staging plan. These may not fit into the final staging plan, but it is best to allow your home stager to make that decision.
Over-decorate (i.e. under-declutter)
This can be just as dangerous as over-decluttering. Remember, home staging is not decorating. Creating a decorating plan for a home is about infusing your own personal style and choices, whereas home staging is intended as a marketing tool, drawing the buyer’s eyes to the greatest areas of interest. When it comes to staging your home for sale, less is more. Consult with your home stager to ensure that you get the balance that is just right for your home.
Make personal selections for any renovations/paint colours
Review any major renovation decisions with your home stager before finalizing your plans. It is your home stager’s goal to ensure that the money that you invest in your house is spent in the best areas for increasing the overall sell-ability of the house, creating a move-in ready home, and providing you, ultimately, with the greatest return.
If you have selected some new finishes that you feel will work well in your home, such as flooring, countertops, cabinets, light fixtures, etc, aim to have samples available at the time of your consultation for your home stager to review.
Rush
Quality takes time, and Rome wasn’t built in a day! We get that in real estate everything needs to happen yesterday, but taking the time to complete the recommendations made by your home stager BEFORE listing your home for sale will pay off in dividends in the end. Creating a finished product, ready for sale, will provide better results than rushing to market with the “lipstick on a pig” version.
If you are planning any renovations prior to selling, allow yourself sufficient time to create the proper plans and to execute. Also, keep in mind that it is not uncommon for renovations to fall behind schedule, due to unforeseen circumstances, so be sure to allow yourself a buffer of time between completion of the renovations and any staging that needs to take place before listing the house for sale.
Have questions about becoming a Home Stager, or just starting out and need an extra boost in your business? Join our Facebook group, To Be a Home Stager – our very own Shauna Lynn Simon is live online every Thursday afternoon, answering your most pressing questions!
At RESACON Las Vegas earlier this year, I was asked to assist by providing a microphone to audience members that wanted to ask our keynote speaker, the amazing Sabrina Soto, questions. This was great exercise for me in a room of over 400 people eager to ask Sabrina their most pressing questions! I ran from table to table, and logged a bunch of steps on my new Fitbit Blaze.
Sabrina Soto, Keynote Speaker at the RESA Convention 2017 in Las Vegas, M Resort
I LOVE to mix patterns and styles, and I do this both with my designs, and my own personal style. While many have often commented that I am fashionable, I would never say that I am trendy – instead I have a tendency to wear what I want, and am frequently told by others that they could never wear what I’m wearing. That’s fine – they don’t have to :). I buy items that are on sale because no one wants them, and mix and match to make something that suits me.
Shauna Lynn Simon, SLS Academy President, at RESA Convention Las Vegas, M Resort
So when Sabrina was asked what style/trend she saw on it’s way out (I believe the precise question was “what style/trend do you wish would just die?”), she answered without hesitation – “Chevron”. Of course, I’m standing next to the person who asked the question, and I couldn’t help but look down at my skirt. Those at the tables close to us immediately saw what I saw…my chevron skirt. They began to laugh…as did the tables around them, and the next thing that I knew, the entire audience was laughing! Poor Sabrina hid behind the podium, feeling perhaps a little as though she may have answered just a little too quickly. Little did she know that I was laughing along with everyone else, and it’s safe to say that most who attended her talk will remember me long after!
After her talk, I had a number of people approach me to apologize on behalf of the crowd, and tell me how bad they felt for me. To be honest, I was stunned! I had no idea what they meant, but soon realized that they were embarrassed for me for being called out on my choice of attire. I reassured them that I was no worse for wear , and that I had had a truly awesome day – Sabrina Soto gave me a memorable moment that I will cherish for years to come, along with my chevron skirt (which still gets lots of use). I met up with Sabrina, and thanked her for her candor, and we enjoyed a good laugh. I explained to her that it would take a lot more to hurt my feelings.
Shauna Lynn Simon and Sabrina Soto
The moral? Be yourself, and most importantly, don’t forget to laugh at yourself now and again…sometimes we can be our best entertainment!
Have questions about becoming a Home Stager, or just starting out and need an extra boost in your business? Join our Facebook group, To Be a Home Stager – our very own Shauna Lynn Simon is live online every Thursday afternoon, answering your most pressing questions!
How My Week Went “Kaboom” in a Matter of Hours, and I LOVED it!
Today I thought that I would tell you about my week (or at least my week so far, as it’s only Tuesday as I write this). Monday started like a typical day. In my morning meeting with my assistant we discussed our expectations of the week. The books were looking pretty light over the next few days (for home staging clients), with only a couple of bookings that day, and pretty much nothing the rest of the week. This is not surprising, since kids return to school in just a few weeks. This is something to keep in mind when you’re starting your home staging business – the real estate industry has peaks and valleys, and most regions are affected by these real estate “seasons”. In our home staging company, we always bump up our design availability for this time of year to help to compensate for the slower selling season and maintain a steady cash flow through to the fall market boom.
So here I am Tuesday (early) afternoon now, and reviewing our fully booked calendar, and wondering how we’re going to make it all work! In addition, there are likely still changes to be made before the week is done. So I have cancelled the plans that I had with a friend for Thursday night, and we’re all pulling up our boots and getting to work.
So what happened?
Well, one of my home stagers met with a client yesterday for a vacant home staging consultation. Though we don’t usually “hold” home staging dates until we have received proper confirmation (signed contract; down-payment; credit card authorization) from the client, we understood the urgency of this particular project, and their insistence that they would be moving forward with the home staging (even though they had no idea yet what it would cost), so we tentatively booked them in for Thursday when we booked their consultation appointment, with hope and a prayer that they would hold true to their word.
In the meantime, we received notice that another staged property had sold (yay) so we needed to arrange for destaging that now. Both projects require movers, and the destage is in a condo, which requires the scheduling of the elevator as well. While all of this is happening, my assistant speaks to a new agent that has heard wonderful things about our company (naturally), and needs a consultation, then staging for a client of his in one of the rural areas that we service.
So we think that we can prep the staging on wed, destage the condo on Thursday, finish the prep on Friday, and stage the large house on Monday (and Tuesday morning since it’s a large house). After a little arm-twisting, we secure the movers for this, but the condo management can’t get us the elevator until Tuesday. Ok, so prep the staging on Wednesday now, stage Thursday and Friday morning, and pack our destage on Monday for the movers to arrive on Tuesday morning at 8am, the only time we were able to secure the elevator for! While my other stager is managing the large vacant home staging on Thursday, I will meet with the new client so that he can get started with prepping his house for staging.
Now remember the part where I said that we bump up our design availability? I have 3 other appointments already booked for design clients this week, on top of everything you’re seeing here. Needless to say, we’re rolling with the punches!
The moral of this story is that this industry is unpredictable, and you need to be willing to have some flexibility, shuffle things on occasion, and make compromises to be successful. Yes, our policy states that we need 5 days notice for destaging, and 5 days notice for staging, but if we can work a miracle or two when we need to, it keeps everyone (including my accountant) very happy. The home staging industry is fast-paced and ever-changing – be up to the challenge and roll with it. I love that my day seldom goes as expected – it keeps life interesting!
Want to see more stories like this? Have questions about becoming a Home Stager, or just starting out and need an extra boost in your business? Join our Facebook group, To Be a Home Stager – our very own Shauna Lynn Simon is live online every Thursday afternoon, answering your most pressing questions!
Since home staging as a career has gained additional exposure over the last several years, there are now more options than ever for home staging training. With so many options available, it can be difficult to choose which one is the “best” one to take. The answer to this question will depend greatly on what your goals and expectations are. There are several factors to consider in selecting the course that is right for you:
–How long do you hope to work in this new career for?
§Will they be there for you through the various stages of your business? What sort of support will they provide?
§If you plan to be in and out of the business in a short time-frame, will they help you with the exit-strategy?
§If you plan to make this your career for the next couple of decades, will they keep you up-to-date and current as trends and techniques change and evolve?
–Are you interested in expanding your services beyond home staging (i.e. home organizing, colour consultations, redesign services, and more)?
oIf yes, you’ll want to review what additional training they will provide you to ensure that you are properly equipped to provide these to your clients. Many courses offer advanced options in the areas of design, through continuing education, and others incorporate it into the home stager training course.
–Do you have any experience running a business?
oIf not, what sort of training will they provide you for managing the business, including registration, day-to-day operations, outlining your services and pricing, marketing, expansion, and more?
oAre they teamed up with resources that will help you to build and grow your business? Any reputable home staging program will have affiliates that they work with to provide you with valuable information, supplies, and discounts.
–How much time will the course take?
oThe answer you’re looking for for this question might not be what you think! The longer that the course takes to complete, the more comprehensive it likely is. Whether it’s an in-class or online training program, you’ll want to identify the time commitment before registering, to ensure that you are ready to make the commitment that it needs.
–What does the course content cover?
oWhat value will you get for your investment into your training? Review the type of information that you will learn, from home staging techniques, to design theory, to creating your systems and processes, and running the day-to-day business.
oWill they offer you templates and cheat sheets for starting your business, or will you be creating these yourself from scratch?
–What direction do you wish to take the business?
oDo you plan to own your own home staging inventory, or rent it? Do they teach you the differences, and help you to decide which is best for you?
oIs there a particular niche that you hope to specialize in? If so, what training do they provide in that area?
oDo you hope to add staffing to your business, or keep it a solo operation? How will they help with whichever direction you choose?
oSome courses will charge you a membership fee in order to keep your designation title, whereas others will charge you a fee to maintain your access to your training material. Be sure to clearly understand these fees upfront before investing, and ensure that you are prepared to pay them over the coming years.
–Who will be your training instructor, and what is their experience with home staging?
oAre they currently operating a home staging business, or have they operated one in the past?
oIf they are not currently operating a home staging business, when was the last time that they worked hands-on with clients?
You’ll notice that price was not mentioned as a factor here, but in truth it should be mentioned. The reason that it was not outlined as a deciding factor is that most reputable training programs will be comparable in price, and therefore this shouldn’t be a deciding factor. If a program is listed significantly lower than the others that you have researched, the chances are that the training provided will be sub-par (you’ve heard the saying that “you get what you pay for”, right?).
At the end of the day, choose the one that best fits your needs and your expectations. If you have questions, don’t be afraid to reach out to them and contact them directly to ask your questions. Heading down any new career path is a big decision, and one that you want to make carefully and purposefully.
Want to learn more about what it means to be a home stager, what you need to know to get started, what startup costs you should expect, and how the certification process works? Check out our upcoming Behind-the-Scenes Home Staging Career Training – register here.
Have questions about becoming a Home Stager, or just starting out and need an extra boost in your business? Join our Facebook group, To Be a Home Stager – our very own Shauna Lynn Simon is live online every Thursday afternoon, answering your most pressing questions!
If you work in interior design, you have probably noticed that a number of industry professionals have added home staging to their list of services in the last few years. Home staging can be a great complimentary service to a creative-based service portfolio, but how do you know if it’s right for you? What some may love about home staging, others might see as a deal-breaker and a reason to stick with strictly design.
I have met a number of home stagers over the years that began in the field of design, only to realize that their true passion was for home staging. That said, don’t be misled – while these two industries share a number of similar traits, there are just as many fundamental differences:
Let’s do a comparison:
As a Designer:
You work with a client’s overall style to create your design plan, based on their specific likes and dislikes.
As a Home Stager:
You work with a home’s overall style to create your staging plan, based on the neighbourhood, house characteristics, and buyer demographics. Your aim is to appeal to the largest variety of buyers possible.
As a Designer:
Projects can take several months to complete.
As a Home Stager:
Most projects are completed in less than a month from consult to completion, and in some cases they can be completed in just one week! Be warned – this instant gratification can be addicting.
As a Designer:
More is better!
As a Home Stager:
Less is more!
As a Designer:
The elements used to create a room are often a large part of the central focus of that room, including all furnishings and statement pieces, as well as the accessories and artwork throughout.
As a Home Stager:
Ideally, in home staging, you want to eliminate anything that could be considered a distraction in order to place the focus on the appealing selling features of the house. For this reason, statement pieces are often avoided in favour of more neutral selections.
As a Designer:
The goal of a project is to provide an attractive and functional space.
As a Home Stager:
The goal is to sell the house – therefore you are merchandising the home in order to effectively market it. While function should play a role, some comfort of living is often sacrificed to create the best overall look and feel.
As a Designer:
Personal elements help to create a comfortable home for the owners.
As a Home Stager:
Personal items are removed in order to eliminate this potential distraction. Buyers want to envision themselves in the space, and an overly personalized space can make this challenging.
Where Home Staging and Design overlap:
Proper furniture placement is critical to a successful plan. In home staging, standard placement rules apply as they would in design – in fact, in home staging, you’re often outlining for buyers the ideal position of items throughout the space.
Room flow is especially important when selling a home. Just as it can affect the comfort of a room for living, improper flow can easily turn off buyers without them even realizing it! The flow of a space can affect buyers on a sub-conscious level, and prevent them from placing an offer on the property.
Current trends are applied to both design and home staging plans. In home staging, these trends should be applied in the decorating aspect, and avoided in more permanent elements and fixtures.
A well thought out and cohesive plan will always create a warm and inviting space.
While there are many stylists that will cross over both industries, and enjoy the challenges that each brings, there are others that prefer to work in their creative niche and comfort zone. The diversity of offering both services can help to keep your designs fresh and fluid! Home Staging is a great complimentary service for design professionals, putting their natural talent to work with a quick turn-around and outcome. Let’s face it – eventually, design clients will sell their house, and that allows designers to easily turn these same clients into home staging clients. Whatever you choose, if you are passionate about what you do, you’ll find your way.
Interested in learning more about home staging? Check out Talent vs Training to see what your certification program should provide, and why formal training is critical to success in the home staging world, regardless of a design background.
Have questions about becoming a Home Stager, or just starting out and need an extra boost in your business? Join our Facebook group, To Be a Home Stager – our very own Shauna Lynn Simon is live online every Thursday afternoon, answering your most pressing questions!
Now remember the part where I said that we bump up our design availability? I have 3 other appointments already booked for design clients this week, on top of everything you’re seeing here. Needless to say, we’re rolling with the punches!
