Let’s face it, business is business. And we’re all looking to get our fair share. But when it comes to real estate, we may not be getting it. I’m not sure if this is due to people’s lack of imagination or if it’s because some people just aren’t visual thinkers. But it seems pretty common that if a space isn’t perfect as is, it gets a thumbs down.
Whether it’s commercial or residential, I love architecture. And I love to see people enjoy what the architecture in their properties can give to them. But even if I put my architectural euphoria aside and focus on the business aspect of real estate, rather than its aesthetics, the as-is-is-no-good mentality still puzzles me.
Follow the Money
I recently tracked three condos that were on the market in the same complex. One listed for $349,900 and attracted an offer in less than a week. A second one listed for $339,000, hung around for a couple of weeks, and sold for $337,000.
The third one is still on the market. After starting at $337,000, it recently took another price reduction. It’s now down to $314,000 and is still sitting. All three units had relatively the same square footage. And the one that’s still sitting even has a finished basement.
Why is the third one still sitting? Presentation (or the lack thereof).
Foresight, not Hindsight
This first condo was clean. Detailed in every way, it left little to the imagination. Boom! Sold. The second one had been empty. It took a little time and sold for $2,000 below the asking price. The third one … well … it wasn’t staged. It wasn’t clean. Little thought or effort was put into its presentation. So, the seller will take a loss, and the realtor will earn less commission. Call me biased. Call me self-serving. But that makes no (dollars and) sense.
Instead of spending $500 to $2,000 on styling advice and staging costs, someone will take a bath to the tune of $23,000 and counting. That never has to happen.
Real estate is an investment. A properly staged piece of real estate is an asset. Both can be maximized with a little time, a little care, a few dollars (you’ll more than get back on the sale), and a little style.
Happy seller. Happy realtor. Happy buyer. That’s the ideal trifecta.