San Jose Business Journal
From the December 5, 2003 print edition
Stagers furnish real estate business with quicker home sales
Michelle Hofmann
Paul and Ginger Conti have a knack for turning ugly-duckling homes into money-making swans. For more than 12 years, the husband-and-wife team has set the stage for real estate profits and fast sales by enhancing the look of the properties they market and sell through residential staging. From lighting, area rugs and Ralph Lauren curtains to floral displays, the San Jose duo has perfected the art of turning shabby into chic.
"We can offer something that most Realtors can't," says Mr. Conti, a Realtor with RE/MAX Valley Properties.
He lists the property, and she gives the home a temporary makeover with items from the Contis' inventory of home furnishings. The couple stage and sell more than 30 homes a year, up from 18 in 1991, and don't anticipate a drop in business.
Tory Koblick, owner of Menlo Park-based Interior Visions, says the competitive housing market has made staging a buzzword among Realtors, sellers and investors. As a result, her business has reportedly grown 30 percent in the past two years.
Like most residential staging firms, Interior Visions offers services ranging from style and color consultations and suggesting simple home improvements (limiting clutter and adding paint and carpet, for example) to dismantling and reconfiguring existing elements and adding accessories and furniture (lamps, entertainment centers, artwork, books and plants).
"When a home is beautifully marketed it has good curb appeal," says Ms. Koblick. "The bottom line to selling a house besides location is space. We are selling square footage."
Good stagers, she says, consider the style of the home and ensure that the staging is done in moderate taste to appeal to wide range of people and cultures.
Hot market or cool, agents like Cynthia Haines, broker-owner of Creekside Realty in Mountain View, say staging has its place.
"As prices continue to go up, staging becomes even more important, because you are continually trying to keep those buyers feeling good about spending more and more money," she says.
One Santa Clara property sat on the market for three months with no offers. Ms. Haines took the listing, staged the home and put it back on the market at the same price. "It sold within two days," she says.
Don Holmes, a Morgan Hill resident, says professional staging invites people to consider the possibilities.
"It has a much more positive impact when selling a property if you can present people with some addition to their vision instead of having to rely completely on their imagination," says Mr. Holmes, who listed his three-bedroom investment property and staged it with Mr. Conti. It sold in seven days.
A warm fuzzy is nice, but Willy Sagun says he believes the interior makeover on his home boosted the sale price by $10,000 to $15,000.
Mr. Sagun's three-bedroom starter in Morgan Hill sold within six days, but Mr. Conti says most of his listings have an 18-day turnaround time and can earn 1 percent to 5 percent more than their unstaged counterparts.
Wendy Dilda, vice president of Dallas-based Interior Arrangement and Design Association (IADA), which trains real estate enhancers nationwide, says while most homes take about 30 days to sell, staged homes average about 13 days on the market and sell for approximately 6 percent over list price. In most case, stagers don't remove the furnishings until the sale closes.
Commercial buildings are also forums for reinvented space.
Mike Piha, president of Mountain View-based office furniture dealer In2Change Inc., says 25 percent of his 2003 office furniture sale have been driven by the demand for "market-ready space," spawned by the valley's staggering commercial vacancy rate.
"We have done a lot of buildings in the Silicon Valley where we have staged them with new or pre-owned furniture. People want to look at a space that is ready to go. So if it's not market ready, companies are a real disadvantage when trying to lease that space," he says.
While developers, agents and homeowners often pay for staging, Realtors like Mr. Conti offer the service at no additional charge to clients. According to the IADA, staging fees range from $100 to $125 hour for a basic consultation, and up to $1,200 to restyle a client's existing belongings. Ms. Koblick's fees range from $350 for a consultation to $2,500 for a complete redesign -- depending on the number of rooms -- with monthly furnishing rentals ranging from $500 to $1,800.
Mr. Conti, says, however: "I've seen people charge a seller $2,000 for putting a bed in the bedroom, a table in the living room and a few plants around."
Febuary 27, 2001
SELLING A HOME? STAGE IT LIKE A SET DESIGNER STAGES A MOVIE SCENE, Or Nordstroms SELLS CLOTHS, ADVISE HUSBAND & WIFE REAL ESTATE TEAM
by Gene Beley, Country Newspaper
If you're going to sell your house, you're likely to sell it
faster and even get more money for it if you use some old Hollywood
knowledge that department stores have also long utilized. It's called
staging. Unfortunately, most realtors are still just advising clients
to change the carpeting and other traditional makeover ploys. But two
new realtors to Morgan Hill are taking it to a new level and working as a
team. As their ad in Country News states, "Ginger stages the home and
Paul sell the home." Moreover, Ginger performs this service for
free. The only catch is that they hire her husband for their realtor!
Just talking to Paul and Ginger Conti, the husband and wife team,
turned into this human interest story that should help a lot of our
readers and even other local realtors jump on this new wave of real
estate marketing. The Contis have staged more than 182 houses the last
four years and averaged 18-day turnaround sales time. Some of those
were houses other agents couldn't sell in 18 months to two years!
One couple, getting ready to sell their home, told the Contis
they wanted to spend $30,000 to remodel their kitchen. Ginger told her
to save the money and "let me have at it with all my furnishings and
accessories."
"The kitchen then didn't look old and drab," said Paul Conti.
"I used Ralph Lauren fabrics to add a richness to the kitchen on
top of the old yellow tile," Ginger began. "You would've had to been
there to understand the impact."
Model home developers have long known the value of staging.
"Most people are visual," Ginger adds. "People have to see it;
they can't imagine it. Moreover, with peoples' lifestyles being as busy
as they are these days, people want to see homes that are ready to move
into NOW. They don't want fixer uppers."
But almost anyone can image one client they had who loved her
deep rose carpet and refused to change it, because she loved that color.
"I went in and used area rugs over the existing deep rose
carpet," Ginger said, explaining how she handled that difficult situation.
She said the in color now is blue.
"People want to slow down their lives and the hustle, bustle and
like ocean colors. We also add classical and easy listening
music. Frank Sinatra is big and Bach classical music, or jazz and swing
that appeal to all ages now."
"We get some people who think their house is perfect," Ginger
continued. "They don't understand when you put your home on the market,
you have to prepare it for the buyers' eyes, not their eyes. We're
looking to buy a home now in Morgan Hill and will be staging our own home
when we sell it, even though we have been constantly redecorating it."
Lighting is another important factor.
"A little night light in the bathroom and mood lighting
throughout the house goes a long ways towards selling the house," Paul said.
They chuckled when they recalled how one client called to
complain that their electric bill went up $7 the first month that the
staging was implemented.
"I told her she could turn those lights off at night," Paul said.
Another insider's staging trick they have long used is to feature
Shirley Temple framed photos in the houses they that stage. That's kind
of their trademark, they both said.
"One agent said she had been to 30 houses and couldn't possibly
remember any single house, until I mentioned our house had a Shirley
Temple picture on top of the Grand Piano."
"Oh, yes, I do remember that house!" the realtor admitted.
Paul began in the automotive industry, working in a body shop,
eventually managing a body shop. Ginger long talked about entering the
real estate field. By the time child number four was due, Paul decided
he would take the initiative to go that route. He got his real estate
license in 1977, quit his body shop job, and went full time in real
estate. Twenty years later, Ginger joined him by helping him with open
houses.
"I had worked in interior design and taken courses in that
subject," she said. "Much of it, though, was self taught, just observing
places like Nordstrom and how displays sell products."
At one open house, Ginger told Paul, "You know, I think I can do
something with this place. She did, and afterwards, other realtors
called to say, 'We can't believe what you did for that house!'"
After they hit on this team effort, they began getting listings
through referrals from their clients passing on the word about their good
teamwork.
"One homeowner called one night and said, 'When I came home, I
thought I was drunk, because when I left for work, the house was empty
and bare. When I came home tonight, with the way you accessorized it and
put all your furniture in here, with the Frank Sinatra music playing, I
swore I was in the wrong house!'"
Contis said they maintain more than $60,000 in inventory of
accessories and furniture for their staging side of their business. Most
of it is in houses currently being sold, or in their own home.
What do they recall about their most challenging assignments?
"One house was called the black and white house," Ginger
began. "The kitchen was the Disco Kitchen. The man refused to change it
so I had to work with what I had. I took out his black and white striped
curtains that accentuated the black and white cabinets that looked like
he had hand sawed them. His floor looked like checkerboards. "
The man had gotten married, moved out and the house had sat
vacant six months before Ginger and Paul got the assignment.
"I hung neutral beige curtains," Ginger continued, brought in
fresh plants, colorful place mats for the counters, colorful plates, and
books like you'd see in a model home. I used neutral beige rugs over the
black and white floor. I lit the house with accent lighting and
completely rearranged the look of it to divert people's attention from
what was really going on!"
"There was no eating area in the kitchen, so I set up an eating
area in the corner of the living room. That dining room table helped
sell the house, because it showed there was some place to eat. "
One thing they always do is make sure escrow closes lock-tight on
the home before they remove their staging materials, because they have
had calls from realtors, asking them, after they do remove everything,
"What happened to that house?"
Another challenging assignment that ranks right up there with the
Disco Kitchen house is a home they staged for a bachelor in Cuperinto who
traded with natives worldwide from Africa to Ethiopia. He had artifacts
hanging on every wall of the house, floor-to-ceiling.
But fortunately, he was more cooperative than Disco Kitchen Guy.
"By the time I told him what to remove from the house, I was left
with a futon and a braided rug," Ginger laughed. "I then brought in all
the staging and furniture needed. We sold his house in two days and got
at least $15,000 more than what he wanted!"
Now that the Contis have been house hunting in Morgan Hill, they
see houses as other buyers see them.
"We are amazed at how poorly presented they are," groaned
Paul. "They just aren't set up very well to sell. The poor realtor is
going to take the heat for the house not selling quickly, but it's really
the owner not staging the house for the market."
Now that the market has slowed down somewhat, they realize the
need for their services is even more critical.
"But even when the market was white-hot," Paul pointed out, "we
staged our listings. By doing that, people got not only a quick offer,
but more money for their home.
Ginger is now writing a book called Decorate to Sell and welcomes your
quesitons about decorating. You can e-mail her at Ginger@HomeStagers.com
or call her at 408-691-7700.
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