Virtual Staging: Exploring the Pros and Cons
Experience the beauty of real-life staging (as seen above), designed by the team at Everything Creative Designs.
In the ever-evolving world of real estate, the adoption of innovative technologies is a necessity. One such technology, virtual staging, has become a popular trend, offering both opportunities and challenges for sellers and real estate professionals.
Virtual staging is a process that digitally furnishes vacant or under-furnished properties for listing photos and online marketing. It has garnered attention for its cost-effectiveness and versatility. However, as we delve into the pros and cons, it becomes clear that there are aspects of virtual staging that can be both beneficial and detrimental to the real estate market
Pros of Virtual Staging
Cost-Effective Solution: Virtual staging provides a more cost-effective alternative to traditional staging. Conventional staging can be a significant investment, involving the rental or purchase of furniture, decor, and professional stagers. Virtual staging eliminates the need for physical furniture and labor, making it an attractive option for sellers looking to enhance their listings without breaking the bank.
Versatility: Virtual staging is highly versatile and can be tailored to fit a wide range of property types, from small apartments to spacious homes. Design elements can be customized to match the property's style, making it adaptable to diverse market demands.
Remote Viewing Enhancement: In today's digital age, many potential buyers begin their property search online. Virtual staging significantly improves the online presentation of properties, making them more appealing and attractive to a broader audience.
In the dynamic world of real estate, virtual staging has emerged as an interesting tool for showcasing properties. However, virtual staging has its limitations. As with any innovation, it carries its own set of challenges and drawbacks. It's essential to carefully weigh these cons against the pros to determine whether virtual staging aligns with your specific needs and priorities.
Cons of Virtual Staging
Lack of Tangibility: Perhaps the most significant drawback of virtual staging is the lack of tangibility. When buyers visit a property in person, they may be disappointed to find that the furnished and staged spaces they saw online are not present in reality. This discrepancy can lead to dissatisfaction and a sense of misrepresentation.
Deception Concerns: Critics argue that virtual staging can be deceptive, as it presents a property in a way that may not accurately reflect its true condition. As mentioned on Realtor Magazine, this can result in trust issues between buyers and sellers, potentially leading to disputes and negative outcomes.
Limited Impact on In-Person Showings: While virtual staging enhances the online presentation of properties, it has no impact on in-person showings. Buyers who physically visit the property can be disappointed by the disparity between the virtual images and the actual, vacant space. This disconnect can hinder the buyer's ability to visualize the property's potential.
Potential Over-Staging: A property that appears too perfect or artificial, can deter potential buyers who prefer a blank canvas to envision their own decor. Striking the right balance between enhancement and authenticity is a challenge in virtual staging.
Ethical Considerations: Misleading virtual staging that misrepresents a property's condition can lead to ethical and even legal issues, jeopardizing sales and damaging trust in the industry.
Traditional Staging Triumphs: Numbers Don't Lie
Research and statistics also highlight the efficacy of traditional staging.
The NAR 2023 Profile of Home Staging reveals that 40% of homebuyers were more willing to visit a staged home they saw online. Additionally, a 2021 market survey by the Real Estate Staging Association® found that professionally staged homes sold for an average of $40,000 over the list price and the 2021 State of the Industry Benchmarking Report by the Real Estate Staging Association, mentioned on Architectural Digest reported that 85% of staged homes sold for 5% to 23% over the listing price.
Also, let’s remember the case mentioned on NAR Realtor Magazine, when a two-bedroom condominium in Brooklyn quickly received four offers at an open house after it was staged, leading to a bidding war and selling for 25% more than the listing price.
A Complementary Tool, Not a Replacement for Traditional Staging
Virtual staging is a valuable resource when selling an empty, cluttered, or outdated property, as it can put the listing's best foot forward, attract more online viewers, and expedite sales. Nonetheless, it's essential to recognize its limitations, particularly in comparison to the effectiveness of in-person showings.
Real estate experts also weigh in on the limitations of virtual staging. As observed on Architectural Digest, Leonard Steinberg, a top real estate agent at Compass, draws a humorous analogy by comparing virtual staging to online dating. He likens it to an online profile picture that's been heavily photoshopped, and you know what? He's absolutely right! Imagine this: you're buzzing with excitement about a profile picture that resembles a mythical unicorn, but when the in-person meet-up finally happens, you're more likely to encounter a donkey sporting a party hat.
ECD firmly believes that virtual staging can be a valuable tool for enhancing online property presentations. However, it should be used with transparency and honesty to maintain trust in the industry and should never be meant to replace traditional home staging. A virtual manipulated image will never overcome the value and impact of in-person walk-throughs in gaining a better understanding of the size, space, lighting and potential of the property.
Discover the ECD Difference
For over 18 years, ECD has been San Diego's premier luxury staging company, helping agents increase property values by over $5.2 million in 2022. As Southern California's superior luxury home staging firm, we're known for transforming homes and elevating their selling prices. Schedule an in-person consultation today to experience the ECD difference for yourself.