Introduction
Covid dramatically transformed the operations of hundreds of industries, altering workflows, work locations, and the tools required for various jobs. Home staging is among the many trades that have fundamentally evolved due to the necessary adaptations prompted by the pandemic.
During the height of Covid and for years following, traditional home staging was turned on its head. The presence of movers frequently entering and exiting a property, handling items multiple times and interacting with each other directly contradicted the advice given to minimize the spread of infections. Due to this, home stagers had to get creative. Many entrepreneurs jumped into the opportunity to offer virtual home staging. The software for this was improving rapidly, which meant that the images produced were becoming virtually indistinguishable from photos of traditionally staged homes.
If a home staging company did not offer virtual staging, they risked becoming obsolete as many realtors transitioned to exclusively using virtual staging. In the years that followed, many shoddy virtual staging companies popped up to jump on the bandwagon, but have since fallen off. Traditional home staging has also been able to somewhat recover in recent years, although it remains forever changed. Read on to learn about how home staging continues to evolve.
Traditional Home Staging
Current Trends
The home staging industry is really changing these days, mixing traditional techniques with some cool new tech. Homeowners and realtors are realizing just how important a great presentation can be, so now we're seeing services that use augmented reality (AR) and virtual reality (VR) to show off properties in super immersive ways. This high-tech approach not only makes the buyer's experience better but also means you can have remote consultations and staging, which opens up the market even more.
Plus, sustainability is becoming a big deal, with many stagers choosing eco-friendly materials and furnishings. As consumer preferences shift, the staging process is also moving towards creating personalized environments that really connect with specific audiences, showcasing styles that highlight a home’s potential while building emotional connections. Overall, the home staging industry is adapting and evolving, blending creativity with advanced tech to meet the needs of a post-pandemic world.
Challenges and Opportunities
Traditional home staging companies face ongoing challenges in fully embracing the high-tech tools and opportunities that can enhance the staging experience for home sellers. This reluctance may stem from an aversion to adapting to the evolving needs of both sellers and realtors, as well as difficulties in integrating traditional and virtual staging methods.
However, there are significant opportunities for home staging companies to establish a virtual staging "division" to cater to clients who value the flexibility and cost-efficiency that virtual staging offers. Realtors tend to be exceptionally loyal to their vendors and appreciate a "one-stop shop." By addressing the diverse and changing staging needs of their existing clientele, traditional home staging companies can undoubtedly foster business growth.
Virtual Staging
Evolution and Growth
Virtual staging is increasingly establishing itself as a distinct industry within the real estate marketing sector. Like many high-tech fields, it has seen a rise in "fly-by-night" startups eager to make a quick profit without contributing to the growth and sustainability of this new marketing domain. Fortunately, most of these companies have since dissolved, leaving behind around ten major players who have been in the game for years. While the quality and consistency of their services may vary, these established firms generally offer a reliable product at a fair price with a quick turnaround.
Market Trends
In the virtual staging industry, I envision several distinct directions for its future:
1.) Virtual Staging for 3d Tours
Matterport tours have become increasingly significant in real estate, with nearly 30% of listings now incorporating them. These virtual tours can be staged digitally, providing a unique advantage for vacant properties. By virtually staging a Matterport tour, potential buyers can explore a listing using an Oculus headset, experiencing how the space looks when fully furnished. This innovative approach beautifully blends traditional staging with cutting-edge virtual technology.
This subsection of virtual staging does just what it sounds like: It virtually "renovates" part of all of an existing home; or virtually "finishes" new construction listings in order to get them listed for presale. It's a really cool way to help potential buyers see what's possible, since we all know how hard it is to "just imagine" how great a place might look with fresh paint, updated flooring or an updated kitchen. Once a space is virtually renovated, it can then be virtually staged.
The Role of AI in Virtual Staging
AI-Powered Tools
In the past year, numerous AI virtual staging apps have emerged in the virtual staging landscape. While some adopt a "jump on the bandwagon" mentality reminiscent of trends during Covid, others appear to be legitimate AI-driven companies offering quality products at affordable prices. However, there are several significant drawbacks to AI staging.
- Currently, there’s no option to stage alternate views of the same space.
- Users cannot selectively add or remove specific items.
- The level of customization and revision often desired by realtors and sellers is lacking.
- Frequently, the final rendered images do not achieve the photorealism found in those produced by higher-end virtual staging firms.
This sector will be intriguing to watch in the coming years. For now, if a realtor simply needs a quick, inexpensive "anything-goes" furnished room for their listing, these solutions may suffice. However, they often do not align with what most realtors we have collaborated with prefer to showcase in their listings.
Summary of Home Staging Industry Trends
The home staging industry is currently experiencing a significant shift due to advancements in technology, particularly with the rise of virtual staging and renovations. Virtual staging allows realtors to showcase potential spaces without the physical constraints of traditional staging, making properties more appealing to buyers. Meanwhile, AI staging tools are emerging, although they often lack the customization and photorealism that high-end traditional staging firms provide. 3D tours have also gained popularity, offering immersive experiences that help potential buyers visualise homes without needing to visit in person. Despite these innovations, traditional home staging remains relevant, as many sellers still prefer the tangible touch and meticulous attention to detail that it offers, illustrating a complementary dynamic between the old and the new in the home staging market.