The professional integrity and standard business practices of those working within the real estate business, (e.g. agents, lawyers, mortgage broker, banks, title searchers) are understood to be ethical, honest and fair.
The title may sound like an oxymoron however, in truth, it is becoming more and more of an issue in the daily lives of stagers across Canada & the United States.
Ethics in the Real Estate Industry
The professional integrity and standard business practices of those working within the real estate business, (e.g. agents, lawyers, mortgage broker, banks, title searchers) are understood to be ethical, honest and fair.
Really Serious!
Real estate professionals are bound by a strict code of ethics. Requiring compliance with the law, government legislation, professional knowledge requirements and competence. Failure to adhere, observe and comply with the code may bring about disciplinary action or even render them not fit to hold a license.
Protecting clients
Regulation protects consumers against fraud, misrepresentation and unethical practices in connection with real estate transactions. Real Estate agents must minimize any conflict of interest situations, disclose any pecuniary or beneficial interests in relation to the property, avoid any practice which may bring discredit to their agency or trade. While exercising care and due diligence, they must adhere to the principles of fair trade, not injure directly or indirectly the reputation of, nor publicly disparage the business practice of others. All while striving to provide services and opinions based on knowledge, training, qualifications and experience in the real estate business.
Here is the Quandry:
Staging is non-regulated industry so none of that applies to stagers! Every day, real estate staging professionals struggle to maintain professional boundaries with real estate agents & their clients while delivering quality service and exceptional results. Stagers work performance is frequently compromised by requests or actions of well-meaning real estate agents or a non-educated seller.
Caveat Emptor
Real estate agents and sellers need to know when hiring a stager, there is no universal code of ethics, there are no standards for pricing, payment, policies, contracts or even insurance requirements! There are four (!) Staging associations. Some work to foster professionalism among members, provide advocacy and do have a Code of Ethics but membership is not required to operate a staging business. Stagers choose to belong & membership only requires payment of a fee. There are no minimum standards like education, licensing, certification or insurance, hence the challenges.
ETHICAL DILEMMA’S
- Shockingly many stagers do not have rudimentary best practices for their business; they don’t know what they don’t know, they aim to please and in doing so compromise business standards for stagers as a whole.
- Cheap pricing usually means sacrificing service or quality resulting in compromised satisfaction levels. The same is true in Real Estate.
Low price: is not the way to select a surgeon, a mechanic, a home inspector, an electrician, a restaurant, clothing or even detergent. Increasing pressure from agents for stagers to keep fees low; which brings disappointment because if the work is less than great, it could be on the market longer and possibly sell for less than the property could have. - The buying and returning of furniture & furnishings after using for a staging! This is highly unethical and banned by the real estate staging association; it is regrettably a common practice with stagers who struggle to keep pricing low. It is reported, most often during occupied consultations, that some agents encourage their clients to do this or even do it themselves. They are not seeing it as theft.
- Stagers report that some stagers plagiarized the work of others, displaying it on social media and websites -or have even used stock photography!
- Stagers say agents have asked for a referral fee.
- Stagers have been asked to ‘cover up’ defects in a house. (realtors have asked for carpets to be put over stains on the flooring)
- Some agents delay payment, won’t pay the stager or refuse to honor the standard practice of payment upfront (IMO the seller should be paying)
- Stagers are being asked to only do a partial consultation or even a partial staging. I am sure the request comes from a place of conservation of feelings or cost however what is at stake? Importantly what is at risk? The National Association of REALTORS® report 90% of homebuyers CAN NOT visualize beyond what they see. If what they see, isn’t what they want- they will move on.
The Dilemma for a Stager
“ I am being asked by a professional working in a regulated industry to do something I know to be unprofessional and likely unethical- should I do it?” When they don’t know what to do, they cave & industry standards are compromised.
Self- Regulation
Stagers must hold themselves accountable for a higher level of practice and service than requested/expected. CSP International™ has always operated from a platform of quality education, impeccable standards and leading-edge results. We teach stagers to hold themselves accountable for a higher level of practice and service.
Staging is a Serious Responsibility!
Stagers are charged with the responsibility of securing the equity in a property! CSP® graduates are taught “a systematic and coordinated methodology using skills, knowledge, and abilities of real estate, property renovations, creative design principles all married to a plan to secure a buyer” ©
When Your Reputation Counts!
Choosing a CSP® graduate as your staging partner will strengthen and support your professional reputation, lower days on market, provide outstanding photos, impactful open houses, providing the best opportunity to secure a buyer! Bringing you and your client closer to SOLD. Isn’t that what you want?
