Discussion:Home staging part of selling expenses?

Can someone direct me to information about home selling expenses and deductibility? Specifically, if someone pays a separate fee for a consultant to come in and increase a home's marketability - ('staging'), is that considered a deductible selling expense? Taking any suggestions that a realtor might offer would be part of their job or commission, so I guess someone could argue that this isn't really much different, but I've been unable to find any definite authority speaking to this specific situation.

Hope that makes enough sense for everyone to follow. Thank you, Mark

If not, have the seller add the cost of staging to the realtor commission and have the agent pay the cost. There would be some risk on the part of the agent however that would classify the costs as commissions, clearly deductible as selling costs.

Staging is a very common practice today especially in the real estate markets we are currently experiencing. I would certainly add it to the selling costs and take my chances at audit.

If they weren't selling, they wouldn't engage a staging consultant. How can anyone argue against it?

But I know this doesn't answer your question.

The other choice would be to make it part of advertising costs. Isn't that what staging really is? Advertising?

I think we'll go with advertising. Personally, in buying/selling houses, we've been able to negotiate for lower commissions, but if someone is going to pay full price then staging should be a part of it.