There is much debate in the real estate industry about best practices and
effective selling strategies, including the pros and cons of open houses. While they are great for exposure, there is a lot of effort required by both the real estate agent and the homeowner when preparing for and hosting an open house. Before rushing into hosting an open house, be sure to consider the advantages, disadvantages, and other factors that go into hosting an open house.
While open houses are fairly common for those with their home on the market, the application of the internet when home searching, in addition to the increased awareness about social distancing, some may say in-person showings do not hold the same weight as they once did. On the other hand,
actual browsing may be the preferable method for some buyers. The internet may be the fastest way to find a home, but nothing overcomes walking through a house and seeing it first-hand. Besides, most people don’t make appointments until they are ready to buy a home. They attend just for the sake of attending an open house.
Hosting an open house is a surefire, low-pressure way to
increase visibility and attract potential buyers. Many of the people who attend open houses are first-time home buyers who have no idea where to start the process. Hosting an open house will cause your home listing to stand out to this group and will prompt them to ask the right questions.
Additionally, another pro of hosting an open house is that this event is open to all. Open houses accommodate more than just prospective buyers. According to
realtyhomes.com, Brokers who might want to team up on the
sale and offer advice on ways to assist a home sell faster, also come. It is also important to remember there are three people you sell a house to:
the broker, the buyer, and finally the bank.
While the open, inviting nature of open houses may be viewed as a positive thing, it can certainly present some risks. Unfortunately, property theft, vandalism, and
other security concerns are a reality when you open up your home to strangers for an open house. Using security cameras and removing any valuables from the home are useful steps to take to ensure this does not occur, as well as making sure everyone who walks through the door has been prequalified to purchase the home.
See our blog for more on securing prequalification.
Another factor to consider when determining if you should have an open house is that just because people will attend, does not necessarily mean this will convert to potential offers. While there may be some serious individuals, others may just be
nosy neighbors looking to compare nearby neighborhood properties or just
looky-loo who are not on the market for a new home but just attending for the sake of curiosity.
