The term “open house” often brings mixed reactions from home sellers. Some believe the idea of hosting an open house is a waste of time because it will, “only attract the neighbors,” while others realize the sales potential that comes from additional advertising and foot traffic. For experienced realtors, hosting an open house is only one piece of the marketing puzzle that goes into finding the right buyer. The more people who see the house’s features, either in-person or online, the more likely it is to attract the attention of a qualified buyer.
Exposure is the key to bringing attention to a home that’s for sale. It needs to be seen by other realtors, potential buyers and people who may know someone in the market to move. A licensed, knowledgeable realtor has numerous tools at their disposal to put a home’s information in front of the right people. Some of these tools include entering the home in the proper online databases, reaching out to pre-qualified buyers who have an interest in that area, taking high-quality photos and videos and hosting an open house. The latter is advertised in multiple ways, such as online, in print, via email, signage, etc. Remember, the goal is to give as many buyers as possible the opportunity to see the house.
Many homeowners find that open houses are an excellent way to receive feedback in a short period of time. For example, if many visitors to an open house make comments about the state of the carpet, it would be a good sign that a carpet allowance may be worth including a sale. Open houses can also benefit a homeowner’s schedule because it can cut down on the number of private showings, which require the home to look ready at a moment’s notice. This is especially helpful for families with small children.
One of the most common complaints homeowners share about hosting an open house is that the only people who visit are neighbors. It’s normal for neighbors to be curious about a nearby house for sale, but it’s also common for neighbors to have a friend, relative or co-worker looking to move. Allowing neighbors to see the property gives them the opportunity to share the details with people they know, and wouldn’t mind being neighbors with. Word of mouth is a valuable marketing tool.
Although open houses are a great way to bring attention to a house, they can have a few drawbacks. For example, the time spent cleaning, organizing and preparing both the inside and outside for visitors can be time-consuming. It takes a while to clean up the yard, remove personal items, clean and make the house as appealing as possible. Of course, these things should also be done before a private showing and when the realtor takes pictures. Another downside is that not all potential visitors may be qualified to purchase the home. A realtor tries to attract qualified buyers as much as possible; however, during an open house, anyone can visit.
Finally, it’s important for anyone selling their home to feel confident in their realtor’s abilities and trust their judgment. An experienced, licensed, realtor knows how to conduct an open house safely and with the homeowner’s best interests in mind. With this understanding, it’s advised that homeowners not be present during an open house because it can create an awkward situation for anyone who provides honest, potentially critical feedback. Visitors should feel they can express their opinion on the home without being overheard by the home’s owners.
Open houses have been a part of real estate transactions for more than 120 years, and while the chances of an open house bringing the final buyer to the property are low, the chances that it brings attention to someone who knows the final buyer are great. The current real estate market is significantly different than it was a year ago and finding a home or a qualified buyer is difficult. Hosting an open house allows realtors to market properties to their fullest potential.