Open Houses - Why?

Open Houses are extremely important.

Although the real estate community is split on whether it’s a good idea to hold an Open House; although, I simply do not understand the negative thoughts.

It does not make sense to blatanty announce that no Open House will take place, yet some agents say it. Why would a Realtor want to restrict market exposure for that listing?

Common sense says it’s smart to expose the home to the largest number of buyers, and getting buyers inside to preview a home is a huge hurdle to jump.
It’s like keeping the house for sale a secret and saying, “Sshh, let’s not tell anybody about this house or invite them over to see it because it just might sell!”

Some people are wary about letting neighbours into the homes for privacy reasons.
But you have to remember that, it is your neighbours who will tell their friends who have mentioned that they would like to move into your street or community. That internal networking helps to sell your home.

There are instances where I advise people not to hold Open Houses:
If your home is in an area with alot of traffic, then an Open House may improve the chances of potential buyers driving by and taking advance of the Open House. Someone who wants to move in immediately into the area and has not been searching Realtor.ca may make an offer on the house.

If your home has a high “wow” factor, then an Open House may make sense. When a home is dramatic or has special features, an open house may be able to change a casual visitor into a potential buyer with a serious offer.

If your listing price is high compared with the average home values in your community, we should maybe avoid having an open house. It could generated gawkers and security might be an important issue for you.

Some buyers just don’t want to make a personal appointment with an agent to visit a home that interests them, just as some folks don’t like sales clerks hovering in the background when they shop for clothes. Open houses give these people a chance to browse without too much pressure.

The National Association of Realtors’ (NAR) Profile of Home Buyers and Sellers says that nine out of 10 buyers search on the Internet. I don’t agree.

While it’s easy to spend an afternoon blasting through slide show after slide show of homes for sale, photos alone don’t sell homes. They can’t convey how a home smells, sounds or feels — and, as anyone who has seen a room shot through a wide-angle lens knows, they can deceive.

The NAR’s survey shows old-fashioned open houses have remained consistently useful to consumers. Since 2001, the number of buyers who said they found a house they eventually bought through an open house or yard sign was constant at about 15%. Nor have economic ups and downs made much of an impact on how people regard them. In 2006, 47% of buyers said they used open houses as an information source in their home search; in 2008, the number was 48%.

From my personal experience: One in five homes, sell through an Open House.