In a buyer's market, a home sitting on the market too long can work as a disadvantage to the seller. The longer a house sits on the market, the less money you will get. If a buyer knows that multiple open houses have been held and the house is still on the market, they will wonder what is wrong with this house and will pass on viewing it or offer a lot less on it.
Should I Hold A Broker Only Open House?
One option is for the listing agent is to hold a broker only preview just for Real Estate Agents. This is a more intimate opportunity to acquaint them with the house’s special features, upgrades to kitchen and baths, outdoor living spaces, etc. This is an effective method for getting other realtors to bring buyers to the property without overexposing it to the marketplace.
Do Open Houses Work?
People attend open houses for a variety of reasons: some are curiosity seekers; some are neighbors who might want to see a house if it hasn't been on the market in years; and some come in search of decorating ideas or to check out prices in the neighborhood. Most people who attend an open house aren't really buyers.
Do Open Houses Sell Homes?
Some sellers feel that public open houses are a waste of time for everyone except perhaps the agent who might pick up a client. However, in an area where listings are in high demand, public open houses can be an effective way to drum up buyer interest.
Unique Property Can Sell From An Open House
When there are not enough homes for sale to satisfy the need, buyers gravitate to the limited supply that is available. An active open house can create a sense of urgency. This is particularly the case when a listing is new on the market in a highly sought-after neighborhood.
A few years ago during the hot seller's market, public open houses were a useful marketing tool. Most properties would be in escrow by the end of the first day. Sometimes, listing agents held off letting any buyers preview the home until the first public open house, thereby forcing buyers to attend the grand opening en masse.
In most markets around the country, those days are over. Some markets that didn't heat up a couple of years ago are doing well now, like Raleigh, Austin, The Woodlands, Scottsdale and Salt Lake City. In general, the market has softened in most markets that were previously hot.
Do Open Houses Work In A Buyers Market?
Sometimes even in a soft market, some buyers find the house they will buy at an open house. However, a sale is much less likely to occur this way. In a soft market, buyers are more reluctant, as there is less impulse buying than there is when prices are increasing.
In a slow market, there are often fewer buyers and it takes longer for listings to sell. Buyers usually have more to choose from. A listing that's held open often in a market like this can send the wrong message. It can telegraph a sense of desperation. Or, it may indicate that the price is too high, or that there is something wrong with the property.
Should I Hold My House Open Every Weekend Until It Sells?
The strategic use of open houses is recommended in a buyer's market. You might have your home open when it's new on the market, and periodically during the marketing period so that the prospective buyers and their agents are aware that you are still actively searching for a buyer. But, it's generally not a good idea to have your home open every weekend. You might overexpose it to the market.
Do I really Need To Do An Open House?
It is not absolutely necessary to have an open house to sell your home. The Internet has made it possible for buyers to preview listings without even getting into their car. A good Internet presence for your listing on well-attended property listing Web sites, which includes quality photos of the property, is critical. Eighty percent of today's home buyers use the Internet to find a home. When buyers see a listing they like, they request a showing.
Another aspect of public open houses to consider: If there are a lot of listings on the market, an open house can give buyers an easy opportunity to run through the house and cross it off their list.
The most productive showings are the ones where the buyers are accompanied by their agent who can help them work through any objections they might have to the property.
Additional tips to sell your home in any market.
