An open house is a place of dwelling that is scheduled to be open for viewing and secure the interest of potential buyers. It implies that the property or house is open for sale, and potential buyers can take a walk around and see it. In some cities, homes that hold an open house have a higher potential to sell at a higher price and spend less time waiting for a lead. According to an analysis by Redfin, homes holding an open house sell for $9,046 more on average and spend less time on the market in comparison to those that do not hold one. It is an efficient way to grab attention and get more views on your home. This profoundly influences your ultimate sale price.
Most clients who visit an open house know that it is the best way to see multiple properties on the same day, find competitive properties and close in on the best pick. These events also pull a lot of traffic and are more comparable. This is the major reason why listings that have an open house sell for a lot more than others.
Should You Hold an Open House?
There is a severe shortage in the number of homes available all across the nation. Builders, too, are not setting up enough homes to meet the demand, and this has made open houses quite popular. They are a great way to grab attention, unlike putting up advertisements in a newspaper that hardly ever generate leads or lead to a quick sale.
Most markets today have become seller’s markets rather than local, and most listings are put up on different websites first before an open house. However, if you list your home online and immediately hold one, your chances of selling it more quickly and at a higher sale price grow to a larger extent. This will increase the exposure, competition, and also the price naturally, especially if it is a hot market. Every market is different, and you might want to do your research first before making a decision. The most efficient way seems to be available to potential buyers, regardless of how they want to see the house. Keep in mind that if your home is not priced right, there is a likelihood that it won’t pull traffic, and you also need to be careful as a seller.
Five Reasons You Should Hold an Open House:
- Announcing an open house can push potential buyers into making an immediate offer. They cannot miss out on their dream home, and there is always a chance of that happening when other buyers visit the house and decide to purchase it. It is a great motivation for your buyers and also creates a sense of urgency to make an offer.
- If you are worried about nosy neighbors or casual onlookers visiting you, it might be the right opportunity to play along with the psychological advantage. A crowded house will push potential buyers to make an offer quicker.
- If you hold an open house during the weekend, the chances of selling it quicker double up as it is easier for local buyers who have their weekends off and also for buyers who live out of town.
- An open house is also the perfect word of mouth advertisement and does not require any investment.
- However, do be prepared for the fact that just holding one does not guarantee sales.
Best Time for an Open House
It cannot be guaranteed that an open house will lead to a successful sale. However, there are a few factors that you can focus on to make the best out of it. The best time to hold one is during a weekend, but that might not always work for you, so look at all the options you have and pick the time that you feel is perfect. Make sure that you schedule an open house at a time when no other event is happening in your area to focus the energy solely on your hosting. Keep an eye out for citywide events, holidays, major sports games, or heavy construction work to avoid any inconvenience.
The most effective time to hold an open house is right after you list your home on the market, preferably the first week of your listing. If you are scheduling it on a weeknight, the evening would be the right time to do so as most of your potential buyers will get off work around this time. However, this could be quite challenging and do not always leave an impression. Moreover, it is always a good idea to have it on the same day that others do; this will bring in a lot more traffic, thereby drawing a wider net.
It is also advisable that you take into consideration the weather before scheduling an open house and be open to rescheduling in the case of extreme weather. Also, keeping a shorter timeframe for it to make it a successful affair and create a sense of high demand for it.
7 Tips for a Successful Open House
Holding an open house is no small feat, and there are a lot of things that you might want to consider before making a decision. Here are seven tips for a successful open house:
- Make sure that your house is all clean and looks pleasing to visitors. The first impression is essential.
- Have a sign-in sheet that requires your visitors to fill in their name and other necessary details.
- Ensure that you do not have any valuables or personal items out.
- Do not keep any paperwork on your desk.
- Call in enough agents to make sure all attendees are within sight.
- Do not compromise on safety measures.
- Another bonus tip is to make your home look as spacious as possible as most potential buyers show a heightened sense of interest towards such homes.
An open house does not come with a guarantee of sealing the deal. It may work for some and might not for the rest. However, if you do decide to go ahead with it, keep in mind that the right timing is everything. With proper research and perfect timing, you can make sure that your open house turns out to be a success.