Benefits and Drawbacks of Having An Open House
Once you make the decision to sell your house, you’ll do whatever it takes to make a sale happen. Whether that means sprucing up the yard, cleaning the garage, or even having the house professionally staged, homeowners want to show their homes in the best possible light. A real estate agent will plan to show the home as often as it takes, but not all real estate agents plan an open house.
Some agents feel strongly that an open house is a necessary component of selling a house, while others feel that an open house provides little return on investment. The truth is, there is no cut-and-dried answer as to whether or not to hold an open house. If you are selling a house and wondering what to do, read on to learn more about the benefits and drawbacks of selling a house.
Benefits of Having an Open House
While not all real estate agents are in favor of open houses, there is a case to be made for them. Here are a few potential benefits of having an open house:
- Attract novice buyers: First-time buyers may not have a real estate agent or even know how to start the process, but they know how to walk in the front door of an open house. If they fall in love with your house, so much the better!
- Show your house in a low-pressure environment: Scheduled showings with an agent and just one buyer can feel a little pressured. The buyer might feel pushed into agreeing with every positive comment even if he’s not really sure about the house. Not so with an open house. Potential buyers casually walk through at their own pace, which makes some buyers feel a lot more comfortable.
- Maximize exposure: While the “For Sale” sign in your yard is pretty obvious, the extra marketing that goes with an open house provides even more exposure. “Open House” signs usually pepper the neighborhood on the day of the open house. Your agent will place ads in the paper. This extra attention alerts people that your house is on the market, whether it is someone passing by or a neighbor whose brother is looking for a house. You never know!
Drawbacks of Having An Open House
For every potential benefit of an open house, there is a drawback as well:
- Attract unqualified buyers and nosy neighbors: It’s an open house–the doors are open to everyone. That might be wishful buyers who can’t possibly afford your house or it might be your neighbors who want to see what you’ve done with the place. High foot traffic does not mean a high chance of a sale.
- Low chances of sale: In fact, only 2-3% of actual sales come from open houses. If that ends up being your house, great! But hold an open house with a realistic outlook on the chances of generating a sale.
- Security risk: While uncommon, it is possible that someone will use an open house to steal your belongings or check the place out for a future break-in.
In the end, it is up to you and your real estate agent to decide whether an open house is the best approach as to how to sell a house. The experienced agents at the Jeremy Ganse Home Selling team would be happy to discuss the pros and cons of an open house with you. Call us today!