Why do you hold open houses? To appease a seller? To look busy? Because your seller demanded it? A homeowner may have to be convinced of the merits of opening their doors. Allowing strangers into one’s inner sanctum is certainly an invasion, but that’s the whole idea. You want as many people as possible viewing your listing. So, they’d better get over it. By restricting your marketing to more passive promotion, they’re essentially tying one of your arms behind your back.
Opens are also a great way to placate a frustrated seller who may have over-priced their property and as a result, aren’t getting much action. With warm bodies meandering around, possibly oblivious of the high asking price – and still no offers appear – your stubborn seller may finally get the message. In exchange for a couple of hours of your time sitting on your fanny, you may win a price reduction, hence a more realistic listing, not to mention an otherwise free opportunity to develop a few leads. I’d say that’s a fair exchange.
Some homes are suitable for an open house and some are not. If the listing is a showplace – particularly the exterior – then it’s more likely to attract visitors. Provided of course that it’s priced right, once a qualified buyer sees it up close, the chances of an offer are good. However, if the listing is plain, tired or rough with poor curb appeal, an open may not be the right marketing method. In such a case, the only possible benefit of holding one is the slim chance of generating leads. But a butt ugly property is unlikely to attract attention. It’s a classic example of judging a book by its cover. Buyers will probably believe an unattractive exterior means the same inside.
It’s common practice for newer agents, who have yet to become busy listers, to “borrow” suitably attractive listings from other agents. If this applies to you, instead of using the personalized open house signs and feature sheets or brochures of the listing agent, buy your own. Promote yourself; it’s your business practice.
Advertising an open house in the local newspaper or distributing professionally printed invitations around the neighbourhood are good ideas. But once advertised, you must commit to holding it – even if the weather is gruesome. Even if the home has sold conditionally or you have a hot prospect wanting to view other homes that same afternoon, it’s imperative that you or a substitute attend. Otherwise, you lose credibility (as does our industry) in the neighbourhood.
Newspaper ads can indeed spawn visitors, but I’ve found strategic placement of numerous professional-looking signs at main intersections usually attracts sufficient traffic to justify the time and effort. And by not having committed to a newspaper ad, if you think you might be busy with buyers, you can cancel or postpone your open at the last minute. Plus you’ve saved a few ad bucks. Obviously, though, you might have to deal with a disappointed seller.
Before the day arrives, both you and the property must be properly prepared. Set the stage. Recruit your sellers to do their part, making sure the home is groomed and polished, inside and out. Ask them to mow the lawn, manicure the gardens, trim the bushes and sweep the walk. Stow bicycles, toys or refuse from around the property in the garage or shed. Insist the place be spotless, including windows and doors. Advise them to put away valuables or anything fragile that’s precariously perched and might be knocked over by a rambunctious child. It’s unlikely this will happen, but why tempt fate?
While cracking the whip in this regard, I’ve been called a task-master by my sellers. But it’s all standard stuff that they should do anyway prior to even listing their home. If you lack staging skills, recommend professional help. The closer the property resembles a model home, the greater chance of achieving the mutual goal of a sale. Remember – you’re a team. Work together.
In the next column, I’ll address when it’s appropriate to limit entry to your open house.
Ross Wilson is a retired real estate broker with extensive experience as a brokerage owner, manager, trainer and mentor over a highly successful 44-year career. His book, The Happy Agent – Finding Harmony with a Thriving Realty Career and an Enriched Personal Life is available where print and e-books are sold, including the TREB, MREB, RAHB and OMDREB stores. Visit Realty-Voice.com.
