The Problems With Real Estate Open Houses
Are you considering having an open house? Open houses are a common marketing activity for many real estate agents. Since so many agents do them, many sellers think they should too.
Many potential buyers just starting to look for homes will search for open houses near me on Google. Doing so will give the closest open houses nearby. They can be helpful for someone looking to learn about the local real estate market.
Unfortunately, many of the people who attend open houses don’t belong. Anyone can go to an open house. You don’t need to be qualified to purchase. You only need a pulse.
Let’s get one thing straight and out of the way. Having a real estate open house is NOT necessary to sell a home!
If a serious buyer is in the market to purchase a home, they will always call to schedule an appointment to see it.
Real Estate showings are far more valuable.
It is ridiculous to think otherwise. Of course, this is not what some Realtors who make open houses a regular part of their business will have you believe.
Real Estate Agents Benefit The Most From Open Houses
One of the biggest real estate myths is that open houses work to sell homes. The exact opposite is true. Open houses do not work to sell homes!
According to statistics from the National Association of Realtors, less than 2 percent of all home sales occur directly from an open house.
So you may wonder why you see open house signs all over the place on most Sunday afternoons. The answer is an easy one. Open houses are an excellent way for a Realtor to obtain new prospects for business somewhere down the line.
It could be one of the neighbors who stopped by because they are considering selling their home soon. They are there to check out the competition and get a feel for the market.
Another likely visitor is a buyer who can’t qualify for the price point of the home being held open but is actively looking at another price point.
In both cases, the Realtor hanging out at an open house has found themselves potential additional real estate prospects. There are lots of real estate agents who need to do open houses as a means of generating business.
Could you get fortunate and sell your home at an open house? Of course, but don’t plan on it!
If you don’t mind the nosy neighbors, buyers who aren’t qualified to pay your asking price, and those who just like looking at nice homes while out on their Sunday afternoon drive, then by all means, go ahead and have an open house.
More importantly, don’t ever discount the possibility of something being stolen from your house. This is the number one reason not to have an open house and something so many real estate agents never bother to discuss with their clients.
Open houses are a magnet for crime!
Mistakes to Avoid in an Open House
If you are still not convinced that having an open house isn’t necessary and truly believe that having one may be beneficial for selling your home, make sure you avoid doing anything to turn buyers off.
The idea of bringing potential buyers into your house to get an up close and personal look at what they would be buying is not a bad idea – it can certainly backfire, though, if you are not careful.
You will want to ensure that they see things in an ideal state, inviting an image of clean, happy, and stress-free home life.
Several open-house mistakes must be avoided to ensure a successful event.
1. Not Having Enough Open House Signs
When hosting an open house as a real estate agent, it is essential to have ample open house signs. They should be placed on all the busiest streets near the property.
The goal is to ensure that most people know that your open house event is taking place.
Open house signage will ensure that many people know there is a home for sale in the area. When you don’t have enough open house signs, some people may be unable to locate the property.
Plan on placing numerous signs on busy streets and in front of the home. There should be directional arrows making it easy for the buyer to find the open house.
2. Not Having Open House Sign-In Sheets
A real estate agent needs to provide an open house sign-in sheet. It should be used for agents to collect contact information for potential buyers. The listing agent can follow up with anyone who has attended.
Do people who visit an open house sign in with fake information? Yes, of course, they do. Remember, many visitors are not genuine home buyers. They go to these events for other reasons.
Nonetheless, some people who attend will agree to provide their contact information. The open house sign-in sheet can collect a name, phone number, and email address.
Many prospects will ask questions at an open house. When they do, it is the perfect opportunity for an agent to ask for them to provide their contact information to the open house sign-in sheet.
3. A Messy Home is an Open House Mistake to Avoid
When you think about how much a home costs, it is easy to understand why people expect cleanliness in an open house. Presenting a clean product for purchase is the least you can do when trying to get someone to buy your house. Preparing for showings is especially important when there are potentially a large number of visitors dropping by for a look.
Surprisingly, not everyone meets the mark when it comes to a clean house. If you have to hire a cleaning service to get the job done, do so.
Make sure your house is spotless before letting potential buyers through the door. A messy home is undoubtedly a real estate open house mistake you will want to avoid.
Whether you are preparing for showings or an open house, staging a home for sale is essential. Many budget-conscious home staging tips can help your home look better.
4. Avoid Having Music at The Open House
Very few stores you go to nowadays do not have some music playing. The idea is that silence is more uncomfortable than innocuous music.
Some home sellers think the same applies to an open house, but it doesn’t. Playing music, even the most mundane music you can find, can still backfire on you.
First, you risk offending potential buyers. No matter what music you choose, there will be someone who does not like it. Second, you may make buyers suspect that there are other sounds you are trying to cover up – such as construction, playgrounds, or road noise.
5. Evidence of Pets Needs to Be Removed From The Open House
Pets bring a tremendous amount of joy into our lives. However, they can be a real problem when showing your home. This is true for several reasons.
Logistically they make things difficult because you have to keep them separate from the viewers of the home.
This means blocking off areas of the house, an absolute no-no in an open house. They also behave unpredictably. The last thing you want is Fido leaving his mark on the floor right in front of the guests.
Take the pets to a friend’s home for the day when you are showing, and do your best to eliminate signs of pet habitation, including toys, bedding, stains, and smells.
Selling a home with pets takes extra care and consideration.
Some buyers see signs of pets as a complete turnoff. This is undoubtedly one of the top open-house mistakes to avoid.
6. Keep The Lights on During The Open House
People need to be able to see what you have to offer; the only way they can do that is with the lights on. Now is not the time to be in energy-saving mode.
Keep all the lights on that need to be on for viewers to see the details of the house, especially as the light wanes in the later part of the day. They have no idea where the light switches are.
You also want things to look bright and cheery, which requires good lighting. A dark home is a reason many buyers give when providing feedback when deciding not to purchase a property.
A dark home can give a buyer a negative impression. Not providing ample light is one of the top reasons buyers dislike your home.
7. Remove All The Clutter Before Your Open House
Next to dirt and grime, clutter is one of the major killers of a good open house. Make sure all the clutter is put away. The term DE-clutter is often bandied about in real estate circles.
Buyers need to see what the house offers in terms of space and style. Clutter makes this impossible. It also makes the house look messy and unkempt.
Clutter also makes it more difficult for buyers to picture themselves living in the home. Your old mail, favorite figurines, and boxes from past purchases all get in the way of the buyer’s imagination and make your home look unappealing. Not removing clutter is an easily corrected open house mistake to avoid.
8. Blocking Off Areas in Your Home is a Big No-No
Does your son’s or daughter’s room look like a bomb just went off? Blocking buyers from seeing this space in your home is a mistake. It would be best if you never listed your home for sale before you are ready.
Get any area of your home that needs improvement before listing for sale remedied. Many home-selling mistakes can prevent you from getting top dollar. This is one of them.
9. Confidential Documents Should Be Put Away
The last thing you want to do is leave out important documents that a potential buyer has no business looking at. Don’t give wandering eyes the opportunity, and make sure you put away things that are not available for public consumption.
Bank statements, brokerage accounts, relocation papers, and even the listing contract with your Realtor should not be left out in the open.
Not only do you not want to give away crucial financial information like this that could come back to haunt you in negotiations, but it is never a good idea to have others see sensitive information.
We all like to believe that every person coming through the door is honest as the day is long, but that is not always the case.
Review the full list of things never to leave out at an open house.
10. A Dirty Exterior is a Mistake
Depending on where you live, your home’s exterior may gather substantial grime as the season turns. You may not have noticed it if it happened gradually, but visitors to the open house are sure to see the mold and mildew on the siding, the clogged gutters, and the dingy windows.
Like the home’s interior, the exterior must be clean and fresh to impress visitors. The exterior look and appeal should be part of your spring home maintenance checklist.
Pay special attention to your entryway. There is no doubt that buyers will. It is one of the first things buyers will notice as they enter the open house.
11. Uncomfortable Home Temperature
The idea of an open house is to showcase your home’s best. No matter the temperature outside, you want to ensure the interior is pleasant and comfortable.
There is no excuse for sweltering heat or frigid air inside the home you are showing. Set your thermostat to a comfortable temperature for the day and leave it there.
If your HVAC system cannot maintain a comfortable temperature, chances are you will need to look into repair or replacement before you even think about showing the house.
One of the things buyers will certainly scrutinize is how well you have kept up with home maintenance. An open house allows buyers to go through a home at their leisure, and they will be more apt to notice little things about how you keep your property up to snuff.
12. Shoddy Landscaping
You do not need a green thumb to appreciate the appeal of neat landscaping. Making sure your lawn is cut, your sidewalk edged, and the dead plants and growth are removed from your bushes and trees is a simple way of making your home stand out.
None of these things take any particular skill to accomplish; all will make the house look better. If you are not in the mood to get your hands dirty, you can always hire a lawn service or landscaping company to do a basic cleanup before the open house.
13. Bad Smells is a Killer Open House Mistake
Even though this is number twelve on the list, awful smells in a home are one of the worst open-house mistakes!
Your Realtor should tell you this initially, but it bears repeating. Smells can be the quickest deal breaker there is in real estate sales.
If a potential buyer walks through your door and is greeted by unpleasant odors, you can bet they will go right back out the door as soon as possible.
Bad odors are some of the most off-putting aspects of a property and should be addressed long before you open your house.
If you are a smoker or have pets, extra precautions will be necessary to ensure you don’t turn buyers away.
You may need to shampoo the carpet, change the flooring or fix the plumbing, but do so before you show your house if you want buyers to take the property seriously.
Final Thoughts on Open House Mistakes
While an open house is unnecessary to sell a home if you’re going to have one, you might as well do it right. Hopefully, you have found these open house tips helpful and can apply them to your sale.
Open-house mistakes can easily be avoided when you follow sensible advice.
About the author: Bill Gassett, a nationally recognized leader in his field, provided the above information on open house mistakes to avoid. Bill can be reached via email at billgassett@remaxexec.com or by phone at 508-625-0191. Bill has helped people move in and out of many Metrowest towns for the last 37+ Years.
Are you thinking of selling your home? I am passionate about real estate and love sharing my marketing expertise!
I service Real Estate sales in the following Metrowest MA towns: Ashland, Bellingham, Douglas, Framingham, Franklin, Grafton, Holliston, Hopkinton, Hopedale, Medway, Mendon, Milford, Millbury, Millville, Northborough, Northbridge, Shrewsbury, Southborough, Sutton, Wayland, Westborough, Whitinsville, Worcester, Upton, and Uxbridge MA.
