An open house can be a great way to sell your property. It allows you to market your property to a large number of buyers and it allows you to do so outside of normal business hours. The effectiveness of open houses is a topic of debate among both home sellers and real estate professionals, with some claiming they’re great selling tools and others maintaining that they’re practically worthless. However, there are a number of pros and cons that you need to look into before deciding whether or not to have an open house. As with anything, though, the truth probably lies somewhere in the middle. So should you or shouldn’t you hold an open house? Understanding the benefits and drawbacks of open houses will help you decide. Read on to find out about the pros and cons of using an open house to sell your property in East Hanover and Morris County.
Open House Pros
First, then, let’s examine the pros of using an open house to sell your property in East Hanover and Morris County . . .
Yes, it’s a digital world now, and online marketing is paramount, but you still need to deploy old-school marketing tactics for maximum exposure to potential buyers. Open houses are one of those and will help you get greater exposure.
“Without maximum exposure and a strong marketing system,” according to industry pros, “the chances of a home selling are greatly lowered. Open houses can give additional exposure to a seller’s home.”
You do need to be aware, though, that an open house, even though it will increase exposure, is not by itself some kind of silver bullet. Your agent will need to advertise the open house by means of, say, newspaper ads, online ads, and street signs for it to work. Find out more about how an East Hanover and Morris County agent can help you advertise and increase the effectiveness of your open house by calling (973) 887-2500.
BRINGING IN BUYERS UNFAMILIAR WITH THE PROCESS
Many first-time buyers are utterly unfamiliar with the process and don’t really know how or where to begin a home search. An open house can help you sell your property in East Hanover and Morris County by bringing in potential buyers who wouldn’t find your for-sale home in other ways.
“Buying a home is not an easy process, especially for first-timers. . . .Some buyers don’t even know whether they should contact a realtor or a bank first when buying a home. A potential positive to deciding to hold open houses is the possibility for a home buyer who does not know how to start the home buying process to attend. A home buyer who may see a sign on the corner of a street when driving to work in the morning may possibly stop and get more information from the hosting realtor on the home buying process.”
Nobody likes high-pressure sales tactics. One of the pros, then, of open houses is that they are fairly laid-back affairs and buyers don’t feel pressured.
“A real estate open house normally gives buyers the option to view a home without the pressure of a realtor or a seller. Some buyers like to analyze a home in detail without having a time restriction or pressure. This can allow a buyer to identify whether he/she likes a home and also look at the items that he/she should be looking at when viewing homes.”
CONVENIENCE FOR BUYERS
Another and similar pro of using an open house to sell your property in East Hanover and Morris County is the convenience it affords potential buyers. Since an open usually takes place over an extended period, buyers can drop in when they like and won’t feel time constrained. They don’t have to block off a certain time during the workday or in the evening to meet with an agent for a showing. Buyers can just drop in off the street.
Open House Cons
There are also some cons to using an open house to sell your property in East Hanover and Morris County that you should be aware of . . .
UNQUALIFIED AND NON-SERIOUS BUYERS
Perhaps the chief drawback of an open house is that you’ll have to deal with a lot of unqualified buyers and buyers who aren’t really serious. Many people who attend open houses are mere tire kickers. They are just looking and are a long way from seriously thinking about buying. And those who may be more serious often haven’t been pre-approved for a mortgage, so if they make an offer, there’s no guarantee they can get the needed financing.
LITTLE ONE-ON-ONE ATTENTION
Another con is the lack of opportunity for one-on-one attention with the few qualified, serious buyers. “With a real estate open house you’re not able to communicate one on one with your guests. This means that if things get busy, there will be a lot of missed opportunities, and people that may have been good prospective buyers will never get the chance to speak with you.”
LOW SALE LIKELIHOOD
A big con of using an open house to sell your property in East Hanover and Morris County is that the likelihood of a sale is actually pretty low.
“Truthfully,” industry experts say, “a very small percentage of homes sell as a result of open houses. In this case, the real estate agent benefits the most by being exposed to potential clients. Private viewings of your home have better chances of earning you a buyer than open houses. One of the questions that real estate agents get asked all the time from sellers is [whether] open houses work. Depending on who you talk to, you’ll get significantly different answers.”
Finally, with open houses come security concerns. Theft during open houses is actually pretty common. In addition, “[o]pen houses grant criminals the opportunity to explore a home with little to no supervision, giving them time to plan their crime.”
The Critical Agent Ingredient
So the question remains: Do open houses work? The answer is: Yes, under the right conditions and in the right market. That’s why it’s so important to have an experienced East Hanover and Morris County agent in your corner. Local market conditions vary widely, and that plays a large part in whether your open house will lead to a sale. If you’re considering an open house to sell your property in East Hanover and Morris County, contact us today at (973) 887-2500.