Hi Jen. I am a mortgage broker that has sat in on many open houses with. In general, I have found that the open houses do seem to attract more buyers. It all depends on how well you advertise it. Good luck selling!

Thu Jun 19 2008, 03:19

Richard:

Thanks for your kind comments. How about flipping me a "thumbs up"

Have a great weekend!

Sat Jun 14 2008, 08:26

Greg
Very good answers. We worked with a Buyer's agent to sell our home and everything went very smoothly, including the closing. It was easier than cutting cake.

A friend of ours tried to sell his home FSBO and had numerous open houses.....many lookers but not one single offer.

Sat Jun 14 2008, 07:46

Before switching to the "dark side" of mortgage lending I spent time as a real estate agent. The office consensus was that open houses were a great way to find more buyers to work with. Many who defined themeselves as "listing agents" would encourage the new agents to staff their open houses for them, as they didn't wish to work with buyers.

Now on the mortgage side I can tell you that part of the reason open houses don't have a high success rate is that people tend to shop homes above their affordability point until they have someone help them identify a payment they qualify for and are comfortable with as part of their overall lifestyle.

I also used to have statistics that showed that over 90% of listings are sold with the help of a buyers agent and most buyers agents search the MLS to find the homes they show their clients. The power of the MLS cannot be underestimated for this reason. If anyone has a copy of any recent statistics about cooperative broker sales percentages please let me know as I would like to update my files.

Thank you -

Fri Jun 13 2008, 20:59

Open houses bring in people if its on a busy street or heavily advertised. Medicine cabinet shoppers too. :-).

Fri Jun 13 2008, 16:37

I don't know about that, but you will have more people going through your medicine cabinet.

Fri Jun 13 2008, 14:30

First and foremost, the majority of walk-ins have not yet talked with a lender to get pre-qualified. At this point you don't know if they can purchase anything let alone the price of your home. Secondly, you don't know who is entering your home and what their motive is. An agent working with a client will have already talked with their lender before showing them homes. FSBO today is tougher than ever. Good luck to you.

Fri Jun 13 2008, 14:29

Hi Jan,

My apologies in advance for any 'repeat' advice, as I haven't had the chance to read through all the replies yet.

Anyway, in answer to your question, in my experience Open Houses are, for the most part, ineffective. They draw very few serious buyers and lots of curiosity seekers. Especially nosy neighbors who always wondered what your house might look like from the inside!

Moreover, Open Houses held by FSBOs can be awkward for buyers. Buyers do not like to feel hounded and followed around when they are looking at a home, especially by the owner, and then have that owner pointing out all of the upgrades, the new paint, the under cabinet lighting my husband installed, the kitchen, the baths, the obvious... well, it's a turn-off.

However, with all of that in mind, all it takes is one interested person, so....if you do have an Open House, make it productive: See if you can have a lender on hand to prequalify or at least pass out information, make sure that people sign in so you can follow up, find out when interested parties are looking to buy so you can weed out the 'window shoppers', make sure you have Open House signage throughout the neighborhood and its main roads and not just on your lawn, and most importantly! Make sure your house smells fresh and clean and that your whole family isn't home watching TV or hanging out in the bedrooms. I've been to a few showings like that, and AK! can you say awkward?

Best of luck.

Fri Oct 12 2007, 10:25

Realtors know that there is a 1% chance to sell a home through a open house. An open house usually generate buyers for the realtor. Its usually done to show sweat equity to the seller.However, there is that chance that an open house could work for you.

Fri Oct 12 2007, 09:37

Open houses are really hit or miss. Sometimes you have a few buyers come through sometimes none. Don't expect to get any and if you do consider it a success. Good luck to you!

Fri Oct 12 2007, 09:01

First of all less is more. Pack away all non-essentials put them in storage if you have to the less cluter the better make your home seem to have as much open space as possiable. Also do a full inspection of your home add a fresh coat of paint here and there, make sure you brighten up the atmosphere. Landscaping is a mojor factor to get the childrens toys out the front yard put in sesonal flowers first impressions are everything when selling your home. Last of all if you're sellign it yourself your best friend could be the person that gave you your mortgage. Keep in touch with the banker that did your loan they might have someone that is pre-approved and looking to buy in your local area. Also if your banker is anything like me they might be willing to attend your open house provide free advertising which would assist in geeting people in the door to look at the house and then you would also find out who is really interested and not just out looking around.

Fri Oct 12 2007, 08:58

In the Seattle market, agents usually hold open houses to obtain buyers. It is unlikely to sell a home during an open house. With all of the electronic marketing vehicles available, this is a bit of an antiquated marketing technique, not to mention the potential inconvenience to the seller. For a FSBO, there can also be safety issues and identity theft considerations. Why would you want to put your personal phone number on your front lawn and open your home to anyone that walks in the door.

Thu Oct 11 2007, 15:55

Online, 85% of buyers look online when they are the market for a home. Try free sites like Craigslist, Backpage, etc... However an agent will be able to market your home in more places that agents look for their buyers. Good luck.

Thu Oct 11 2007, 15:29

My partner and I have sold several homes "By Owner" as a direct result of an "Open House". I wrote an article about it some time ago. Maybe it will give you some ideas to help you get yours sold as well. Here's the contents of that article (grammar mistakes and all :)

How I Use "Open House" To Save Time And Maintain Sanity!

When you're busy at work, the last thing you need is the frustration of having to run home 2, 3 or 4 times a week to show your home. It's especially aggravating when realize that at least 1 out of 4 people who schedule an appointment ... won't even bother showing up!

I’ve found that the best way to maintain control of my time (and my sanity), is to hold a "OPEN HOUSE" each weekend, until the house is sold. I set up a time frame a week in advance. Usually 11 a.m. to 2 p.m. on Saturday and 1 p.m. to 4 p.m. on Sunday.

When I return calls to people who’ve left messages on my ads and flyers, I give them these specific time frames and tell them "this is when you can see the interior of the home if your're interested".

I also put "Open House" (days and times) on my flyers (in bold print) so that everyone who picks up one of my flyers from my info box knows they're able to come back to see the inside of the house over the weekend.

I do this for three reasons:

1. I’ll have time to get the house cleaned up so that I'm prepared for my guest.

2. Odds are that the more people I schedule for these times, the better my chances of having someone show up, so that I’m not wasting my time. And when 2 or 3 potential buyers show up at the same time, it can create a sense of urgency (competition) among them that works to my favor.

3. The main reason for setting up showings in this manner is so that I maintain control of my own time. Otherwise, I could end up running around like a chicken with his ... well, you know what I mean. Been there, done that ... didn't like it!

I know some will say I loose buyers this way, and that may be true ... but personally, I think the trade off is worth it.

Now, I will show a house at times other than just the weekend “OPEN HOUSE”, but usually I’ll only do that for people who’ve already been there for a weekend showing. Often, you'll get people who want to come back for a second look. Sometimes it's because they want an opinion from a trusted friend or relative.

Keep in mind that "serious" buyers generally ask a lot of questions too. Since buying a home is usually the biggest investment of a lifetime, that's understandable. So be gentle my friend ... your potential buyer is probably a lot more nervous than YOU are!
***
BTW: If you happen to visit my website as listed below, keep in mind that it's a "work in progress" ... well, a work in "occasional" progress. I've been meaning to get to that eventually (just a little busy lately).

As a precaution, I always suggest that when you have an “OPEN HOUSE” you should keep valuables safely hidden away where someone isn’t likely to pick something up that they weren’t suppose to. And don't forget to use the "buddy system". Call a friend or neighbor to hangout while you have visitors in the house. Besides, you'll need someone to help make sure everyone gets a flyer ... and some of those chocolate chip cookies you're going to bake just before "Open House" starts!

Thu Oct 11 2007, 13:37

No, I really don't believe open houses attract more buyers. They are becoming a thing of the past. Serious buyers use the Internet and seasoned Realtors. All of our listings now days have virtual tours on line....a Realtor can't compete without virtual tours and web site exposure. I think as a FSBO seller, you're making your life alot more difficult than it has to be. There are so many great Realtors out there with marketing tools that can and will get the job done quickly for you and commission is negotiable!! Another point to keep in mind is that potential buyers are uncomfortable when a seller is present...it makes them not feel FREE to explore the home and buyers aren't likely to be direct and upfront with owners as they don't want to hurt their feelings....so you end up not really knowing how they feel about the house.

We are happy to answer any questions you might have or provide other information that might be of assistance to you. Barb

Thu Oct 11 2007, 12:51

I've never gone to an Open House and gotten excited about a home. Just went to one last Sunday and I was turned off by much of what I saw, including two dogs in a large cage back near the laundry/utility room. The Seller should have removed the dogs before having an Open House.

as a Buyer I search the internet trying to pick out homes which I believe have potential to satisfy my criteria. After I get a few of them picked out, then I make an appt to see them.

Thu Oct 11 2007, 09:23

You need to really do it in combination with other marketing tools and techniques. It may bring in buyers, but usually mostly lookers.
I suggest a one/two punch, where you advertise in certain publications, create a website just for the property, and get flyers out in the neighbourhood.

An easier and more effective way is to get a Realtor to do the same as noted above, unless you plan on making the selling of your home a full time job.

Thu Sep 27 2007, 12:55