If you want to sell your house as quickly as possible, you’ll be willing to consider a wide range of different marketing and sales tactics – including offering an open house. In an open house environment, prospective buyers can freely tour your house, talk to your real estate agent (if applicable), and even make bids.
If done right, it can be a massive success – and attract higher bids. But it’s far from a guarantee of results.
Is this truly the right strategy for selling your Houston, Texas home?
Open House Benefits for Houston Homeowners
These are some of the benefits that you can enjoy when hosting an open house for your listed home:
- More exposure. Roughly 4 percent of homeowners first learned about the home they purchased through a yard sign or open house sign, while 51 percent first heard about the home online and 29 percent first heard about the home through a real estate agent. If you offer an open house, you’ll be able to appeal to all of these people simultaneously. In practically all imaginable situations and contexts, hosting an open house can increase the visibility of your listing and introduce new buyers to the prospect of purchasing it.
- Convenience for buyers. Open houses tend to be convenient for buyers, especially those with tight schedules and those who aren’t sure about moving forward with the home purchase yet. Open houses typically take place during the weekends, when most people are available, and they have relatively long hours of operation, enabling you to tour the house at your leisure. Additionally, buyers can spend as much time as they want, provided they stay within the listed hours of the open house.
- Convenience for agents and sellers. Open houses are also highly convenient for both agents and sellers. Agents get the opportunity to see many different people at once without scheduling individual tours or appointments. If you’re still inhabiting the house as you sell it, an open house allows you to show the house to many different people without having to leave the premises.
- Reduced timeframes. Hosting an open house is a way of concentrating buyer interactions. Instead of scheduling 15-minute sessions with dozens of different people, all those people can tour your house at the same time in one, 4-hour segment. This is especially valuable if you want to sell your house as quickly and painlessly as possible.
- A competitive environment. Another advantage of open houses is that buyers get to see and interact with other interested buyers; if the house is very popular, this creates a spirit of competition. Buyers who are very interested in the house will understand that there will probably be many bids on the house, so they’ll be inclined to offer a higher purchase price.
- Fast feedback. Open houses give people the opportunity to express their true thoughts about the property. Real estate agents can talk to people, understand their thoughts about the property, and use that feedback to create a strategic advantage. For example, if buyers frequently complain that the house feels cramped, rearranging furniture could make it feel more open.
- Networking opportunities. This is also an opportunity to meet new people in the real estate industry, though arguably, this is more of a benefit for real estate agents than home sellers.
Open House Drawbacks for Houston Homeowners
These are some of the drawbacks you’ll need to keep in mind:
- Security concerns. Some home sellers are uncomfortable with the idea of an open house if they’re currently living in the property; while real estate agents do their best to keep the property secure, there are valid security concerns about having lots of people walking through your home.
- Privacy concerns. Selling your house does require at least some forfeiture of privacy, but open houses violate your privacy more than straightforward real estate appointments.
- Tire kickers and unqualified buyers. The point of an open house is to make your house open to as many people as possible. Unfortunately, this sometimes means attracting tire kickers and unqualified buyers. This is little more than a temporary annoyance, but it can compromise the overall value of the strategy.
- Wear and tear/damage. Having lots of people walking through your home can introduce more wear and tear and possibly cause measurable damage. There are strategies that can help you mitigate this, such as using runners and protective coverings to minimize the impact of foot traffic, but it’s a risk that needs to be considered.
- Reduced individual attention. When many different people are walking through the area, there is less time for individual attention. Individual conversations are very powerful for persuading people who are already on the fence.
- Low-value signals. Homebuyers may perceive an open house as a move of desperation. This isn’t a reasonable perception, as many homes are listed with an open house from the beginning. Still, it’s worth noting, as this may attract some lower offers.
- Preparation effort. It takes significant time to plan and arrange an open house. You’ll need to prepare a convenient time, advertise the open house, then have someone to supervise and coordinate buyers throughout the entire timeframe. This can artificially increase your marketing costs – and it’s not always worth the investment, especially compared to other strategies.
Is an Open House in Texas the Right Move?
So, is an open house the right strategic move for selling your Texas house?
As you can see from this assortment of advantages and disadvantages, there isn’t a clear, universal answer. An open house can work out for certain homes and home sellers, but it’s not worth the time or effort in some situations.
The right real estate agent can help you form a strategy that aligns with all your goals and motivations – while simultaneously helping you sell your house quicker and for more money. So how do you find the right real estate agent? You can start by contacting Green Residential. Reach out for a free assessment today!