In Real estate sector, an open house is an opportunity wherein sellers display their properties to potential and interested buyers. In an open house, prospective owners get an opportunity to not only browse through the house as they want, but they can also see the minutest details of things like furnishings or amenities that is present, and how the house looks when empty, or even what all needs repair or maintenance. During Open house visits, prospective buyers or even realtors get a chance to experience the location, neighbourhood, and the actual environment of the house. An open house is always scheduled in advance, so that the prospective buyers can be notified about it, and it is scheduled for a time duration, so that maximum buyers or visitors can visit on the site. There are many benefits of an open house which can be availed by both buyers and realtors. On the contrary there are some disadvantages or flip side, which must be kept in mind while visiting for an open house or conducting an open house. Let us further discuss the Benefits and Flip Side of an Open House:
Benefits of Having an Open House And Flip side
Helps First-time Buyers - It can be said that buying a home is a complex and time-consuming process, which can neither be afforded or feasible for many buyers, especially if they are first time buyers. Novice buyers always need guidance, support, as well as technical know-how of buying a property, and open houses are an excellent platform to offer them all of this. Many a times, buyers are not also aware of how and whom to approach for buying a house, a realtor, or a bank. First timers looking for a home often stop by signs of Open Houses and approach to avail more information about the house from the realtor hosting the event. Having open house always increase the chances of having more potential buyers for a property.
Offers Maximum Exposure - Open houses offer great deal of exposure of the on-sale property through various platforms such as social media advertisements, newspaper ads, street signs, they get their property visible which is always a good thing for attracting potential buyers.
Open houses are Relaxed - In open houses, the looking around process is very relaxed, and the buyers are not pressurized or obligated to make a deal. Open house also offers ample time to buyers to visit and make an informed decision, as buying a property is a life-changing decision for them as well.
Attracts New Buyers - In Open houses, many new buyers come that do not have a past relation or dealing with the realtor, which offers them a fresh perspective of the property they are about to buy. Being a hosting realtor or seller, this gives you a chance to actually convert the new buyers to leads or potential buyers.
The Flip Side of an Open House
Lesser Chances of Sale - If you are a realtor and if you have hosted Open houses in the past, you might also be aware of how slim the chances are to actually sell a property from such events. The probability of sale is low since having an open house is not at all necessary, and most of the houses are sold through private visits assisted by realtors. Also, Open houses attract a diverse group of people, out of which the chances of being a potential buyer can be very low.
Matter of Safety - Often Open houses are prone to vandalism and break-ins as well. If you are selling a vacant home, the chances of such incidences increase as criminals get an opportunity to explore a home as there is little or no surveillance, during which they can also plan their crime. Such incidences increase the vulnerability of home or home owners getting into trouble in future as well.
Open Houses can be Stressful - Having an open house can be tiresome as well as stressful for both the prospective buyers and hosting realtors. First, there can be number of unqualified buyers that can consume time and efforts and might not turn into potential leads as well. Secondly, the real estate or housing market is getting competitive with each passing day, there can be chances when your house does not create an effective first impression for the buyers. Realtors also have a hard time conducting more than one open houses, which ultimately is burdensome task. Apart from this, open houses for a same house repeatedly can make buyers suspicious about the home or why is it on sale all the time.
Whether you are a realtor, a buyer or a property owner, Open houses are not only familiar to you, but you also know all the factors that go behind actually conducting open houses. If you are smart enough, you can conduct Open houses keeping all the challenges in mind while leveraging all the benefits it has to offer.