How Open Houses Work
An open house is a one- to two-hour period when an agent representing the seller's firm is at the home and people can enter with or without a real estate agent. It may not be the most effective sales mechanism by itself, but it can increase visibility and create additional opportunities for buyers to view the home, make an offer, or return with their buyer's agent.
Key takeaways
- An open house typically lasts one to two hours and allows people to view a home with or without a real estate agent.
- Attendance may be higher for homes in urban areas, homes with attractive prices, and newly listed homes.
- An open house may increase a home's visibility and bring in buyers who may make an offer or return with their buyer's agent.
- Although it may not be the most effective sales mechanism by itself, an open house is recommended as part of the services offered when selling a home.
Explanation
An open house is an open viewing held at a home for a set period, typically one to two hours. During that time, an agent representing the seller's firm is at the property, and anyone may enter to see the home with or without a real estate agent. Attendance is usually higher for homes in urban areas, homes with an attractive price, and homes that have just entered the market. An open house may not directly produce a sale, but announcing one can create a cumulative effect by increasing the home's visibility, reaching more people through their notifications, and bringing in buyers who are early in their search or are actively looking with a real estate agent. If they like the home, they may make an offer or return with their buyer's agent. It is not the most effective sales mechanism, but it is recommended as a service that can be offered when selling a home.
Reel transcript
English version
What is an open house? It is an open viewing held at the home so that, for a certain period of time—one to two hours—an agent representing the seller's firm is at the home, and anyone can come in with or without a real estate agent and see the home. Do they work or not? I have normally seen greater attendance at homes located in urban areas. There is normally more attendance when the home has an attractive price and when it has just come onto the market. I have not had a deal happen directly because of an open house, but it is a cumulative effect: when an open house is advertised, there is more visibility for the home, more people may see it in their notifications and want to go see it, and many of the people who come to open houses are either in the initial stages of their search or, if they are actively looking, already have a real estate agent they work with and go see it. If they like it, they may either make an offer or return to see it with their buyer's agent. So it is not the most effective sales mechanism, but it is a cumulative effect that should be considered and that is recommended. We hold open houses, so when you are selling a home, consider that it will be one of the services we can offer you.
Related resources
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