Are open houses an efficient sales tool for sellers? I am up front with my clients selling Palos Verdes real estate. I tell them that I will hold occasional public open houses for them; statistics show that only 3% of homes are sold to buyers walking into an open house. Plus there is the security issue. I cannot be in every room at every minute and we receive periodic notices from other Realtors whose clients have had items stolen during open houses.
The Sunday LA Times Real Estate section had an article dealing with the open house issue. The Los Angeles Times reported that some sellers are now questioning the importance of open houses as a selling tool. There is the usual feeling of displacement as the seller has to vacate his home for several hours on the weekend as well as the feeling that his privacy is being invaded. The article infers that public open houses actually benefit the Realtors as it is an opportunity to meet new potential clients and that open houses draw people who “are more likely to be looking for decorating tips”.
A great reason for open houses is the instant feedback from the public regarding the condition and price of the home. And there is always that 3% chance that you could find your buyer. Do I agree with this article? I have mixed feelings about public open houses. I absolutely recommend broker open houses to my clients as 40% of buyers come from Realtor contact.
