What is an open house?

What Buyers And Sellers Need to Know About Open Houses

Visiting an open house was once an essential step of buying a home.  Today, the traditional open home has lost a large amount of its influence.  This is mostly due to the internet.

Studies have shown that 90% of buyers start their home search online.  Only half of this number take the time to visit open houses.

The majority of buyers conduct their initial research at home.  They do this by reviewing photos and virtual tours.  If they are interested in a property, they often arrange a private tours.

In the past, buyers had to visit open houses and speak to real estate agents to find out the following information.

–  How much similar homes in the area sold for.
–  How much property taxes they are expected to pay.
–  Which school district the house belongs to.

Today, this information can be easily found online.  This reduces the need to visit open homes. And thus many realtors do not do open houses and rely heavily on the MLS. So open houses are not for every listing but they do help. Extra exposure right?

A frequently asked questions is “How Much Does it Cost to Have an Open House?”

Many homeowners believe they simply have to clean their home to prepare for an open home.  This is not the case.  Most real estate agents will recommend that homeowners hire a professional home stager.

Listed below are some of the services provided by home staging companies.

–  De-cluttering the home.
–  Rearranging furniture.
–  Moving unappealing or unnecessary items into storage.
–  Improve lighting.
–  Tidy up the lawn.

If an El Paso code compliance employee would even consider your lawn a violation then you know it can’t be good.

El Paso TX maintenance and remodeling companies may charge from a few hundred to several thousands of dollars for a decent makeover. While these services may cost a few thousand dollars, they do produce results.  94% of staged homes are sold within a month.  A number of these properties sold for a much higher price than the owner expected.

Are Open Homes Effective?

Although open houses do sometimes produce sales, the majority of real estate agents believe that they are ineffective.  A recent study revealed that only 11% of buyers stated that they found their home from an open house or yard sign.

If an open home does produce interested buyers, it is unlikely that the buyers will qualify for a home loan.  This is especially true today as banks have tightened up their lending criteria in response to tough economic times.

What This Means for Both Buyers and Sellers

While open homes are not the primary method of buying a house, they do result in occasional sales.  As such, it is worth opening a home up to the public.

One way to boost the likelihood of getting a sale is hiring a stager.  A staged home will appeal to both open home attendees and those who have organized private viewings.

Staging is effective as it eliminates unappealing and over the top decor.  Buyers like homes to be modern and simplistic.  This allows them to visualize their own possessions in the house.

As the majority of buyers find their listings online, homeowners should ensure that they have good photographs on real estate websites.  This may encourage buyers to see the house in person.

Buyers should be aware that home viewings are an essential part of the buying process.  Some houses look nothing like their online pictures.  The last thing a buyer wants to purchase a house that does not meet their expectations.  Visiting open homes is an excellent way to see a number of homes in a short amount of time.

Lastly, buyers should check if they qualify for a home loan before they start seeing houses.  This will stop them from wasting time on houses that they cannot afford.

Overall, open homes are helpful to both buyers and sellers.  Although clients search the internet before they attend an open home, seeing a house in person may confirm their desire to own the home.