Contrary to popular belief, you don’t need to have an open house if you’re selling your own home. In fact, an open house might actually just be a waste of time. Not convinced? Check out these common open house myths.
Myth 1: Open Houses Benefit the Seller
Real estate agents like to hold open houses, especially early on in their careers, because it introduces them to a sea of prospective buyers… who also happen to be prospective clients. Even if they don’t sell a home to a buyer on the day of the open house, they end up leaving the event with a stack of names and contact information that they can use to solicit business later on. If you’re selling your own home, you have no interest in building up a client roster, so an open house is going to benefit you much less than it would an agent.
Myth 2: All the Hottest Homes Have Open Houses
A home can’t be “hot” without an open house, right? Actually, the hottest houses typically fly off the market, without the need for an open house. In demand is in demand, even you don’t give the entire neighborhood a chance to drop by and closely examine the bathroom tiles. In fact, open houses can actually makes a home seem a little less hot. CNBC reports that 26% of homes for sale in Austin, Texas sold above listing price when they didn’t have an open house, compared to just 17% of those that did have an open house.
Myth 3: Only Qualified Buyers Visit Open Houses
Anyone can drop into an open house, even people with no intention to buy. And they do – often in large numbers. While there’s nothing particularly wrong with curious people dropping in to see what your home looks like or to get an idea of what $XXX will get them, having people who aren’t serious about buying or who aren’t actually in a position to buy talk to you about your home can be a waste of your time.
Myth 4: Most Buyers Find a Home From an Open House
As it turns out, open houses aren’t that successful when it comes to actually selling a home. In fact, the National Association of Realtors reports that less than 9% of buyers found the home they ultimately purchased at an open house in 2015. To contrast, 43% of buyers found the home they ultimately purchased on the internet, meaning if you invest your time into marketing your home online, your odds of selling faster are much, much better.
As you can see, open houses are by no means necessary and are often a poor use of time for home sellers.