What are your feelings about Open Houses? Do you think they are a good marketing tool or are wearing out just like print advertising?
Here's what Realtor.com has to say:
Daily Real Estate News | July 21, 2006 Open Houses Still Work as Marketing Tool
In terms of effectiveness, the Internet and virtual tours might be a real estate professional’s frontline marketing tools, but open houses remain in most real estate professionals’ bag of tricks.
For one thing, sellers like them and insist that the associate selling their home hold at least one. They also help bolster an associate’s list of prospective buyers.
A 2005 CALIFORNIA ASSOCIATION OF REALTORS® study found that 68 percent of buyers used the Internet to preview homes through tours and photos and 75 percent used the Web to identify the homes they wanted to see.
As a result, Coldwell Banker associates Gail Lowe and Joyce Harczo now give clients and others who tour their listings CDs that serve as a take-home reminder. They include still photos and other information that is also contained on the pair's Web site.
Sending sellers out to look at other open houses in the neighborhood can help them be comfortable with the pricing of their own home.
The one sort of open house that really yields results is a caravan for other professionals, held weekly or bimonthly, depending on the number of homes just coming on the market.
"I think of it as a debut," says Susan Cosentino, an associate with Pritchett-Rapf's Malibu Colony, Calif., office.
The hardest part is getting other professionals to show up, Cosentino says, so she brings bait — food, usually catered.
"Real estate professionals are a tough crowd," Cosentino says. "And food works; what can I say?"
Source: Los Angeles Times, Ann Brenoff (07/21/06)
Fran White, REALTOR®
Reece and Nichols Residential
816-682-3897
www.kansascity-realestate.net
www.franwhite.reeceandnichols.com
Hi Fran...interesting Post...thank you for it!
I wonder how may realtors would hold open houses if the client did not insist on a few of them?
I for one see an open house as a plethera of opportunites for feedback and potential future clients and if nothing else an opportunity to get some laptop and paperwork done...LOL
It would be extremely interesting to hear some sincere yes or no s to the Open House.
I have heard some real interesting approaches to open houses over the years.
I just can't let this one go by without a comment... or three. LOL Almost blogged on this topic, myself but decided I didn't want the "hate mail" sure to follow (tongue in cheek).
While I think there are some listings - in some areas - under some circumstances - when an open house is justified and beneficial... BUT for the most part I believe they are "old school" and do not serve the seller's interests.
Okay, there I've said it... I've voiced the dissenting opinion. Here are my reasons: 1. I have only heard of a handful of times that a home sold as a result of an open house. 2. Almost without exception, the agents who hold them tell me they do so to get buyers to work with - they don't even expect to sell the house being held open. 3. It takes a lot of time (and time is money). 4. It is an open invitation for crooks to scope out the house and it is hard to get enough other agents to assist so that everyone can be watched as they tour - even if you do have enough "eyes", experienced thieves work as teams and they know how to distract those eyes.
I don't have anything positive to say about "caravans" either, but that's another topic. (By the way, I'm not a discount agent so I do still charge 2 cents for my opinion. LOL)
Open Houses are another business model for agents to follow. Just like those who are EBA's, discount brokers, FSBO seekers, open houses are a form of doing business.
I have known very successful agents who built their business on doing open houses and print media. This success is to their credit.
On the other side of the coin, there are those who do them just to "keep the seller" happy. If they are in the right area and done properly, then the house may sell due to the exposure. If they are done as an afterthought, it probably doesn't do the seller or the agent any good.
Personally, I prep the seller so his expectations do NOT include me doing an open house. This way the topic is not open for discussion at a later date.
Kristal Kraft, ABR, CIPS, CRS
~~~~~~~~~~~~~~~~~~~~~~~~~~~
http://www.KristalSellsDenver.com
The Berkshire Group Realtors, Inc.
The stats indicate that less than 1% of homes sell at an open house. If you are in a good traffic area, they are sometimes good for picking up a few buyers.
About Open Houses.....yes, I've done many.... I've even done them as "Rich Casto" says to do them, but amazingly, I've NEVER acquired a client from an open house. There are many people in my office, that open houses are their main source of prospective clients.
I find Open House goers as standoffish and saying "we're just looking" or "we're working with a realtor" (Hmmmm why aren't they with you?)
Will I continue doing them? You betcha!
Do I like them? No
Second thought.............
Open Houses kinna makes me FEEL like a used car salesman because generally speaking no one that attends an open house doesn't put a contract on it. My goal is to sell a home to someone who REALLY wants it.... then everyone is happy !!~~
I believe that Open houses have a place just as any other marketing. Open houses are good for early on exposure, especially to those new buyers in the market prior to any agent influence. I don't know how many times I have had calls from signs asking if there will be an open house soon. I also think that it depeneds on what region you live in. If you are going to do an open house, do it right. Prepare, send out invitations ot other neighborhoods that would be buying into this neighboorhood of the open house. I think if you place signs out early in advance, like a week you will get more traffic as well. If you have people at your open house, it is a much better type of marketing, these are HOT leads. They not only called on the ad they showed up. Lets get a possitive attitude and get out there and be of service to our clients and the public.
Shaun-Ann Smith
www.simplerealtyhomes.com
How about an interactive VIRTUAL open house?
Go online.... take a walk through the entire house... up the hallways, down the stairs..... speak live with the listing agent (on video)... and possibly a mortgage broker... have your questions answered live... remain anonymous if you'd like..... don't worry about the kids.... wear your bunny slippers.....
We'll see. Doing it in a few weeks! I suspect we'll be turning people away.....
Fred:
I like the idea.......how's it done exactly?