When you’re listing your home for sale with a realtor, one of the questions you’ll have is whether you should have an open house. Here’s what my many years in the real estate business has taught me about the pros and cons of organizing an open house.

Pros

To begin with, you should understand that these events benefit real estate agents as they’re a good way to raise their profile and to connect with possible new clients. Having said that, there are some real pluses for the seller as well.

Increased exposure – Your property will reach more potential buyers when an open house is staged. The advertising for the occasion will draw in anyone in the market for property in your neighbourhood as well as others who’re going by and see the open house sign.

Creates interest – People actively seeking a new home and others who are just starting the home search process will be drawn to an open house. This means more individuals will see what your dwelling has to offer. Even if viewers aren’t particularly interested themselves the word of mouth could help find the right buyer.

Comes with less sales pressure – When house hunters go to an open house they’ll typically be there at the same time as a number of other people. The sales agent will be busy answering questions. Prospective buyers can take their time wandering around the property and won’t feel under any pressure to make a decision.

Gives first-hand look – A purchaser can have a stress-free first-hand feel for your home with an open house. Perhaps a viewer isn’t quite ready to hire a real estate agent and start looking in earnest for a new property. The opportunity to see your dwelling during an open house might just convince them that it’s the place they want.

Cons

There are, of course, a few cons that come with having an open house. Aside from the fact that it can be a lot of work to get the property in great shape for the designated date and that you’ll need to leave for the afternoon, here are the other downsides.

There’s little chance of a sale – Statistically, only a small number of homes sell as a direct result of an open house. The buyer of your property will more than likely be the one who has secured financing ahead of time and is on a serious search with a realtor.

Can bring in unqualified buyers – Since anyone can attend an open house, chances are there will be some viewers who won’t qualify for the mortgage necessary to purchase your home. For example, they may put in an offer conditional on securing financing and waste your time when their efforts fall through. This can be frustrating.

Attracts the curious – Just like a garage sale, your open house will probably attract some individuals who simply want to know what your home is like on the inside. These people will have no real intention of buying your dwelling.

Invites security issues – There’s a risk of theft when people are coming into your home in this situation. Unfortunately, there may also be someone who is there to assess the property for a future break-in. Make sure that you lock up any valuables and ask your realtor about security safeguards.

My best advice is to talk to your agent about the advantages and disadvantages of an open house and listen to what they have to say. Remember, if you’re in the market for buying or selling I’m only a phone call away!