Open Houses are the gold standard in real estate. They have been around for decades and will be ingrained of the buying and selling of homes for years to come.
Here are some of the best practices and helpful questions for buyers at all ends of the home-buying process.
Use the open house to learn the market without committing : For the most part, open houses are just that – open. They make it possible for anyone to see a property in a certain time period, without an appointment or even being a serious buyer. New buyers should leverage the open house opportunity to get a feel for the market. Today, using online search tools, mobile apps and the open house, a buyer can start to get a feel for pricing and before committing to an agent. Most importantly, open houses are some of the best ways for buyer and agent relationships to start.
You don’t have to sign in (but don’t be rude) : The biggest fear of some newer buyers is that a real estate agent at an open house will be all over them, ask for their contact information and then start harassing them for the next three weeks. It does happen, but it’s also common courtesy to recognize and say hello to the agent at the open house. In addition to trying to sell the home for their client, for safety reasons, the agent is keeping a look out for who is coming and going. If you’re an active buyer, you should make yourself known to the agent. Let the seller’s agent know who your agent is and don’t be afraid to express interest. When it comes time to review an offer with a seller, listing agents like to put a face to a name.
Watch the other buyers : You can tell a lot about the marketability and activity of a home by watching the other buyers. If you observe a lot of people walking in and out quickly, the home probably has some issues. Are the buyers hanging around, asking questions of the listing agent and huddling in the corner talking to their spouses or partners? If so, it could be a sign this is a “well-priced” and “hot” listing. If you’re interested, observing the other buyers at the open house could help you learn about the competition.
Ask the agent questions : The real estate agent is there for a reason. If he/she is the listing agent, ask them questions. He/she is a direct line to the seller. He/she should know more than anyone about the property and the seller. Your agent can funnel your questions to the listing agent. If it’s a competitive market, ask questions such as, “Why is the seller selling?” “Is there is a certain day to review offers or have you had a lot of showings?” In a slow market, ask how long the property has been on the market and what the sellers motivations are. A good agent will engage you because it’s good for the seller.
Be open to meeting your future agent : Some of the best buyer/seller/real estate relationships begin at open houses. With real estate agents, you get to see them in their element. A good agent is wearing two hats at an open house. In addition to watching serious buyers and getting feedback for the seller, an active agent is also looking to interact with future clients. Face to face, informal and relevant, the interaction with an agent at an open house is important. You can get a feel from a person just from a brief meeting. If you sense the agent could be someone you could work with, ask some open-ended questions such as, “How’s the market?” and “What areas do you cover?”
Why open houses have been around for decades : At any open house, there are people at every stage of the home-buying game, just from testing the waters to looking at homes daily, making offers and working closely with an agent. For someone new to the market, it’s helpful to know the best practices for visiting open houses and interacting with the real estate agent. For more experienced buyers, the open house is an opportunity to make a second or third visit, getting a closer look at all the details you may have missed earlier. There are a lot of reasons why open houses have been around for decades – and why you should take advantage of them.
