I’m sure a lot of us have heard this floating around out there… Open Houses are waste of time! They’re a pain to setup. They don’t generate business. AND they’re totally full of neighbors and looky-loos who are never going to buy… but guess what… that couldn’t be further from the truth. It’s another myth we’d like to disprove for you this week.
If you can get creative with your open houses, and implement the right follow-up strategies, Open Houses can turn into one of your best sources of business. Want proof? We’ve got some!
First, let’s start with some facts. A 2017 NAR study shows that 50% of all buyers used an open house as part of their home search process. UP from 44% in 2014. Are you surprised?
AND… 63% of buyers 37-51 used an open house as part of their search process.
That’s MORE than yard signs, online video sites, newspaper ads and television!! So the question is – how much business can you make from Open Houses this year?
This is a topic we’ve highlighted before, because it’s an important one. Lots of REALTORS will host open houses every year, but we want you to get business from yours and not sit around waiting for the event to be over. In fact, just last year we covered the “6 Tips to Get the Most from Your Next Open House” which has strategies for:
- Getting people to the open house,
- A checklist for that day,
- Hosting a neighbor open house and interviews
- And even our Follow-Up Blueprint.
Since we’ve already covered the best strategies for using the Open House to sell a home, let’s talk about the extra power an Open House can have for your business.
Many agents see an Open House as a particular type of tool in their tool belt- but they’re not seeing it as the RIGHT tool. What I mean by that, is a lot of times agents think the only reason they’re hosting an Open House is to sell the property the Open House is for… I mean… that makes sense right? The Open House tool is a hammer, right? But maybe that hammer can ALSO be a screwdriver.
In reality though, selling the home that the Open House is for, is actually just one of many ways Open Houses can help your business.
How Open Houses Can Help
First, Open Houses give you an opportunity to show off who you are, your brand and the types of marketing that you do for your clients. Use every event you do, including your Open House as a chance to get the word out about your services. Remember, every chance you can take to naturally remind people you’re a REALTOR, the more referral business you tend to drive. Social media is key here, but remember to also send an email to your contacts about your events too!
Now you might be saying: “but all the people I’m getting at my Open House are just neighbors!” So what if everyone through the home were the neighbors? (even though they’re not… remember the stat above)! You just got an opportunity to show all the neighbors what a great job you’re doing promoting this home. We even have some tips for hosting a neighbor-only open house here.
To go even further than that though, we’ve found that many buyers are found through direct and indirect referrals from neighbors, friends and acquaintances. So as a SPECIAL BONUS this week, we’re providing a template letter you can send to the neighbors, straight from our 3-Steps Ultimate Real Estate Success System. (See below to receive the template letter.)
Agent and Broker Open House
Beyond neighbors though, what about hosting an Open House strictly for other Agents and Brokers? (A “Broker Open”) Remember the stat from above. 92% of buyers used an agent as part of the buying process. So why not show those other agents what a great home it is and work together to promote the property. Many times agents will know a client this home is perfect for after seeing it. This can also create a sense of urgency around the property. Plus, in a worst case scenario you’ve received valuable feedback about the home and your pricing compared to the market.
Why go it alone? Group Open House
In the spirit of working with other agents, we’ve been hearing from agents in our community since 2009 (maybe even before) that hosting group open houses are a great strategy. We’ve seen this strategy pick up popularity in the last couple years, but there are reasons this has been a consistent favorite of agents.
Many agents like that they can consolidate and split up some of the work and cost that goes into putting on an Open House. Plus, attendance numbers tend to be better because you’re promoting it to a much larger audience with multiple agents.
Whether you’re partnering to host an open house, or out there doing it on your own, Open Houses can turn into one of your best business generating strategies. Have some other tips and tactics? We’d love to hear from you. What works for you?
To receive our template “Letter to Neighbors” please enter your information below – then check your email. This letter is an example of some of the ready-to-use letter templates you can get as part of our 3-Steps Ultimate Real Estate Success System. You’ll also get an email invite to a free webinar training.