Real Estate Search Direct

One practice that Realtors employ to find more buyers is to hold an “Open House” at a property that they currently have listed for sale. Statistically, there is no more than a 1% chance of selling the featured house. As a result one might wonder why Realtors even bother with scheduling these events.

A National Association of Realtors study concluded that 44% of people who talk to a real estate agent to discuss the purchase or sale of a home will eventually end up buying or selling within the next twelve months. Therefore if a real estate agent gets 100 people to view open houses annually, they will be talking with about 44 buyers or sellers. The benefits of these events are that they produce leads, produce referrals and keep the real estate agent or the real estate company name visible in the area. They actually do very little for the home seller.

So, when it is known that there is no more than a 1 percent chance of selling the featured property, why is it that so many individuals visit open houses? The fact is that a large number of people want what they cannot have. They shop in stores for high-end products, then buy something that they can pay for. It’s a similar situation for many home buyers. They are attracted to homes that are more expensive than they can reasonably afford. A Realtor who is able to meet with them during an open house event can expect that they will ultimately buy a home priced 20-30% lower than the value of the featured home.

Here are a few tidbits of information that you may not know. There is quite a bit of work performed to prepare for an open house that occurs behind the scenes. While the typical house is open for 3-4 hours, a true real estate pro will work hard both before and after the event. Some of the things a real estate agent does include:

Preparing advertisements to announce the opening Inviting prospects during the week before the event through targeted phone calls and mailings Flyer creation and circulation to other real estate offices Canvassing the neighborhood to spread the word Preparing the home prior to the event including cleaning and staging Planning the layout and then placing directional signs to attract more visitors Food and drink preparation (sometimes) Post open house clean-up

The next time you are out and about and decide to take-in an open house, you will now know more about what is going on. The Realtor has most likely prepared all week for the event. Don’t be afraid to ask her questions about the property, the local community, and comparable homes for sale that you may find appealing. Who knows, perhaps you’ll be one of the 44% of open house visitors who purchase a home during the coming year!

Jim Navary has been a freelance writer and researcher for over thirty years reporting on a wide range of subjects. He is also a licensed real estate agent in the Commonwealth of Virginia specializing in Colonial Heights VA real estate and Prince George VA homes for sale.

Comments (0) Feb 07 2010

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In your search for a home you need to know if your real estate agent is really looking out for your best interests.

When I bought my first home, my real estate agent was most concerned about quickly closing a deal without spending any more time than necessary.

She rushed me through viewing properties and showed me seven or eight very similar condominiums in the same complex in one day.  These properties were all in my price range and matched my specifications.

When it came time to make an offer, I could hardly remember which property was which.  I would have liked to take a second look at a few of them to be sure which one I wanted, but she urged me to make an offer right away.

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Comments (0) Dec 17 2008