While technology continues to impact the business of real estate at a rapid pace, open houses have pretty much stayed the same. Why?
Even as virtual open houses or live stream open houses became more commonplace during the COVID-19 pandemic, this tried-and-tested means of getting potential buyers in the door of a seller’s property while generating buzz amongst REALTORS® doesn’t look to be disappearing anytime soon.
Effectiveness is keeping open houses a primary means of selling a property, say REALTORS® who continue to rely on open houses as a potent and comfortable means of matching sellers and buyers.
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Tech drives traffic but doesn’t replace the physical tour
Miles Takacs, a salesperson and REALTOR® in Victoria, British Columbia says that, regardless of advances in tech, viewing a home virtually rather than physically, while popular during the pandemic out of necessity, will not supplant open houses in his lifetime.
“About 90% of the time people are finding open houses through some kind of online platform, so that tech is there, driving traffic,” he says. “Yet, people will then come to an open house and say they thought the room was smaller or larger than what they saw online, so there is still a real benefit of seeing a home with a REALTOR®,” says Takacs.
Toronto broker and REALTOR® Janice Fox echoes this sentiment.
“Real estate sales are still a face-to-face, in-person business, despite the technology available,” says Fox. “Buyers still need to visit the property, with some exceptions, and understand what they are buying.”
A lot of buyers take the opportunity to visit several properties on weekends and appreciate that open houses are available, she says. A buyer’s first “real” introduction to a property is through an open house and that can translate into a sale.
“It gives the buyer lots of time to wander through the property and bring in other family members, too. Nothing beats a positive personal interaction.”
How to make an open house stand out
The way Fox makes open houses stand out is simple: by being prepared with answers to questions that could come up and providing solid information on the property and area. She and her team provide some tech but nothing that could overwhelm visitors.
“We generally provide access to a QR code that will give a visitor all the photos and videos and details about the property without wasting paper. A lot of buyers appreciate that and can then forward the info on to their friends or families,” Fox said.
The QR code speaks to the evolution of technology and adoption of it. Years ago, many people wouldn’t have known how to use QR codes. Now, QR codes are commonplace and are readable with apps on most smartphones.
Cody Battershill, a salesperson and REALTOR® in Calgary, Alberta says promotional, pricing and presentation strategies are a big part of selling. A well-prepared open house can bring all these elements together for maximum impact. In Calgary, they’re still popular and there can be hundreds of open houses on any given weekend.
“When you plan an open house, you want to maximize the exposure to get the most traffic,” he says. “When possible, we try and get signs up ahead of time so that drive-by traffic knows there is a weekend open house.”
Social media and online advertising are also effective ways to attract buyers who aren’t working with a REALTOR® yet. If they are working with a REALTOR®, it’s still an easy way to come in and check out the home rather than having to make an appointment.
Battershill believes an open house is a great way to complement other marketing activities, regardless of if the house has been updated or renovated.
“Technology will not replace the physical experience of walking through an open house. If a potential buyer wants to know what renderings or renovations or additions would look like, that’s another discussion that you could have as part of their decision-making.”
More from CREA Café:
- Tips to Keep REALTORS® Safe While Using Social Media
- How Video Can Help REALTORS® Get Noticed
- 9 Things Sellers Should Never Leave Out During an Open House
- The Evolution of Open Houses
Consider add-ons such as prize raffles
Toronto salesperson and REALTOR® Christopher Proulx has decades of experience with show homes and, as technology develops, he believes some old-school strategies still work, including prize raffles.
“I’ve found that if you offer even, say, a $30 Tim Hortons gift card in a raffle it can be effective,” he says. “It can get people to come to an open house if you mix it in with your other marketing. Some people say they aren’t planning to buy but, in my experience, once they are in the house and they look around, they can change their minds.”
Chilliwack, British Columbia salesperson and REALTOR® Hanne Selby has been doing open houses for 39 years, bakes fresh macaroons and presents them as a gift to visitors, along with natural soap that’s handmade by her daughter.
“Giving a little gift opens conversations with people who might feel nervous coming in and it gives them a feeling of trust as well,” says Selby. “The important thing to remember about an open house is that if you get a buyer, then it’s always worth it.”
Some potential buyers are “open house hunters,” Proulx says, researching all the open houses in a neighbourhood that they’re interested in so they hit them in a day without bringing a REALTOR®. And while many sellers aren’t keen on their neighbours coming in and poking around, those neighbours can turn into buyers or spread the word with friends and family.
