A common misconception in the NJ home-selling business is that open houses hold the key to a successful sale. According to the National Association of Realtors survey, a very small percentage of home buyers first found out about their home through an open house held in NJ. One of the reasons for such a low percentage is that an open house in NJ is available to anyone in the public. It also limits the ability to prequalify people before they enter your home. People who attend open houses are most likely to be the ones who have just started looking around and are trying to identify and determine their preferences. They may not even be pre-approved for a mortgage or have viable financing in place, and therefore, are no good for a serious home seller. On average, homes sell within the first 30-60 days, but most people who attend open houses are still 90-120 days away from seriously making an offer. Why waste time on inexperienced buyers? Moreover, open houses create more risk for a seller, as it invites many undesirables into the property.
Why Do Agents Have Open Houses in NJ?
That said, you may be asking yourself; Why does anyone have open houses in NJ? Or you may be thinking that many people have had open houses in NJ every other week and sold their homes. While people continue to have lots of open houses, I would be willing to bet money on the fact that they did not find their buyer through the open house. Besides, some real estate agents, especially those who are in their nascent stage in the business, use open houses as a way to attract future buyers, not necessarily the buyers for your property. These agents may get several listings through referrals, but they are unlikely to be a listing specialist. Additionally, they may use open houses as a way to prop up their buyer business, which may or may not help you sell your home. There are some situations that call for an open house, but they are not common. Once such scenario, is that if there is an overwhelming number of buyers who want to see the house, it could be better to conduct an open house so that everyone has a chance to see it. However, this is a special situation, and is determined by the marketing response received at the beginning of the listing.
One Size Fits All
Note that a good listing agent will not use a one-size-fits-all strategy for open houses nor utilize them as a base for their marketing plan. The main job of a good listing agent is to sell your house at the highest possible price in the least amount of time along with the least amount of hassle and stress on the seller. And open houses do not necessarily provide a faster sale or less stress. Rather they may create more stress, as most people do not want to leave their houses for 3 hours on a Sunday afternoon. To sell your house for top dollar, market it through a highly targeted plan that not only brings in highly qualified buyers but also makes offers within the first 30-60 days based on the current market environment. You are unlikely to accomplish such deals through open houses.
Today, a successful marketing plan for your house will be based on a combination of digital marketing and direct marketing including direct mail and telemarketing. Network marketing also remains a key to success in personal spheres of influence, including past clients, real estate agents, competing brokerage offices, relocation agencies, and personal and business contacts. For nearly
98% of the time, open houses will not be included in such a marketing strategy. However, there may be certain situations in which open houses in NJ could benefit the seller. These situations do not account for the majority of the time (2%) and are only determined on a case-by-case basis. Furthermore, it would not be considered intelligent to take marketing dollars away from a highly targeted effort and put them on open houses which statistically have the least chance of bringing you a ready, willing, and able buyer.
If you are thinking selling your NJ home, and want more than a one-size-fits-all marketing plan, fill out the contact form below, or visit our webpage about selling your NJ house.