If you’re trying to sell your home, it’s likely your real estate agent has suggested hosting a broker’s open house. But, what is that, exactly? Long story short, it’s an open house not for home buyers, but for their real estate agents so they can determine whether your property is right for any of their clients. Here’s how to decide how to make the most of this marketing opportunity—and maybe snag a great buyer for your home.
How a broker’s open house is different
The biggest difference between a broker’s open house and a standard open house is who ends up on the invite list. While standard open houses are quite flexible about who can stop by—and might include anyone from potential buyers to curious neighbors—the guest list for a broker’s open house is strictly limited to other real estate agents and industry professionals.
Time is another differing factor for this real estate open house. Usually, standard real estate open houses are hosted on Sunday afternoons, because the vast majority of potential buyers have weekends free for house hunting. On the other hand, because a broker’s open house caters to real estate agents—whose weekend schedules are often packed with home showings for clients—it is often held midweek, when agents are more likely to be available.
What happens at a broker’s open house?
At its core, this open house home-selling tactic is another tool that real estate agents use to help market and sell a property. In addition to internet marketing systems like the multiple listing service, it’s a method of debuting your listing to real estate professionals in your community. Once your agent schedules a broker’s open house, he will advertise it to his network of real estate industry contacts. Usually a free lunch is also offered as an incentive to show up.
On the day of this real estate event, the other real estate agents will be given a chance to tour your home, enjoy the free lunch while catching up with colleagues, and offer your agent their opinions on the property.
Typically, broker’s open houses are held within the first few days of a home being put on the real estate market in order to capitalize on the initial burst of interest that often accompanies new listings. But if there is ever a dramatic adjustment to how your home is being marketed—such as a significant drop in price—your agent may suggest hosting another broker’s open house to spread the news to potential buyers and clients.
The benefits of a broker’s open house for sellers
If you’re the type of seller who doesn’t relish the idea of opening your home to crowds of looky-loos who’ll tramp through your outdoor property, the garage, and all of your rooms—plus open every closet and medicine cabinet—then a professionally targeted broker’s open house may be appealing.
If all goes according to plan, the real estate agents who tour the house will go through their mental Rolodex to see if your property would be a good fit for any of their current buyers. If so, they’ll likely bring those possible buyers back for a private showing in the near future, especially if the broker’s open house was well-attended.
“It creates a sense of urgency”, says Stephen Marchese of Re/Max Central in Blue Bell, PA, “and, a higher-perceived value of the house.”
However, even if an offer doesn’t come directly from the broker’s open house, it can offer a valuable critique of how your home looks in comparison with other properties currently on the market in your area. Since real estate agents regularly have the chance to view a variety of homes, they have the ability to give your agent feedback on how your home is being perceived by other agents and homeowners—and how to better attract buyers and help it sell.
The post What Is a Broker’s Open House? A Smart Way to Market Your Home appeared first on Real Estate News & Insights | realtor.com®.