Fishing for business: Open houses versus private showings

As real estate professionals, we’re in the business of connecting our sellers with potential buyers. To tackle this, we conduct open houses and private showings. But how do you know which real estate strategy will get more bite? Using the tried-and-true fishing analogy, Weichert® will guide the way.

Open houses cast a wide net

Imagine an open house as casting a big, strong net into a vast ocean. You’re hoping to attract a variety of fish—or in this case, buyers—with one big sweep. Quite simply, it’s a numbers game. The more people you get through the door, the higher the chances of hooking a buyer (and potentially sellers for that matter). In addition to the main catch, you’re likely to also gather some unintended gems, like the neighbor who suddenly sends a stream of referrals your way.

Open houses are also great for generating buzz and creating excitement around a property. They can help you identify potential buyers in the area and gather valuable market feedback. This can serve you well in your marketing efforts, offering you opportunities for creating content on your website and social platforms. However, open houses welcome everyone to the party boat, including the non-serious “just looking” weekender. So, not every catch will be worth your while.

And finally, open houses give you an opportunity to advertise in your community. By putting up signs around the neighborhood every weekend, you’re telling even non-event attendees that you’re active in the real estate game and are committed to helping your clients.

Private showings toss a smaller net

On the other hand, private showings use a specific lure to attract a particular type of fish. You’ve already qualified the buyer, and you know they’re interested in the property. You can personalize your presentation to their specific interests and address any questions or concerns they may have.  

However, private showings remove the energy and excitement of an open house. In real estate, perception plays a role in a sale. An open house that’s filled with lots of people mulling about for the same hot property can create a sense of urgency and even stir up a bidding war. Private showings are also less marketable, which means less news to post about.

When to use which approach

So, when should you use an open house versus opt for private showings? It depends on your goals and the specific property you’re selling.

• Open houses are ideal for:

  • Generating initial interest in a new listing
  • Creating a sense of urgency and competition
  • Planning a multi-sensory event (think candles, snacks, etc.)
  • Gathering market feedback
  • Identifying potential buyers and sellers in the area
  • Standing out in a neighborhood and community
• Private showings are best for:

  • Qualified buyers who have expressed interest
  • High-end properties
  • Properties with unique features or challenges
  • Building rapport and trust with buyers
  • Accommodating buyers who may need scheduling flexibility

Landing the perfect catch

Wide net or small net—as you can see, there’s merit in casting them both. It just depends on the circumstances. Quite often, the most effective approach involves a combination of both open houses and private showings. By carefully considering your target audience and the property’s unique selling points, you can create a strategic plan that maximizes your chances of reeling in a big catch—a successful sale.

The Weichert View

So, yes, while private showings can be effective, we believe that open houses are still a cornerstone selling tool for successful real estate brokers and agents. Open houses generally offer a more effective approach for several reasons:

• Unexpected buyers and sellers: Many buyers discover their dream home through open houses rather than targeted searches. And often, they may not have representation yet or better yet, also have something to sell.
• Competitive offers: Increased foot traffic often leads to multiple offers, driving up the property’s value.
• Neighborhood exposure: Open houses can attract potential buyers from the surrounding area who may not have considered the neighborhood before.
• Agent visibility: Hosting successful open houses enhances your reputation as a top-performing agent in the market.

Check out our other blogs on hosting effective open houses.

While private showings can be valuable, Weichert knows that open houses continue to offer a powerful and effective way to showcase properties, attract buyers, and generate excitement. By embracing the open house format and implementing strategic approaches, you can increase your success and continue to build a thriving real estate business. 

Weichert is here to help. Reach out to continue the conversation.