One of my colleagues has a condo for sale, and he has done a few open houses since he listed the property a couple of months ago. He advertises in the local papers, in the MLS, on the street signs and at the building’s main entrance, so there’s no doubt that people in the area (or looking at the ads) know there’s an open house.
The first one had two to three visitors. The second time had one visitor, and ever since then, every time they held an open house (Sunday 2:00 to 4:00 PM) no one else had ever showed up.
So here comes the question I often ask my peers:
Is it worth doing open houses for Condos?
And the answer, at least in my opinion, varies depending on a few factors.
- The building is located in a highly transited residential area. In this case, there will be other properties for sale, with that, other people looking at the units as well, creating more traffic towards one’s property.
- Good weather conditions; on a nice sunny day people like going out for home visits. Contrary to that, holding open houses on a (heavy) rainy day, or extremely cold, and let’s not forget to include: when a snow storm its expected, it has been proven to be a complete waste of time. For obvious reasons.
- If the condo has been recently listed. The new “unit for sale” will get the buyer’s attention for a Sunday visit. It will be smart to hold a couple of open houses to get the interested parties in – be it buyers or brokers. But in the case that the condo has already been in the market for a while [months], with no offers, there is no point to hold open houses before addressing the more important issues, like say, pricing or marketing, (whatever the case may be)
According to Real Estate statistics, only 1% of buyers come from an open house visit.
I can already hear some saying: “Yes but I had a sale where the buyer came from an open house”. And yes, it has happened to many in the course of their real estate careers. However, this is the exception, not the rule.
So before asking your broker (or telling your client, if you are a broker): “Do open houses every Sunday until it gets sold” You might want to reconsider using [or having the broker use] that valuable time and invest it in other ways to market the property.
Love to hear your comments on this topic. I know many of you won’t agree, and I would like to know why do you think open houses are good to hold in condos.
Posted by: Deya Bautista - Real Estate Broker working as part of the McGill Immobilier team. Specializing in high end condos in downtown and Old Montreal. For buying or selling contact Deya at: 514.917.7889 
Here's my take on open houses. The agent open house is critical to get the right buzz going around the property. A public open house is completely random as to whether it will pay off but does tend to ensure that buyers that frequent these open houses are better educated on the true value of properties in the area.
I have found lately many agents holding what is essentially a 'neighbour's open house'. The property is listed, they hold the agent open house, then one public open house that really caters to the local residents. Frequently, new residents know someone in the area, meaning they have been recommended by someone that already loves the location. Having an open house for the locals generates the right kind of buzz with neighbours and gets them talking to their friends that might be interested in moving to the area.
For condos specifically, especially where it's a secure building, I have found it often difficult to gain access and so while I might check in on an open house I happen to pass by, I don't plan in advance a series of condo open houses – it's easier to ensure access by booking an appointment thru my agent.
Having said all that, I'm curious about the 1% statistic. I suspect the number reflects buyers without an agent that showed up at the open house and then bought from the listing agent. Many more may have seen the unit at an open house then went back to their agent for a formal showing and then purchased, which probably wouldn't count towards the statistic. I have a number of friends that are looking for a new place but don't 'need' to move and therefore prefer to use open houses where possible rather than bothering an agent for a visit (they know it will take a while and a lot of visits). Removing the open house option would make them less likely to see listings, potentially then missing that perfect property they just happened to stumble upon.