There are both pros and cons of holding public open houses on your listed property. Some agents feel they are a waste of time, but there are certain advantages if you are willing to put up the accompanying disadvantages.
First the pros of holding an open house:
Hosting an open house allows buyers to look first before they schedule a formal showing with their agent. This allows buyers to visit an open house out of curiosity without having to go on record as having expressed any interest in the home.
In subdivisions where there more than one home is on the market, hosting a group open house is a creative approach to attracting more traffic. Of course, there is always the possibility that a home other than yours might be sold, but if the homes differ in style, price, number of rooms, you might want to consider it.
Holding an open house might get your house seen because buyers are visiting other homes in your area. Perhaps the buyers didn’t select your home from the list the agent forwarded to them, but might find it appealing if they actually visited it. This type of buyer may not request a showing on your home, but they might visit your open house.
Now the cons of holding an open house:
Not everyone who views your home will be pre-qualified. It's not uncommon for visitors to comment how nice your home is and how they wish they could afford it, when in fact they are just "checking out the area" but are not serious about buying your home.
It is very important to be aware of potentially unsafe visitors. You will want to put your kitchen knife block safely out of sight and pack up your valuables. If you are a single woman, the fact that there are no men's clothes in the master closet could expose you to risk. Trust your instints and have your cell phone with you at all tims. If a visitor seems suspicious in any way, don’t allow him into your home.
Your listing agent must ask you before you sign your listing agreement if you would be willing to have her represent both you and the buyer in your transaction. THis is called dual representation. The disadvantage of dual-representation is that your agent cannot fulfill all her fiduciary responsibilities to both parties.
For example, you are owed a complete disclosure of any information that could help your negotiating position, and your agent must keep confidential any of your information that could compromise your negotiating position. But by representing both parties, complete disclosure cannot be given to one without compromising the confidential information of the other. Therefore, if your agent is hosting an open house in your home and you have not agreed to dual representation, then she must share with visitors that she is representing you.
