Open House Questions - Use the Opportunity to Do Self-Education

Open houses are a time-honoured tradition in real estate because they give agents a prime opportunity to showcase a for-sale home, meet prospective buyers and schmooze with neighbours who invariably drop by.  However, less than 10% of homes are sold through an open house.  

Many agents are eager to quiz open house attendees about their home-buying plans. "How long have you been looking for a home? Are you working with an agent? Are you pre-qualified for a mortgage?" they ask. Why not turn the tables? An open house can be an opportunity for you to get information about for-sale homes and the housing market. Here are some questions you might want to ask:

1. Are you the listing agent for this house?

Busy agents sometimes arrange for a partner, colleague or assistant to do the honours at an open house. Don't assume the person on-duty is knowledgeable about the house.  (Remember the agent works for the interests of the vendor, not yours, so be somewhat cautious - and I don't mean dishonest -  in what you say.  Remember   You may end up feeling good about this agent and want to use his or her services, so be open to "dual agency.")

2. How long has this home been on the market?

Well-priced homes in good condition generally don't last long. Unless the local market is unusually weak, you'll want to know why a particular home has become a "stale listing." Is it overpriced? Are there hidden defects? 

3. Have the owners received any offers and, if so, why weren't those offers accepted?

If the sellers rejected offers that were too low or had difficult conditions, you may as well find out before you make the same mistake.

4. Why are the owners selling this house?

Understanding their motivations and needs will help you put together a strong offer that takes their priorities and timetable for moving into consideration. Are the owners relocating out of state? Buying a newly built home that's under construction? 

5. What furniture and fixtures are being sold with the house?

If you're thinking of buying the home, there's no time like the present to ask whether the dining room chandelier, fancy window coverings and appliances are included. Questionable fixtures and furniture should be itemized in the offer to purchase, regardless of any prior conversation.

6. Are any special costs of ownership attached to the property?

Is there a condominium association that levies fees and assessments? If so, who manages its affairs? Is the home located in a special property tax assessment district? If so, how much is the annual tax assessment?  Are there any other hidden costs of ownership?

7. Are you familiar with other homes on this street and, if so, how does this one compare to the others?

A sharp agent might be able to tell you about very recent sales in the neighbourhood or other homes that might be coming on the market. If the residence is a older house, the agent might be able to suggest remodelling ideas he or she has seen in neighbouring homes.