I was talking with one of our agents the other day, and she showed a client of hers another real estate firm’s listings that had a lockbox on it. She was asked many questions by the buyer pertaining to the property, which she could not answer because the other Realtor® was not present. I have always felt that unassisted showings were not in the best interest of sellers and that lockboxes can be problematic without the listing agent present at the showings.
What types of lockboxes are commonly used?
Combination lockboxes
This convenient gadget contains the home’s key, allowing the buyer’s agent and their clients to access the home when the seller isn’t there. A spin-dial or push-button combination is used.
Electronic lockboxes
These Bluetooth-enabled lockboxes are connected to an app that agents must use to access a personal code to open the box. This provides enhanced safety because the codes are trackable to see who opened the box and the time they showed the property.
However, the real problem is unassisted showings.
Think about it: you’ve hired an experienced Realtor® to list your property, and wouldn’t you expect them to show your property vs. putting a lockbox on your home? The benefit of a listing agent being present at the showing allows the agent to showcase the property and all of its highlights, including property boundaries, septic, well, & heating components, and at the same time, make sure that the property and contents are secure when all parties leave. Additionally, we live in a region where 20-60% of the homes are vacation properties where the owners are out of town and the properties need much more oversight.
Here are some examples of what can happen with an unassisted showing using a lockbox:
- I saw one example years ago where an agent from another office showed another Realtors® home using the lockbox unassisted. The agent came up from the basement and flipped off the oil burner switch, thinking it was the light switch, and left with their clients. Unfortunately, it was January, and it was a second home. The owner was away, and the pipes froze. The water damage was so severe that the entire house needed to be stripped to the studs, resulting in huge damage because the heating pipe that burst was on the second floor. If the listing agent had been present at the showing and had closed up the house properly, this major liability would have been avoided.
- It is possible that the showing agent could miss checking all the door locks and windows when leaving. There have been cases when the “so-called buyers” opened the lock on the lower slider or a window while viewing the property and later went back and stole some of the owner’s valuables. If the listing agent had been present at the showing, the agent would make sure that the property was completely secure after the buyer and their agent exited the home. This includes checking all rooms, door locks, window locks, light switches, and floodlights are turned off.
- A real estate agent could accidentally reveal the code to the lockbox. They may have it written down somewhere which could get lost at the property or at the office, or provide the access code to vendors who do some work on the seller’s home.
- A lockbox attached to a home’s doorknob often advertises that the house is empty, and you really don’t want to invite burglars or squatters who can damage the house or steal its contents.
- With a lockbox/unassisted showing, the listing agent is not there to answer questions about the property while the buyer is there. Also the listing agent can point out details of the home that the buyer might miss. After all, you’ve hired the listing agent to market and sell your home, so why would the agent not be present?
- Homeowners generally dislike having strangers look through their property. Sellers, therefore, feel more comfortable having their agent attend showings and make sure the property is secure and supervised. They also like to get feedback from the listing agent after the showing. If you’re not present to interact with the buyer, it’s difficult to provide feedback to the seller.
- If the house is totally green or has incredible technology, solar enhancement, energy conservation construction techniques, and is located in an association with covenants, restrictions, and dues, it would be helpful to have the listing agent present to go over the details. You might have right of ways or easements to explain or tree cutting rights or access to a lake details. If it’s new construction, there’s an unlimited number of questions to go over, such as landscaping and appliances, cabinet allowances, floor covering choices, heating options, and a host of other questions you need from the listing agent who represents the seller.
- When a listing agent is present at all showings, they are able to monitor the comments on the property, especially on the price, to keep the seller informed of price reductions or improvements if needed.
- I’ve seen agents just show the home or condo in a planned community and not even show the amenities which add tremendous value. Take South Down Shores & Long Bay or The Grouse Point Club, for example, almost a mile of shorefront at the first of two communities, sandy beaches, pools, yacht club, boat storage racks, tennis courts, clubhouses, boat slips, and walking trails plus a 7,000 sf. clubhouse/indoor pool facility at Grouse Point. A good listing agent showing the property has an opportunity to show the huge benefit you gain when purchasing within a planned community with all of the amenities. Also, all of the covenants, restrictions, and association dues can be fully explained.
In summary, there are certainly advantages to using a lockbox, especially the convenience factor; however, you have to weigh the disadvantages of simply putting a lockbox on a home and offering it for sale without assisted showings from your listing agent. I’m old school and I’m proud of all of our Realtors® at Roche Realty Group who work hard to best represent and protect their sellers. It’s a lot of work attending all of the showings however, isn’t it why we were hired in the first place?
This article was written by Frank Roche. Frank is president of Roche Realty Group in Meredith, NH, and can be reached at (603) 279-7046. Please feel free to visit www.rocherealty.com to learn more about the Lakes Region and its real estate market.
1 thought on “Disadvantages of Lockboxes and Unassisted Showings”
As a real estate agent licensed in Illinois and Indiana, I was surprised that Indiana was almost all electronic lockboxes and Illinois was about 50/50 combination locks to electronic locks. I personally prefer the electronic lockboxes for security of the sellers as they are more secure than combo locks because there is not a constant code.
Nice article!