Open House
Synonyms: Open Viewing، Open Inspection، Open Day
Last updated: 2026-09-25
Short Definition
An open house is a showing method in which a property for sale or rent is opened to interested visitors during a pre-announced time window without individual appointments, with the broker or owner present to explain the property, answer questions and register interested parties.
Overview
Legal Basis
There is no text specific to open houses, but announcing one falls under the Regulation on Real Estate Marketing and Advertising (Umm Al-Qura, 14/11/1447H – 1 May 2026), whose Article 3 covers exhibitions, public events and social media, while Article 5 sets the mandatory ad data. Article 3 of the Law on Sale and Lease of Off-Plan Real Estate Projects, issued by Royal Decree (M/44) dated 10/3/1445H, prohibits advertising a project, holding exhibitions for it or inviting people to them unless the project is licensed. The visitor sign-in form is governed by the Personal Data Protection Law (Articles 5 and 25), and Article 10 of the Real Estate Brokerage Law obliges the broker to disclose property information when offering it.
Practical Example
A developer with 8 completed townhouses in Khobar priced at SAR 1,450,000 each engages a licensed office to market them. The office announces a Friday "open viewing day" from 4 to 8 pm in a post carrying the ad licence number and a QR code. It prepares a furnished show unit and places a sign-in form at the entrance asking only for name and mobile number, with a separate consent box for receiving later offers. 45 visitors attend, 12 request a detailed second viewing, and two sales are agreed the following month. The office's commission is 2.5% per deal = SAR 36,250, i.e. SAR 72,500 for both deals, paid by the developer who contracted with it, plus 15% VAT. The office sends later offers only to visitors who consented.
Common Mistakes
- ✗Posting the open-house invitation on social media without an ad licence or its mandatory data.
- ✗Inviting people to an exhibition or viewing day for an unlicensed off-plan project — prohibited by the off-plan law.
- ✗Holding an open viewing in an occupied home without clear arrangements with the occupant, leaving valuables and personal items on display.
- ✗Collecting unnecessary detailed data from visitors (such as ID copies or salary) or later using it for marketing without consent.
- ✗No follow-up after the open day, so the benefit of the high turnout is lost.
International Differences
The open house is well established in markets such as the US and Canada, and in Australia and New Zealand the "open inspection" is widely used for both sales and rentals. In Saudi Arabia and many Gulf countries, appointment viewings are the norm for homes, and open viewing days appear mainly in new projects. The Saudi regulatory difference is that the invitation itself is a real estate advertisement requiring a licence, and exhibitions may not be held for off-plan projects before they are licensed.
