Why it’s not a good idea to overprice your home in our current market.
“Why can’t I price my home however I want and see what happens?” Many sellers ask this question when they first meet with a real estate agent, and I understand why. After all, you want to get the most money possible out of your home. Why not price it high and see what happens? Unfortunately, overpricing your home comes with many risks.
Let’s say you price your home optimistically to see what happens. In our shifting market, it’s unlikely that buyers will view your home if they think it’s overpriced. Your home could sit on the market for a long time without any offers. Eventually, you lower your price to attract more buyers.
If you price your home correctly up front, you can still sell
quickly and with multiple offers.
So what’s the big deal? No harm, no foul—right? Unfortunately, our market is trending down right now. You might lower your price to what would have been reasonable when you initially listed, but now your reduced price is also too high. You’ll have to keep lowering your price to keep up with the market. In fact, I know a seller who had to chase the market for seven years to sell their home during the last downturn.
If you price your home correctly upfront, you can still sell quickly and with multiple offers. Maybe you have a unique property that breaks the normal rules of the market, but it isn’t likely. Instead, I recommend you work with an experienced real estate team to get the best deal possible for your home.
If you have questions about today’s topic or anything else related to real estate, please call or email me. I am always willing to help!