The price tag you place on your property is undoubtedly the most important of all the factors that must be considered when selling. REALTORS® and appraisers are excellent resources to help predict value, but the market is ultimately what determines it.

When pricing your property, you must consider the price of similar properties currently on the market, similar properties that have sold, and the unique characteristics of your own property such as condition and amenities. Remember, there is a price to compensate for any condition. To arrive at the price that will turn your listing into a timely and profitable sale, it is important to forget the lingering thoughts of how much capital you’d ultimately like to walk away with and focus on what the market will support.

When considering price, it is helpful to remember that every aspect of the property must be looked at from a potential buyer’s perspective.

The Risks of Overpricing:

  •  Reduces sales associate activity
  • Minimizes advertising response
  • Loses interested buyers
  • Attracts the “wrong” buyers
  • Discourages or eliminates offers
  • Can lead to mortgage rejections
  • Helps to sell the competition
  • Property gets a reputation to be stale
  • Later price reductions tend to generate low/delayed offers
  • Pride reductions send the wrong message