There’s one big mistake to avoid when selling your house this year: pricing it too high. It might seem like overpricing gives you room to negotiate or boosts your profit, but in reality, it usually backfires.
In fact, Realtor.com reports that nearly 20% of sellers—one in five—end up reducing their price to attract buyers. You don’t want to be one of them. Here’s why setting your price too high can hurt your sale and how to avoid it.
Overpricing Pushes Buyers Away
With today’s mortgage rates and home prices, buyers are already stretching their budgets. When they see an overpriced home, they don’t think, “I can negotiate.” Instead, they move on to the next listing. As the National Association of Realtors (NAR) explains:
“Some sellers are pricing their homes higher than ever just because they can, but this may drive away serious buyers . . .”
If buyers skip over your home, you’ll miss out on showings and offers—which is the last thing you want.
The Longer Your House Sits, the More Skeptical Buyers Become
An overpriced home often lingers on the market longer than expected. And the longer it sits, the more buyers start to question it. Is there something wrong with the house? Is the seller difficult to work with? Even if the only issue is the price, that extra time raises doubts. As U.S. News explains:
“. . . setting an unrealistically high price with the idea that you can come down later doesn’t work in real estate . . . A home that’s overpriced in the beginning tends to stay on the market longer, even after the price is cut, because buyers think there must be something wrong with it.”
At that point, you may have no choice but to lower the price to generate interest. But a price reduction can be a red flag for buyers, making them wonder if something is wrong with the property.
The Key to Finding the Right Price
So, how do you price your home correctly from the start? Work with a local real estate agent who knows the market inside and out and will be honest about the best pricing strategy.
You don’t want an agent who simply agrees with any number you suggest. Instead, you need an expert who uses real-time data and market trends to determine a price that will attract buyers while still giving you a strong return. Someone with proven experience and a track record of success.
If the price isn’t compelling, it’s not selling. Instead of overpricing and scaring off buyers, work with a knowledgeable local agent who knows how to price it right from the start.
Let’s team up to ensure your house gets the attention it deserves, attracts serious buyers, and sells quickly for the best possible price.
