Pricing a home for sale has always been a challenge and viewed much more like an art than a science. Overpricing Real Estate can be an issue, when priced competitively, a home tends to sell at the higher end of the value range, but if the home lingers on the market for too long, the lower it lands on that range. According to Zillow research, homes tend to sell at 5% less just after two months of being on the market.

The Battle: Price

As homeowners are only concerned about one home, their own, they tend to have a very limited perspective on the real estate market. Agents live and breathe their local markets and being that they work with buyers and sellers, they have first hand knowledge of the market and its trends.

Many homeowners make the mistake of thinking that agents want to set a price for a quick sale and tend to overvalue their homes, but agents are aware when homes are priced right and show well, it will sell.

First Impressions

Price your home right and take your agent's advice of de-cluttering, cleaning, maintenance work, etc., as newly listed homes have much movement in the first few weeks. Avoid making a bad first impression as listings start to lose its momentum and newer listings populate the market.

Price Reduction

After a few weeks or months of inactivity, a reduction on the price is inevitable. Many times if the seller does not price the home correctly, they are forced to come down in price. It is important not to commit the same mistake twice, as buyers might not take them seriously.

Risk of Showing Poorly

When time passes, the chances of showing the home poorly rises, as maintaining the home clean and de-cluttered becomes a chore and hassle. Avoid getting into a situation where your home has been on the market for too long and lose credibility. Price your home correctly and have plan accordingly to how the market trends.