Home For Sale Pricing Pitfalls: How to Avoid Common Mistakes

When selling your home, one of the most critical decisions you’ll make is determining the right price. While it might be tempting to price your property high and "test the waters," doing so can often backfire, leading to several pitfalls.

In today’s competitive market, where homes are bought and sold quickly, pricing your home correctly from the start is essential to attract serious buyers. Let's walk through a few common mistakes and how to avoid them when pricing your home.

Common Pricing Pitfalls

"I’ll Start High and Lower the Price Later"

Many sellers believe they can start with a high price and adjust it down later if needed. However, this strategy can waste your home’s most valuable marketing period—its debut.

The first two weeks after listing are crucial. During this time, your home is highlighted by your agent at broker meetings, and buyers who have been searching for months will see your property as a fresh opportunity. If the price is too high, you risk losing out on serious buyers who might otherwise have been excited by your home. By the time you lower the price, the momentum has been lost, and your home may no longer be top of mind for brokers and buyers alike.

"Buyers Can Always Make a Lower Offer"

Another common misconception is that buyers will simply make a lower offer if the price is too high. In reality, this strategy can backfire because an inflated price positions your home in the wrong market segment. Buyers searching within the price range you’ve listed will compare your home to others in that range and find it lacking in value. Meanwhile, buyers who are searching for homes at the true market value won’t even see your listing because it’s priced outside of their budget.

This approach ultimately reduces the visibility of your home to the very buyers who might be interested in it, limiting your chances of a successful sale.

Maximize Interest with the Right Price

The more buyers who are interested in your home, the stronger your position as a seller. By setting a realistic price from the start, you create buzz and attract the attention of buyers and brokers alike. I’ve seen firsthand how multiple buyers can quickly turn a well-priced listing into a competitive bidding situation, often resulting in offers above the asking price.

When you price your home strategically, you’re in control. You’re not obligated to accept any offers that don’t meet your expectations, but you’re putting yourself in the best position to receive offers that align with market value—or better.

In Summary

Resist the urge to overprice your home. The key to success is to price it realistically, especially during the first two weeks when your property is getting the most attention. A thoughtful pricing strategy can create the momentum needed to draw in multiple buyers and, in many cases, lead to higher offers. The more excitement and interest you can generate, the better the outcome for you as a seller.

Let’s work together to create a pricing plan that puts you in the driver’s seat, ensuring your home stands out in today’s competitive market.