Why Overpricing Can Hurt Your Home Sale

By DeVonna Meyer

DeVonna has spent over 43 years building lifelong relationships in South County and has sold hundreds of homes from San Jose, Morgan Hill, Gilroy, and Hollister Cities.

Are you planning on selling your home this spring? Then you should know that pricing your home correctly is crucial to selling successfully. Overpricing may seem tempting, but it can lead to a longer time on the market. This could cost you more in the long run and you may lose at the best deals possible. Today, I’m going to break down why pricing is so important and how you can get it right:

Why does the right pricing matter? Pricing your home correctly from the start is one of the most important steps in the selling process. If your home is priced too high, it can scare away potential buyers. Even if your property is in great condition, a high price can make it sit on the market longer than it should. As the days tick by, the likelihood of getting the price you want decreases as buyers tend to lose interest in your property. This is why the first 30 days on the market are critical as it can determine whether you will get offers or not. Homes priced right from the beginning often sell faster and, in many cases, above asking price.

The risk of overpricing. It’s easy to think you can test the market with a higher price, but this can be a huge mistake as you may lose the best opportunities. Homes that linger on the market without any offers are often forced to drop their price, which gives the buyers a perception that the home isn’t worth the asking price. The longer your home stays unsold, the less likely you are to achieve your target price.

How do you determine the right price? The best way to price your home is to work with an experienced real estate agent who can provide a Comparative Market Analysis (CMA). This analysis compares your home to similar homes that have recently sold in your area. With this data, you’ll get a realistic picture of your home’s value and the current market trends that could impact your sale.

A CMA takes into account various factors like location, size, and condition of the home. Your agent will guide you through these details to ensure you’re setting the right price for your market.

Be realistic and open to feedback. When you work with an agent, it’s important to stay open-minded. Your agent will provide valuable feedback based on the market, and it’s essential to listen to it. Sometimes, emotions can cloud judgment when selling your home. If feedback suggests a price adjustment is necessary, it’s important to consider it to ensure a quicker sale. Being realistic about your expectations and making adjustments based on market conditions can make a huge difference.

Selling your home shouldn’t be difficult. With the right pricing strategy, you’ll attract motivated buyers and get your home sold faster. If you’re ready to sell your home this spring and you have questions, feel free to call or text me 408-547-4362 at or email me at devonna.meyer@exprealty.com. I can help you determine the best price and strategy for a successful sale.