While the goal is to get the highest possible closing price in a reasonable amount of time listing a property above market value often turns away prospects and decreases the likelihood of a successful sale (see chart A).  An overly aggressive price prevents a property from taking advantage of a key driver in property marketing – timing.  It is well known that a property attracts the most excitement and interest when it’s first listed (see Chart B).  If a property is priced above market value, it does not appropriately benefit from the peak interest period.  This may ultimately lead to a sale below market value (see Chart C), or no sale at all.

The initial asking price is a critical aspect of your property marketing plan. Statistics show time and again that homes that are priced properly when first brought to market sell at a higher sales price, oftentimes with better terms and conditions, and in a shorter time frame. “Testing the marketplace” with an inflated over-market value asking price is rarely the best strategy.

Share this:
Mark Danforth Lomas

Recent Posts

Curious California Real Estate Factoids for 2025

 March 19, 2025: Home sales are down in California, and prices are rising, with a…

5 days ago

Southern Santa Barbara Real Estate March Overview

Southern Santa Barbara, stretching from Carpinteria to Gaviota, offers a unique blend of coastal charm…

6 days ago

“Live” Santa Barbara Real Estate Statistics

The southern Santa Barbara's real estate market offers a fascinating glimpse into the dynamic interplay…

2 weeks ago

Southern Santa Barbara Real Estate Insights

In 2024 the southern Santa Barbara real estate market saw a 16% increase in inventory.…

1 month ago

Lights, Camera, Santa Barbara Film Festival!

The 40th Annual Santa Barbara International Film Festival is rolling out the red carpet Tuesday,…

2 months ago

Santa Barbara Real Estate Insights

The Santa Barbara real estate market in 2025 is quite dynamic and continues to attract…

2 months ago