Why Overpricing Your Home Costs You More

Many sellers believe that listing their home higher leaves room for negotiation. In reality, overpricing often does the opposite—it can end up costing you both time and money.

The first weeks on the market are the most important. That’s when your listing gets the most attention from serious buyers who are actively watching new inventory. If a home is priced too high, it risks being ignored altogether or compared unfavorably to better-priced properties. Once buyers pass it over, it becomes harder to generate fresh interest.

Overpriced homes also tend to sit longer on the market, which can create the impression that something is wrong. As days on market increase, buyers become more cautious and often expect price reductions or deeper discounts. By the time the price is adjusted, the momentum is gone—and sellers may end up accepting less than they would have if the home had been priced correctly from the start.

In addition, overpricing can lead to appraisal issues. Even if a buyer agrees to a higher price, the home still needs to appraise based on comparable sales. If it doesn’t, the deal can fall apart or require concessions from the seller.

Pricing a home accurately from the beginning attracts more qualified buyers, creates competition, and increases the chances of a strong offer. In today’s market, strategic pricing isn’t about aiming high—it’s about positioning your home to sell well.