Competitive pricing is essential. When you price your home too high, it stays on the market longer and increasing your expenses along the way.
“I can lower the price later if I don't get any showings or offers.” That statement has cost home sellers millions of dollars every year.
You sure can lower your asking price, but that’s not a good approach.
Experience shows that sellers who list competitively from the start get a better price than sellers who list high and then continue to lower and lower the price.
When you price too high, buyers may think you are trying to hide something:
Most of the time they think... "Let's offer them far below what they’re asking and see if they bite.”
A far smarter approach is to allow your agent to do a CMA (comparative market analysis) and then work together on setting the right price. You must avoid overpricing.
Two things when determining price mostly...
Similar homes, via a Comparative Market Analysis (CMA): Your agent will provide a professional analysis that goes into statistics about recent sales and current active listings similar to your home. Sold homes within the past six months are best.
Market conditions: Is it a seller's market or a buyer's market? It's important to research what's happening nationally and may not reflect your local market conditions. Your agent will be helpful here as well, afterall they are the REALTOR®.