Pricing a home is one of the most emotionalāand misunderstoodāparts of selling real estate.
Everyone wants the number.
Everyone wants certainty.
And everyone wants to believe thereās a perfectly correct price.
The truth? Pricing is not an exact science šÆ
When Pricing Is Obvious (And When It Isnāt) š
Letās start with the easy scenario.
If thereās a home across the street:
- Same model
- Same square footage
- Same finishes
- Same condition
ā¦and it sold for $350,000, then newsflash šØ ā your home is probably worth around $350,000.
Thatās pricing with clarity.
But many homes donāt fit that mold.
Different upgrades, different lots, different timing, different demand. And when that happens, pricing becomes part data, part experience, and part strategy.
Even Appraisers Donāt Always Agree š¤·āāļøš
Hereās something most sellers donāt realize:
If you brought three appraisers into the same home, thereās a good chance youād get three different values.
Thatās why:
- Appraisals often come in at contract price
- Sometimes they come in lower š¬
- Rarely do they come in higher
Appraisers arenāt guessingābut they are interpreting data. Just like agents do.
How I Handle Pricing With Sellers š¬š”
I believe sellers should have a real voice in pricing their home.
I always give my professional opinion. Always.
Letās say everything points to $400,000 based on:
- Comparable sales
- Market conditions
- Buyer behavior
If you tell me you want to list at $410,000, Iām probably going to say:
š āI think $400,000 is the sweet spot⦠but letās try it your way.ā
Thatās called respecting the client.
Now⦠if you want to list at $500,000, weāre going to have a longer conversation š
Because at that point, I need to understand why.
Wanting or needing a certain price doesnāt automatically make it realisticābut it does deserve a discussion.
The Uncomfortable Truth About Underpricing šø
Hereās something people donāt like to talk about.
Some agents price homes too low on purpose.
Why?
- They want a fast sale
- They want certainty
- They want to move on
And letās be honestāwhen an agentās compensation is tied to the sale price, a $10,000 difference doesnāt change their life.
But it absolutely changes yours.
š° $10,000 matters to sellers
š° $10,000 matters to buyers
I donāt believe in racing to the bottom just to collect a check.
My job is to:
- Get buyers the best possible price
- Get sellers the highest defensible price
That only works if Iām actually listening.
Sometimes You Have to Test the Market š§Ŗš
There are situations where:
- There are no true comparables
- The home is unique
- The market is shifting
In those cases, pricing is part educated guess, part market test.
And yesāsometimes you throw a number out there and see what happens.
Thatās not reckless.
Thatās strategy.
Price Adjustments Are Not Failures šā
One of the biggest myths in real estate is that a price reduction is a negative.
Itās not.
Itās information.
Letās say:
- You list at $300,000
- You get an offer immediately
You might think:
š āUh oh⦠did we price it too low?ā
Now flip it:
- You list at $330,000
- You get offers around $300,000
That tells us something powerful.
š $330,000 didnāt work
š You didnāt leave money on the table
Thatās not failureāthatās data.
Testing the Market Is Not a Crime šØš
I always tell sellers:
āLetās try it your wayābut we have to agree in advance that weāll adjust if the market tells us to.ā
Buyers and agents understand this.
Price changes are visible, yesābut theyāre also common.
No one is offended by a market test.
What is offensive?
- Being talked down to
- Not being heard
- Being pushed into a price that benefits the agent, not the client
The Bottom Line š§ š°
Pricing isnāt about ego.
It isnāt about speed.
And it certainly isnāt about the agentās convenience.
Itās about:
- Listening
- Advising
- Testing intelligently
- Adjusting without panic
The most important thing you can do isnāt pick a number.
Itās hiring an agent who listens to youāand has your back.
Thinking About Selling? Letās Talk Strategy šš”
If you want an honest, pressure-free conversation about pricing, market testing, and how to get the most for your homeāwithout games or gimmicksāIām always happy to talk.
David Dorman
Broker-Associate, Century 21 Carioti
š 407-929-7046
š§ david@daviddorman.com
š https://www.daviddorman.com
When you hire David Dorman, you GET David Dorman.