The initial listing price sets the stage.
THIS is one of the largest issues in real estate markets in transition.
Of course, ALL real estate markets are ALWAYS in transition, so the target is in perpetual motion.
Not only are all markets always in transition, but sub-markets within those markets can swing FAST from HOT to cool without any rhyme or reason.
Pricing a house properly for the market is thought by some REALTORS to be as much art as science because sometimes it’s “gut” intertwined with statistical analysis (which is basing value on the values of the past albeit recent past.)
the one thing we know to be true is that it is dangerous to price according to the Seller’s need or desire to sell at a particular price. This brings in the emotional liberty of justifying the pushing of the initial listing price higher than the market will bear.
This sets the course to be one of “Chasing the market down” through a series of price reductions which may result in a lower (below market) selling price than could have been gotten had the initial listing been lower.
Interestingly . . . Sometimes a price reduction will take things the other way . . . Multiple buyers who have been watching the series of reductions POUNCE at the same time and bid the price back UP to the range of the initial price.
Under-pricing sometimes results in multiple offers which push the price above rational value . . . but there’s no guarantee that’ll happen.
So . . . what to do?
What to do is to keep emotions in check. Don’t let’m see ya sweat. Work with a Real Estate Sales Professional who is savvy and will work with a very intentional strategy to get your house SOLD at the best possible price and terms.