WSJ: When Home Sellers Set Prices Too High, They’re Paying for It

According to a new report from The Wall Street Journal, homes that underwent price reductions this year spent nearly five times longer on the market compared to homes that were priced right from the start. Not only that, but many of them ended up selling for less than similar homes listed more strategically. This “price and pray” strategy may have worked in the turbocharged 2021–2022 market. But in today’s climate, it’s a recipe for lost momentum and missed opportunity. Additional findings:

Many of my seller-clients have heard me say this before: pricing is part of marketing. The asking price doesn’t need to reflect what I, or even my clients, believe their home is worth. Instead, it’s a strategic marketing tool. The goal is to spark excitement, increase showing activity, attract multiple offers, and ultimately sell above asking. But that only happens when the price invites interest, not hesitation. Set it too high out of the gate, and you risk turning your biggest window of opportunity (those crucial first two weeks), into a long stretch of silence and markdowns.