Setting an asking price can feel straightforward however in reality, getting this right at the beginning matters more than you think.  Price too high and you may limit buyer interest. Price too low and you may not position your property in a way that reflects its value.

Choosing the right pricing strategy from the outset can help attract the right buyers and put you in a stronger position when it's time to negotiate. We break it down simply for you below;

What happens when you price too high?

It's natural to want to start high, especially when it feels like you can always adjust your price later. The challenge is that buyers are usually comparing several properties at once. They have access to recent sales information, online estimates and other homes currently on the market, allowing them to quickly form an opinion about value.

If your asking price sits noticeably above comparable properties, some buyers may simply move on. That can mean fewer enquiries, fewer people through your open homes and fewer opportunities to create competition between interested buyers.

Your first few weeks on the market matter

A newly listed property naturally attracts attention. Many buyers are actively monitoring property websites, receiving listing alerts and speaking with local salespeople. When a new property appears that matches their needs, they can move quickly.

That's why the early stages of a marketing campaign are so important. If your property enters the market at a price buyers don't view as realistic, you risk missing some of that initial interest. While a later price adjustment may attract renewed attention, some buyers may have already moved on or purchased elsewhere.

What about pricing too low?

A lower asking price can generate attention, but it isn't automatically the right strategy. It may attract buyers whose budgets don't align with the price you ultimately hope to achieve. It can also influence how buyers perceive a property before they've even stepped through the door.

There are situations where creating competition through your chosen method of sale can work well. However, there is a difference between a considered pricing strategy and simply setting a low price to attract enquiries. The right approach depends on your property, local demand and the buyers you're trying to reach.

Buyers search by price

Your asking price doesn't just influence how buyers perceive your home. It can also affect who sees it in the first place. Many buyers search property websites using price brackets. If your home is priced above the range they've selected, it may not appear in their search results, even if the eventual sale price could still suit their budget.

For example, a buyer searching up to a particular price point may never see a property listed slightly above that range. That's why an effective pricing strategy considers buyer search behaviour as well as the result you're hoping to achieve.

Price can influence competition

Competition can place sellers in a strong negotiating position. When multiple buyers see value in the same property, there is often greater motivation to act. Buyers may be less inclined to wait, particularly when they know others are interested.

An asking price that reflects current market conditions can help encourage that interest. The goal isn't necessarily to choose the highest possible asking price. It's to position your home where the right buyers can find it, inspect it and seriously consider making an offer.

How do you choose the right asking price?

There is no single formula that works for every home. Recent comparable sales are an important starting point, but they're only part of the picture. Current competition, buyer demand, your property's condition and features, and what's happening in your local market can all influence your pricing strategy.

That's where local expertise becomes valuable. An experienced salesperson can assess what similar properties have sold for, what buyers are responding to right now and how your home compares with other properties competing for their attention.

Thinking about selling?

Your asking price is one of the most important decisions you'll make when bringing your property to market. Getting it right from the beginning can make a meaningful difference to your campaign.

Your local EVES salesperson can provide recent sales information, discuss current buyer activity and recommend a pricing and marketing strategy tailored to your property.

If you're considering selling, talk to EVES about a current market appraisal and gain a clearer understanding of where your property could sit in today's market.