When to Price Low to Spark a Bidding War (And When Not To)

It sounds counterintuitive: to sell your home for the highest possible price, you should list it for less. Yet, this pricing strategy is a common tactic used by top real estate agents to spark buyer interest and ignite a home bidding war. But is this the right strategy for your home sale? Success depends on a combination of factors, including timing, your property’s appeal, and most importantly, the expertise of your real estate agent. Miscalculate (or mis-hire), and you could leave significant money on the table. And in the wrong market, this practice can backfire. In this post, we explain when you should consider pricing low to get multiple offers, and how to find an agent who can help you maximize your proceeds. The Top 5% of Agents Sell Homes for Up to 10% More HomeLight analyzes over 27 million transactions and thousands of reviews to determine which agent is best for you based on your needs. Connect with your top agent matches today at no cost. How can pricing low create a home bidding war? A bidding war occurs when two or more buyers compete for a home, submitting progressively higher offers to outbid one another. Pricing a property slightly below its fair market value is a ...