The #1 Thing Appleton, WI Home Sellers Need To Know About Their Asking Price
Thursday Apr 24th, 2025
The #1 Thing Appleton, WI Home Sellers Need To Know About Their Asking Price
When selling a house, the goal is usually to sell it quickly (depending on your personal timeline) and for the best price. However, too many sellers are currently setting unrealistic expectations. They don't recognize the market has shifted due to an increase in the number of homes for sale. What are the side effects? Price cuts are increasing, but they don't have to be. Allow me to explain.
Realtor.com says that the number of price cuts in February was the highest in any February since 2019 (Speianu & Hale, 2025; see graph below):
What makes 2019 so significant is that it was the final year in which the property market behaved normally. Unbelievably, the market is returning to a slightly more normal state compared to previous years. How long it lasts depends on many factors.
This market is much calmer compared to the crazy seller's market of previous years. Sure, bidding wars are coming back to move-in-ready homes, but it isn't quite as crazy yet. During the peak of the pandemic, your neighbor may have gotten a better deal than you can get now.
Plus, it's possible you'll have to adjust your expectations for our new market. This is true. You may get fewer offers if you don't price your home correctly from the beginning. Ignoring this one thing can cost you thousands of dollars. Do you want to know the best way to avoid losing all that money?
Trusting your agent is a crucial part of the process.
How Does Your Local Realtor Know the Right Price?
trends. Many websites and agents themselves may only use 20–30 data points to determine your home's true value. Steven M. Vertz of Wizards of Real Estate uses up to 50 data points to make sure everything lines up. This procedure is the best way to establish a realistic price, and the results will attract serious buyers!
To get more people to look at your home and make offers, your real estate agent may suggest pricing it slightly
below market value based on their research of the local market. The following is how your real estate agent will
arrive at the correct valuation for your home:
- Recent sales are analyzed. How much did comparable houses in your neighborhood actually sell for? Selling price, not listing price.
- They study trends in the local market. What you want for your home may not match what other buyers in your area will pay.
- They design the most effective plan. They will set the price of your home so that it attracts buyers and makes them feel like they need to move quickly on it or miss out!
Reasons Why Overpricing Harms Sellers
Some sellers, however, still choose to start high and see what occurs rather than listen to their agent's recommendations. They believe that they will get more than they asked for, or at the very least, they will have some opportunity to negotiate. However, there is a common reason why pricing a home too high frequently backfires:
- Potential buyers might pass your home up for another. Nowadays, home buyers are more careful with their money than in the past. They will likely pass on a house that appears too expensive instead of trying to reduce the price through negotiations.
- It may stay on the market for an excessive amount of time. As time goes on and no one buys your house, potential buyers will start to suspect that there are problems with your home. That might make a future sale much more challenging.
- Ultimately, you may receive less. It is common for houses that need to be lowered in price to sell for less than what they would have made if they had been priced correctly from the beginning.
The graph below shows the result of that shakeout. It takes NAR data and utilizes it to prove that a house's value drops as it stands on the market for longer (National Association of REALTORS®, 2024):
According to this graph, a house typically sells for full price if it does so within the first four weeks of being listed. Experience has shown that when a home is priced at or somewhat below its current market value, that is typically what occurs. Buyers will be attracted and eventually willing to pay the asking price if it is priced correctly, or they may compete with other buyers and even go beyond the asking price.
However, a house doesn't sell as quickly if it isn't priced correctly. Additionally, this graph indicates that the price begins to decline after the initial four weeks of being on the market. This is because the longer it stays, the less interested buyers get. Because that's all they have, it's more probable that a seller may accept a lower offer or decide to cut the price to lure buyers back.
Some Final Thoughts
Listing your house too high and then having to lower the price to attract interest is the last thing you want to happen. Let's get in touch so you don't experience that.
Do you want to sell your house as soon as possible and for the most money? Let's discuss the best pricing plan for your home.
Do you want to know what your home is worth? You will want to Click Here to Get Started!
~ Steven M Vertz
Call/Text (920) 209-109
Email: redbeard@wizardsofrealestate.com
References
National Association of REALTORS®. (2024, November 4). Highlights from the profile of home buyers and sellers. Retrieved April 28, 2025, from https://www.nar.realtor/research-and-statistics/research-reports/highlights-from-the-profile-of-home-buyers-and-sellers
Speianu, S., & Hale, D. (2025, February 27). February 2025 Housing Market Trends Report—Realtor.com research. Realtor.com Economic Research. Retrieved April 28, 2025, from https://www.realtor.com/research/february-2025-data/
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