How Do You Know If A Home Is Overpriced?

1. Take a look at the “comps”: Your agent can send over a comparative market analysis with the most recently sold and settled comparable homes (aka “comps”) — this is THE best way to determine a house's fair market value.

   
   

2. Check the days on market: A home that has been on the market significantly longer than others in the same area might be overpriced. Homes that hang around too long often do so because they’re a tad too pricey.

   
   

3. Does it need a lot of TLC? Look closely at the home’s condition. If it needs a lot of fixing up but is priced like it’s ready for HGTV, it’s probably not the bargain you’re hoping for. You don’t want to pay top dollar for a fixer-upper unless it’s truly worth it.

   
   

4. What’s the market saying? Understanding local market trends is key. If prices in the area are cooling off, but this home is priced at peak levels, it might not align with the current market. Your real estate agent can provide valuable insights into these trends.