Pricing correctly is the most important decision you'll make when selling. Get it right, and you attract serious buyers quickly. Get it wrong, and your home sits on the market losing value.
What Are Comps?
Comparable sales (called "comps") are recently sold homes similar to yours. They form the foundation of any pricing analysis.
Good comps match your home in:
- Location: same neighborhood, ideally same block
- Size: within 10-15% of square footage
- Bedrooms and bathrooms: similar count
- Lot size: comparable outdoor space
- Age and condition: similar updates and maintenance
- Sale date: within the last 3-6 months
The Pricing Sweet Spot
Price too high: Fewer showings, stale listing perception, and eventually selling for less than market value.
Price too low: Multiple offers drive price up, creates urgency and competition, and may actually net more than pricing high.
Price right: Strong initial interest, quality offers quickly, and less time on market.
Bay Area Pricing Tactics
In competitive markets, many sellers price 5-10% below expected value to encourage bidding wars. This strategy works when inventory is low, buyer demand is high, and your home shows well.
My Approach
I analyze 10-15 comparable sales, consider active competition, and factor in current buyer demand. Then we discuss strategy based on your timeline and goals.