WHAT DANNY IS SAYING
A: Pricing alone can determine if a property will sell in several days with multiple offers, or languish on the market for months.
As agents we advise, but ultimately list price is the seller’s decision. With pricing, you’re balancing different priorities—maximizing exposure, selling quickly, communicating expectation, and fostering competition.
Of course the key outcome is getting the highest sale price.
My pricing counsel is driven largely by market stats. Condos seem closer to list price than single family homes. Berkeley agents price their listings way lower than San Francisco agents. Certain agents especially low. A multiple offer dynamic will always drive the sale price up.
And, if your house has a perceived x-factor (i.e next to freeway, or no parking), it’s strategic to price lower to get people in the door. Also, it’s counter intuitive, but pricing lower can often achieve a better result. For example, a Berkeley listing of mine that was sitting ended up going $500k over list after a major price reduction. Competing bids pushed the price up. Look, its all a big game. For buyers it can be quite frustrating.
Whether buying or selling, my hope is that you are well supported by an agent that can help you play the game better than everyone else.
-Danny Yadegar, City Real Estate,
510-909-8330,
[email protected]
WHAT OTHERS ARE SAYING
A: In the very active East Bay spring market, the common practice for establishing an asking price is to list a home about 10 to 20% below its expected selling price. This strategy signals that the seller and listing agent anticipate multiple offers.
Buyers who have been searching for some time, along with their agents, generally understand that this pricing approach reflects current market conditions.
Many recent listings using this strategy are now pending or sold, often closing significantly above the asking price. To guide pricing decisions, we analyze the most relevant and recent “just sold” homes, comparing them carefully with the property being listed.
Because demand continues to outpace the supply of homes for sale, a well-priced and well-presented home typically spends about 14 days on the market. While pricing below market value can often lead to strong competition and potentially higher final prices, some sellers prefer a more “transparent” pricing strategy.
With transparent pricing, the asking price reflects what the seller is realistically willing to accept. This approach can be appealing to sellers who want to move quickly without completing extensive pre-market preparation such as painting, landscaping cleanup, or staging—improvements that can be both time-consuming and costly.
-Karen Starr & Brenda Schaefer, The Grubb Co.
A: Pricing a home is all about positioning the property so buyers immediately see the value.
In the SF Bay Area, serious buyers tend to see new listings within the first 10 days. Many have been watching the market closely and know exactly what homes are selling for in their target neighborhoods. When a home is priced and showcased well, it tends to attract strong interest quickly—and hopefully multiple offers.
Today’s buyers are extremely informed. With online access to recent sales and competing listings, they quickly recognize when a property is priced above the market. If it feels too high, buyers simply move on.
Some sellers suggest starting higher and lowering the price later if needed. While that may seem logical, it often works against them. Homes that sit on the market too long lose momentum, and price reductions rarely recreate the excitement of a new listing.
After 22-plus years in the business, my most successful strategy is thoughtful, data-driven pricing from the start—based on recent sales, current competition, and buyer demand. When a home is positioned correctly from day one, it creates energy around the listing and gives sellers the best chance for a strong result.
-Liz McCarthy, Compass
