What should I do if my real estate agent and I disagree on the listing price?

Hi Brenton, this is a real strategy your agent is proposing, not a brush-off, so let me explain both sides honestly so you can decide with open eyes. Deliberately listing a bit under the comps to spark a bidding war is a legitimate tactic. In an active market with low inventory, a slightly-below-market price can pull in multiple buyers whose competition bids the price up to or above market. Done right, you often net more than if you had listed high and sat. But it only works under specific conditions, and here is where your caution is healthy: - It needs genuine buyer demand. In a slow market, underpricing just means you sold low, with no war to save you. - The gap has to be modest and intentional. Pricing far under invites lowballs, not a frenzy. - Watch the appraisal. If bidding pushes the price well above comps, a financed buyer's appraisal can come in low and the deal has to be renegotiated. Your agent should have a plan for that. How to resolve the disagreement: - Ask your agent to walk you through recent cases where this worked for them, with the list price, the number of offers, and the final sale price. Real examples beat theory. - Ask directly: "What happens if the bidding war does not materialize? What is our repricing plan and timeline?" A confident answer should reassure you; a vague one is a flag. - Remember you set the price. The agent advises; the decision is yours. A good compromise is often to list right at market value, which protects you while still attracting strong interest. If after all that you two still cannot align, that is worth a candid conversation about fit before you sign. I am a real estate professional in Los Angeles and the South Bay, and I am glad to give you an independent read on your comps if you are local, or to connect you with a strong agent in your area for a second opinion. Zoltan

Start by asking your agent to explain their pricing strategy using recent comparable sales, days on market, and current buyer demand. If they're recommending a lower price to encourage multiple offers, ask for evidence that this approach has worked in your neighborhood. If you're still uncomfortable, it's perfectly reasonable to get a second opinion from another agent before listing. You should feel confident in the pricing strategy, and a good agent will be willing to discuss the data and work toward a price you both support.

A disagreement over pricing does not automatically mean you need a new agent, but it does mean you should have a detailed conversation about the reasoning behind the recommendation. Ask your agent to show you: • The comparable sales they used to determine value. • How your home compares to those properties. • Current competing listings. • The expected range of offers if the home is listed at their recommended price versus your preferred price. Some agents intentionally recommend pricing slightly below market value to generate more showings and potentially create multiple offers. In the right market, that strategy can work. However, it is not guaranteed, and sellers should understand both the potential benefits and risks before agreeing to it. One thing to remember is that recent sales are only part of the equation. Market conditions may have changed since those homes sold, and differences in condition, updates, lot size, or location can affect value. If you're uncomfortable with the recommendation, consider getting a second opinion from another experienced local agent. A fresh market analysis can help determine whether the suggested price is strategic or whether there is a meaningful difference in opinion about the home's value. Ultimately, the listing price is your decision. A good agent should be able to support their recommendation with data and explain the likely outcomes of different pricing strategies. If you feel pressured without receiving a clear explanation, that's a sign that more discussion is needed before moving forward.

I would not agree to a lower list price unless the agent can clearly explain the strategy and back it up with data. A lower price can sometimes create more activity, but “let’s price it low and hope for a bidding war” is not a plan by itself. It needs to be supported by the local market, recent comparable sales, buyer demand, and how homes like yours are actually performing right now. I would ask your agent to walk you through the comps side by side. Not just sold prices, but condition, updates, lot size, location, days on market, and whether those homes had multiple offers. Then ask what they expect to happen if you list lower, and what the backup plan is if the bidding war does not happen. At the same time, make sure your number is based on real market evidence and not just what you hope the home is worth. Sellers can leave money on the table by pricing too low, but they can also lose momentum by pricing too high. If your agent can explain the pricing strategy clearly, it may be worth considering. If they cannot, getting a second opinion before listing would be smart. Austin Moore Austin Moore & Company Real Estate Realtor in Longview, Texas

First: your agent’s logic isn’t automatically wrong When an agent recommends pricing lower than recent comparable sales, they’re usually thinking about: Current buyer demand, not just past sales How many buyers are actively in your price bracket Whether overpriced listings are sitting and going stale Creating urgency that leads to multiple offers In some markets, a slightly under-market list price can indeed generate: more showings → more competition → higher final sale price But that only works when conditions are right. Second: your concern is also valid You’re right to question it because: Comps reflect what buyers have actually paid Listing too low can risk leaving money on the table “Bidding war strategy” is not guaranteed If the market is cooling or demand is uneven, underpricing can backfire. How to resolve the disagreement (step-by-step): 1. Ask for a data-driven explanation—not just a strategy Say: “Can you show me exactly how many active buyers are in this price range and how often homes like mine are getting multiple offers?” A good agent should be able to support their pricing strategy with: Days on market trends List-to-sale price ratios Recent competing listings (not just closed sales) 2. Separate “list price” from “expected sale price” This is key. Ask: “What do you expect this home will ultimately sell for?” If they believe it will still sell at or above comps, then the lower list price is just positioning—not value loss. 3. Test a middle strategy You don’t have to choose extremes. Options include: Listing at true market value Slightly under comps (not significantly under) Pricing at a “psychological threshold” that attracts maximum buyers You can also agree on: “If we don’t get strong activity in 7–10 days, we adjust.” 4. Watch the agent’s reaction carefully This is important. A strong agent will: Stay calm Back up their recommendation with evidence Be flexible if data doesn’t support the strategy A weak fit may: Push emotionally instead of analytically Dismiss your concerns without explanation Refuse to consider adjustments So should you switch agents? Not immediately. Ask this first: “If we list at my price, what is your strategy if we don’t get offers in the first 2 weeks?” Their answer will tell you everything about their experience and adaptability.

If you and your agent don’t see eye to eye on price, it’s important to slow things down and turn it into a strategy conversation, not a tug-of-war over a number. You hire a realtor for their experience, their ability to read the market, and their guidance, not just to agree with you, but in return, they should be able to clearly explain their pricing strategy, show you the data behind it, and make sure you understand how it’s meant to help you. One way to bridge the gap is to “test” the market at your preferred price for a short window, say the first 7–10 days, with a clear agreement that if you don’t see strong showings or written offers in that time, you’ll adjust quickly so your home doesn’t start to feel stale to buyers. Great homes that are priced well tend to attract serious interest and sell quickly in almost any market, while listings that start too high often sit and end up selling for less than they could have. Your agent’s strategy of pricing slightly lower to spark more demand can be very effective when executed correctly, but if you’re worried about leaving money on the table, a short trial at your price followed by a prompt correction can give you peace of mind and still protect your momentum. At the end of the day, your agent isn’t obligated to take a listing at any price, they’re investing their own time, money, and marketing resources and have a vested interest in actually getting the home sold—so the goal is to find a middle ground where you respect their professional judgment, they respect your goals, and you both feel aligned on a plan that fits the reality of your market.

Ask them to walk you through their pricing strategy with actual data. What are those comps they're looking at? Are they truly comparable or are they cherry-picking lower sales? How long did similar homes sit on the market at different price points? A good agent should be able to justify their number with real evidence, not just "trust me." If they're pricing low to generate buzz and multiple offers, that can work in hot markets, but it's risky. You could end up with one lowball offer and no backup plan. If you're not comfortable with that strategy, say so. Get a second opinion. Interview another agent, get their pricing recommendation, and see if it lines up. If two agents are telling you the same thing and you're the outlier, maybe your expectations are off. But if your agent's number feels way out of line and they can't back it up, find someone else. Pricing is too important to ignore your gut on.

Ask your agent to present the comparable sales data supporting their recommended price. If the comps do not justify your number, the market will prove them right through low showings and no offers. In Lecanto, Florida, overpricing by even 5 percent can add weeks to your days on market. Kevin Neely & Kaitlynd Robbins | K2 Sells

Ask yourself if you think the agent's marketing plan will attract enough buyers and if your home is one that is in demand. If so, then listen to your agent. The price and the market value are two separate things. Market value is determined by what a willing buyer will pay. In order to get people in to see your home, however, they have to be attracted both by the marketing and by the price. Bringing more views and more visits will ultimately result in more people interested, so it is generally a good idea to price a tick below what your agent thinks it will sell for. If they are way low, then you will get a flood of offers and the "rising tide" will lift your price up to possibly where you want to price or even higher. If, instead, you price at your desired price, then you may get no showings and no interest and will end up doing price reduction after price reduction because you lost your early momentum of being a fresh listing that had a compelling price. Don't chase the market, let it chase your home. The days of pricing high to allow negotiating room no longer work in a market driven so much by internet listings.

You are not obligated to go with the suggestion but if executed properly, a lower price can indeed spark a significant bidding war, but again proper execution is required from your agent. Interest has to be overwhelming, proper inquiry response, constant communication with agents, etc. Best of luck with your sale. Keith Jean-Pierre Managing Principal The Dapper Agents Operations In: NY, NJ, FL & CA

Ask your agent to clearly justify the pricing with recent comparable sales and explain the expected outcomes at different price points. You can also request a second opinion or consider a short trial at a higher price before adjusting. If they can’t support their strategy with data or dismiss your concerns, it may be worth speaking with another realtor. Good luck!

It is completely reasonable to question a pricing strategy that puts your home below recent comparable sales, especially when your goal is to protect your equity and maximize your return. Pricing slightly below market value can sometimes generate more interest, create urgency, and potentially lead to multiple offers, but it is not a one size fits all strategy. The success of that approach depends on current market conditions, buyer demand in your area, the condition of your home, and how recent and relevant those comparable sales really are. If your agent is recommending a lower price, they should be able to clearly explain the reasoning with data, including how your home compares to recent sales in size, updates, location, and condition, as well as what the expected outcome would be. The best way to reach a consensus is to ask your agent for a detailed pricing analysis and a clear explanation of why they believe the lower list price is the best strategy. A good agent should be willing to walk you through the comparable properties, discuss the risks and benefits of different pricing points, and explain what is happening in your local market right now. You might even agree to test a price you are both comfortable with and reevaluate based on showing activity and buyer feedback after the first week or two. Pricing should feel like a strategic decision based on evidence, not a guessing game. That said, if your agent cannot justify the recommendation with solid data, seems dismissive of your concerns, or pressures you into a strategy you do not understand or trust, that is a red flag. You need an agent who sees pricing as a collaborative process and respects your comfort level while guiding you with expertise. If the communication is lacking now, it may continue throughout the sale. In that case, getting a second opinion from another realtor could give you clarity and confidence before moving forward.

Brenton the listing price is ultimately your decision, your agent is probably just giving you the best advice from their experience as they are trying to represent your best interest. And ultimately the reason you probably hired them.

You should express your concerns and ask if they can show you any results to this theory. Your concern is valid. I would always go with the Sold comparables and try and stay within the middle ground of the sold comparables. At the end of the day it is your decision and should be based on fact material rather than opinion. You should always interview several agents before making decisions who to hire.