UNDER-PRICING BY AGENTS IS COSTING YOU THOUSANDS...

10 Oct 2025| Posted by: Dave Tidbold

Does under-pricing lower the buyer’s perception of the property value and encourage buyers to make a lower offer?

The answer is a definite yes. Under-pricing a property’s market value is a real agent’s tactic to selling your property faster! But sellers do not realise it is happening, and most never find out.

Under-pricing (lowering the perception of the property’s value to attract buyers) is a deceptive price tactic commonly used by agents. Buyers are finding properties advertised for sale in online price filters, well below the sellers’ expectations. Or the ad reads, ‘offers over $1,099,000’ which is code for - the sellers want more, but are trying to lure the buyers with a lower price. Some agents put a price guide, for example, $1,100,000 - $1,200,000. Obviously, the buyers focus on the $1.1m which is the tactic of the agent to once again lure the buyer.

Agents will argue that the lower an advertised price or a low-price filter online, will create more competition for the property. However, under pricing attracts the wrong buyers and will severely undersell your property and should be avoided at all costs

Smart Property Tip: Avoid under selling by setting a genuine asking price. You must start by obtaining an accurate price appraisal of your property and then start with a price slightly higher. This transparency with buyers goes a long way to you getting a higher price, and you hold the power in the negotiations.

The old saying, ‘the market will determine the value’ means you want the buyers to tell you what they want to pay. But be careful of this approach, because buyers want the lowest price, so as a seller you need to be smarter than that.

Another smart property tip: Avoid agents who avoid the price discussion, or try to convince you that the market will tell you what it’s worth. Agents who avoid an accurate price appraisal are either unsure of the value or do not want to discuss price with you. Either way they are incompetent or lying to you.

At Tidbold Real Estate our approach is different. We employ a genuine team of salespeople on a high salary with performance incentives, linked to the results they achieve.

This means when selling your property, our collaborative approach goes well beyond that of the typical single agent.

If you are looking for an experienced and trusted agent, please reach out to one of our team on 3207 6000.

Remember, if you sell with us you will be safe. We offer you our SMARTRE SALE Strategy which includes a NO SAL E, NO CHARGE service with ZERO upfront advertising costs, and of course a written SERVICE GUARANTEE.