Should You Drop Your Sale Price? What Sellers Need to Know

When Lowering Your Price Makes Sense

Dropping your property's sale price is rarely a seller's first choice—but in the right circumstances, it can be the smartest move you make. A well-timed price adjustment can reignite buyer interest and lead to a faster sale, often at a better outcome than holding firm on an unrealistic price.

The key is knowing when to reduce, how much to drop, and what to try first.

Before You Drop Your Price, Talk to the Right Agent

An experienced real estate agent can help you determine whether a price reduction is necessary—or if other strategies could achieve a sale at your current price. Find an agent who knows your local market and will work to maximise your sale price.

Find an Experienced Real Estate Agent

Why Properties Don't Sell

When a property sits on the market, it's natural for sellers to blame their agent—and for agents to point to the price. The truth is usually more nuanced.

Common reasons properties don't sell:

• Overpriced for the market – Buyers compare properties; if yours is too high, they'll look elsewhere
• Poor marketing – Inadequate photos, limited advertising, or weak online presence
• Presentation issues – Cluttered, dated, or poorly staged properties turn buyers off
• Market conditions – In a buyer's market, supply exceeds demand
• Limited exposure – Not enough inspections, showings, or buyer engagement
• Wrong agent fit – An agent unfamiliar with your area or property type

Before reducing your price, ensure you've exhausted other options. A price drop should be a strategic decision, not a last resort born of frustration.

10 Questions to Ask Before Dropping Your Price

Before considering a price reduction, have a serious discussion with your real estate agent. Make sure these efforts have been made first:

Marketing and Advertising

1. How many advertisements have been created for my property? Where were they published, and will they be republished?
2. What information is included in the ads? Is there too little detail to attract interest—or too much that leaves nothing to discover?
3. Has direct mail marketing been attempted? Pamphlets, flyers, postcards, and letterbox drops can reach local buyers.
4. Are there quality online advertisements? Do they include high-quality, professional photos that showcase the property?
5. Is there a virtual tour? Interactive features, video walkthroughs, and clickable content can significantly increase engagement.

Signage and Visibility

6. Are the property signs adequate? Large, full-colour signs in visible locations with website addresses and contact numbers attract drive-by interest.

Inspections and Showings

7. How many open inspections have been held? Are private showings being offered to serious buyers?
8. How many total showings have occurred? Could we be reaching more potential buyers?

Feedback and Pricing

9. What feedback have buyers and other agents provided? Understanding objections helps address them.
10. Is my asking price competitive? How does it compare to similar properties that have sold recently?

Is Now the Right Time to Sell?

In a buyer's market—when supply exceeds demand—you may need to ask yourself some tough questions.

Consider Your Options:

When to Hold Off:

If you don't have to sell immediately, alternatives include:

• Renting your property – Generate income while waiting for better conditions
• Taking it off the market – A stale listing can damage your eventual sale price
• Waiting for market improvement – Seller's markets deliver better outcomes

A property that sits on the market too long with a high price won't generate interest—and can drag down comparable sales in your area.

The Danger of Pricing Too High

Overpricing creates a cycle that's hard to escape:

1. Initial listing too high – Serious buyers overlook it
2. Price reduction – Buyers wonder what's wrong with the property
3. Further reductions – Buyers wait to see if you'll drop again
4. Suspicion builds – Multiple reductions signal desperation

The goal: If you must reduce your price, do it once—and do it right.

How to Drop Your Price Strategically

If a price reduction is the best solution, follow these five steps to ensure you only need to drop once:

1. Reset Your Relationship With Your Agent

If tensions have built up because your property hasn't sold, remember: your agent wants a successful sale too. Work together as partners, not adversaries. Their experience is valuable—use it.

2. Research Pending Sales in Your Area

Look at how long similar properties sat on the market before reducing their price. While you can't see final sale prices of pending sales, you can identify:

• Average time on market before reductions
• Typical percentage drops
• Patterns in your local area

3. Compare Current Listings to Recent Sales

Analyse which price ranges are working:

• What are similar properties listed at?
• What have comparable homes actually sold for?
• Where's the gap between asking and selling prices?

4. Study Properties Still on the Market

Look at homes that haven't sold:

• How long have they been listed?
• Have they reduced their prices?
• What can you learn from their situation?

5. Position Your Price Competitively

Compare your property to similar homes in your price range. Aim to be in the cheaper 40% of comparable listings. If you need to sell quickly, consider pricing below all competing properties.

Don't Fear Pricing Too Low

Many sellers worry about leaving money on the table. But in a competitive market, a lower price can actually work in your favour:

How Lower Pricing Can Increase Your Sale Price:

• Attracts more buyers – A competitive price generates immediate interest
• Creates urgency – Buyers fear missing out on a bargain
• Drives competition – Multiple interested buyers outbid each other
• Faster sale – Less time on market means less carrying costs

In some cases, a strategically lower asking price leads to a final sale price higher than the original listing—because it attracts multiple offers.

What an Experienced Agent Can Do

The right real estate agent makes all the difference when you're struggling to sell. An experienced agent will:

• Provide honest market assessment – Tell you what your property is really worth
• Analyse comparable sales – Show you what similar homes have sold for
• Recommend strategic pricing – Help you find the sweet spot
• Maximise marketing efforts – Ensure your property gets proper exposure
• Gather buyer feedback – Understand why buyers aren't making offers
• Advise on timing – Know when to hold firm and when to adjust
• Negotiate effectively – Get the best possible price from interested buyers

A local agent familiar with your neighbourhood can compare your property to similar homes and find a realistic sale price that attracts buyers.

Find an Experienced Real Estate Agent

Whether you need to adjust your price or explore other strategies, the right agent can help you achieve a successful sale—even in a sluggish market.

LocalAgentFinder helps you:

• Compare agents in your local area
• Review sales history – See how agents perform in your suburb
• Check ratings and reviews – Verified feedback from other sellers
• Receive proposals – Get offers from qualified professionals
• Find local expertise – Agents who know your market conditions

Why Sellers Choose LocalAgentFinder:

• Free service – No cost, no obligation
• Side-by-side comparison – Evaluate multiple agents at once
• Local market knowledge – Agents familiar with your neighbourhood
• Trusted since 2007 – Connecting Australian homeowners with top agents

Ready to Sell Your Property?

Find an experienced real estate agent who will work to sell your property at the best possible price—whether that means adjusting your strategy or holding firm.

Compare Agents Now

Key Takeaways

• Exhaust other options first – Marketing, presentation, and exposure before price drops
• Ask the right questions – Ensure your agent has done everything possible
• Consider timing – In a buyer's market, waiting or renting may be better options
• Drop once, drop right – Multiple reductions create buyer suspicion
• Research comparable sales – Know what similar properties are selling for
• Price competitively – Aim for the cheaper 40% of comparable listings
• Don't fear low pricing – It can attract competition and drive up offers
• Work with your agent – They want a successful sale too
• Find the right fit – An experienced local agent makes all the difference