Does overvaluing your home make you lose money? This is what experience says

It's not the market. It is the starting price.

It's the most natural temptation in the world: to take your house a little above what it's worth "just in case" someone pays that extra. In short, you can always go down later. The problem is that this logic, in practice, is usually expensive.

What really happens when you get expensive

A home that comes on the market overpriced doesn't wait patiently for the buyer willing to overpay. What it does is accumulate weeks, months, without serious visits. And that's where the real problem begins: when the price finally drops, buyers have already seen that it has been published for some time. And a house that "takes a long time" generates suspicion, even if there is no real reason behind it. The buyers wonder what's wrong with it and begins to negotiate more aggressively than he would have negotiated at first.

The result, many times, is that the house ends up selling cheaper than if it had been sold at the real price from day one.

Why We Overrate

It's not that the homeowner doesn't know what their home is worth. The fact is that the starting price is almost never calculated from the market, it is calculated from what one needs to take out: the mortgage that remains, the renovation that was made, the new house that you already have your eye on. All of that is completely legitimate, but the market doesn't care about anything. The market pays what it pays, not what you would need.

How we do it at AREA Costa Blanca

When we value a property, we do not start from a figure that sounds good. We start from real comparables: what has been sold in Benissa, Calpe or Moraira in recent months, under what conditions and at what final price (not at the starting price). That's the difference between a price that attracts visits from the first week and a price that only attracts silence.

Do you want to know how much your house is really worth today? We tell you without obligation.

You can easily find us on Google Maps or contact our team to arrange a viewing.