The Longer It Sits, the Less You’ll Get: What Overpricing Your Home Really Costs You

A lot of sellers think pricing high gives them “room to negotiate.” And sometimes that sounds good in theory. But in San Diego County, overpricing can actually cost you more than people realize.

I see it happen all the time. A home hits the market above where buyers see the value. At first there’s some interest, maybe a few showings, a couple people circling back, and then things go quiet. The seller starts wondering if they should just “wait for the right buyer.”

But the reality is, the longer a home sits, the harder it usually becomes to keep your negotiating power.

Let’s talk about the part nobody really discusses: carrying costs.

If your home sits an extra 60 days because it was priced too aggressively, you’re still paying the mortgage, insurance, taxes, utilities, propane, maybe HOA dues, maintenance, and all the little things that add up. In our rural areas especially, properties can have additional upkeep costs buyers in the city don’t always think about.

That can easily mean thousands of dollars spent while waiting.

And here’s the other issue, buyers absolutely pay attention to days on market.

Once a listing starts sitting, buyers tend to assume one of two things:
• it’s overpriced
• something is wrong with it

Even if neither is true, that perception becomes part of the negotiation. Buyers start coming in lower. They get less urgency. They feel like they have leverage because the house has already been sitting.

That’s why pricing strategy matters so much here in Descanso.

Our market is unique. You can’t always price strictly by square footage like you would in a suburban tract neighborhood. Things like usable acreage, views, wells, defensible space, outbuildings, guest houses, privacy, tree coverage, road access, and even the feel of the street all matter.

But there’s also a fine line between understanding value and overshooting what buyers are realistically willing to pay.

The homes that tend to do the best are usually the ones that create momentum right away. Strong first-week activity matters. Buyers are most excited when something first hits the market. That’s when you want competition, not hesitation.

And honestly? Small repeated price drops usually don’t help either. Buyers watch those too.

Pricing correctly from the beginning is not “leaving money on the table.” In many cases, it’s actually what protects your bottom line the best.

Especially in a market like Descanso, where buyers are paying attention and inventory can be limited, strategy matters more than simply shooting high and hoping for the best.

Jen Kleist | Realtor®

02228818 | Coldwell Banker West

If you’re curious what your home might realistically sell for in today’s market, I’m always happy to have a conversation. No pressure, no fluff, just honest insight from someone who actually knows the area.