Why Half of Homes Are Selling Below Asking and How to Avoid It
If you believe that every home is still getting multiple offers and selling above asking, it’s time for an update. Current data shows that about half of all homes are now selling below their asking price.
That doesn’t have to be your fate. In fact, with the right strategy, you can avoid being in that statistic—and better position your home for a strong sale in Colorado.
Let’s dig into what’s driving this shift, what pitfalls to avoid, and what steps you can take to make sure your home stands out.
What Changed
In recent years, the market was dominated by frenzied demand, low rates, and aggressive buyer behavior. Sellers often had the luxury of overpricing, counting on multiple offers to push final sales higher.
Now, that dynamic has normalized. As buyer leverage returns, pricing mistakes are more visible—and more costly.
Here’s what’s true today:
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New data shows roughly 50 percent of homes are closing below their list price
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The “rush early” window—the first two weeks a home is on market—is more critical than ever
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Overpriced homes risk going stale quickly, losing momentum and buyer confidence
That means your pricing strategy matters more now than it ever has.
Why Overpricing Leads to Underwhelming Sales
Overpricing is a trap many sellers still fall into. It looks tempting on paper, but the market doesn’t always agree.
Here’s how overpricing can backfire:
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Early traffic diminishes. Buyers often scroll past listings that feel overpriced, and showings drop.
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Perception issues emerge. Price reductions raise red flags for buyers. They wonder what’s wrong.
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Momentum stalls. Homes that sit lose visibility, credibility, and the emotional energy they initially had.
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Negotiation weakens. Instead of being in the driver’s seat, sellers become reactive to buyer feedback.
When a listing misses its window, it tends to follow a downward spiral of price cuts, fewer offers, and longer days on market.
What Sets the Homes That Sell at or Above Asking Apart
Interestingly, even in this environment, about half of homes still do sell at or above asking price. What’s their secret?
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Smart pricing from the start. These homes launch in line with current buyer expectations.
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Strong presentation. The homes are well maintained, staged, and marketed to highlight their strengths.
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Flexibility. Sellers are open to working on terms, timing, or minor repairs to support a smoother close.
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Quick response to feedback. If buyers are giving weak feedback, those sellers adapt fast.
In other words, they avoid being rigid. They adapt and position their homes to meet current market demands.
How to Avoid Selling Under Asking
If you want your home to compete, consider these key strategies:
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Start with accurate comps. Don’t rely on listing price history. Use sold data and real buyer activity.
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Make essential improvements. Cosmetic updates, clean landscaping, and small repairs can push value perception.
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Set a realistic, competitive price. Aim just below the maximum that the market will support.
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Optimize the first two weeks. That’s when buyer attention is strongest. Ensure your home shines early.
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Be open to negotiation. Offering credits, closing cost contributions, or timing flexibility can seal deals.
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Work with a local expert. The agent needs to monitor buyer behavior and adapt quickly.
By combining preparation, pricing, and flexibility, you tilt the odds in your favor.
What It Looks Like in Colorado
Our local markets in Denver, Douglas County, Castle Pines, and Greenwood Village echo this trend. Homes that are overly aggressive with pricing often linger. Conversely, listings in prime locations that start strong tend to attract competing offers.
Buyers here are discerning. They compare neighborhoods, condition, and market timing closely. That means even small mispricing can push your home out of their radar.
The neighborhoods that perform well in this environment are those with strong school zones, access to amenities, and homes in good condition. If you list in those zones, the impact of smart strategy is magnified.
What Sellers Should Do Today
If you’re getting ready to list:
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Run a detailed comparative market analysis with your agent
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Start with the lower end of realistic value rather than stretching high
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Address visible issues before photographing or listing
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Schedule your listing launch when buyer activity is still active (often midweek)
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Be ready to adjust quickly if feedback or traffic is weak
You don’t want to be the home that “missed its moment.”
What Buyers Should Take From This
Buyers in this environment have stronger options than in overheated periods. That gives you leverage to push on terms, request inspections, or explore concessions if a home is priced too aggressively.
But you should also act decisively on well-positioned homes. The right property—priced well, in a good area, with solid condition—still commands competition.
Working with an agent who spots pricing errors and opportunities in real time gives you advantage.
Final Word
The market is relocating from aggressive upward pricing to disciplined, strategic selling. As 50 percent of homes now close below asking, the winners will be the ones who price smart, present well, and adapt quickly.
For sellers in Colorado, that means your launch matters, and your agent’s insight matters more than ever. For buyers, it means you can find hidden value where price expectations misalign with market demand.
If you’d like a tailored pricing review or want to explore how your home stacks up today, reach out to Corken + Company. We can map your neighborhood’s behavior, sharpen your list strategy, and help you align with the market that’s here now.
Corken + Company Real Estate Group
Real Estate Solutions Without Limits.
