Pricing a home is part science, part psychology. In a market that's neither clearly a buyer's nor a seller's market — as we see in parts of the GTA today — getting the price right from day one is more important than ever.
The Cost of Overpricing
Overpriced listings linger. Buyers and their agents track days-on-market obsessively, and a listing that sits for 30+ days begins to carry a stigma. Eventually, sellers reduce the price — but by then, they've often sold for less than they would have if they'd priced correctly at launch. Data consistently shows that homes priced right from listing day achieve higher final sale prices than those that go through price reductions.
What a CMA Actually Tells You
A Comparative Market Analysis (CMA) compares your property to recently sold homes with similar characteristics in your area — bedrooms, bathrooms, square footage, lot size, age, and condition. The keyword is "sold." Listings don't set market value. Closed transactions do. Your VG agent will pull 90-day comparable sales to anchor the pricing conversation in real data.
Condition Adjustments Matter
Two homes on the same street, both 3-bed detached, can legitimately be priced $150,000 apart if one has been renovated and the other has original 1980s finishes. Be honest about your property's condition relative to what's sold nearby. A frank conversation with your agent before listing saves a painful price reduction later.
The Psychology of List Price
In some neighbourhoods, strategic underpricing — listing slightly below market value — is deliberately used to attract multiple offers and drive competitive bidding. This tactic works best in low-inventory environments with motivated buyers. In slower markets, it can backfire. Ask your VG agent whether this approach is appropriate for your property and neighbourhood.
Review the Data Every Week
Markets move. If your listing has had strong showings but no offers after 10 days, the market is telling you something. Review feedback from showings, watch what comparable properties are doing, and be prepared to adjust. An agent who gives you weekly data keeps you in control of the decision.