What should my asking price be?

I posted this article exactly one year ago! Such a very important topic I think it is a good idea to post it again!!!

Here are some home pricing pitfalls...When it's time to sell your home, it's very easy to be snared in the overpricing trap. After all, you want top price for your home. With this very dffucult market for sellers you need to be very careful not to price your home too high. Given that, it's logical that the asking price you set could be higher than "fair market value." Unfortunately, you probably won't realize it's too high until much later.Here are just a few of the disappointments you'll be facing with an overpriced house:Responses to your ads will probably be slow, since the public recognizes overpricing. Remember, people buy by comparison.Some prospects who are attracted may be the wrong ones. They will be attracted because they're looking for a home priced the same as yours – but with MORE features.Very few buyers will even make an offer on an overpriced home. The reason? Even if you accept their lower offer, they aren't getting a bargain since the final price is probably no less than "fair market value."Your home will help buyers make a favorable decision on other homes that are priced fairly. Do you really want to be the example that drives people elsewhere?If you do find a buyer at your price, their mortgage application could be rejected because of a low appraisal; the house simply doesn't meet the standards that the price indicates. This has become a huge factor in todays market.This all sounds rather bleak, so what can you do to solve the pricing issue? Work with an experienced professional who knows the market in your neighborhood. Take advantage of the research and advice your real estate agent can offer, and you'll be on your way to setting the right price for your home.Jon