Don’t test your luck. Of course you think anyone who moves into your lovely home should be willing to pay top dollars, especially if you’ve recently invested in some improvements. But listing a home at a price that’s too high above the market price could turn away some buyers.

　　Buyers noticing that the home still hasn’t sold may begin to assume there’s something wrong with the house and use that as a reasonable excuse for offering a lower price. And if a home hasn’t received any offers after two weeks, it might be time to reset the price.

　　A price that’s too low can bring about an undesired outcome. Listing your home at or slightly below the market price can have the effect of drawing in a large group of buyers and increase the chances that a home will receive multiple offers. But setting the price too low comes with several risks. One possibility is that buyers will get skeptical of the home that is listed for $ 15,000 to $ 20,000 less than similar homes in the area, especially if it’s not properly marketed. Once again, people might assume there is something wrong with the home and may not bother to look at it.

　　Spy on the competition. Going to other people’s open houses can give you a better sense of how your home compares to others on the market. Check out the finishes in their kitchens, the size of their backyards and use the information to figure out where your home should fit in the range of the price. But don’t set your pricing just on what you see elsewhere.

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