What do you think of when you hear the word "overpriced?"

High-end clothing, maybe? A fancy restaurant? A new car?

Well, it turns out that even though those things can be overpriced, there's one thing you might be overlooking: your own home.

If you're selling your house, it's important to price it correctly from the start.

If it's priced too high, it'll sit on the market for longer and ultimately sell for less than if it were priced correctly in the first place.

And if you're buying a home, an overpriced property is going to make you feel like you're getting ripped off—and that's not a good feeling!

So how do you know if your house is priced too high? Here are a couple tips:

1) If few buyers (or even worse, no one) has seen your house yet and you know that they're looking at other properties / other homes are going under contract in your area — you may have priced yourself out of contention! So lower the price now before it's too late! The rule of thumb is if it's been on the market for 10 days or for 10+ showings without an offer, it's overpriced.

2) If someone has seen your house and made an offer on it but hasn't gotten back in touch with any questions or another counter offer yet… ask yourself why this person hasn't called or emailed since you last responded. What terms aside from price could you be negotiable on to sweeten the deal a bit for them?

What do buyers think when they see price reductions?

Recently one of my friends commented on the meme pictured above that I had posted online, and we had the exchange here. She said that logically she understands that the seller is likely just correcting for making a pricing mistake, but that she can't help but wonder what's wrong with it that it can't sell... And she's not alone in this thought!!

Catch up with your friendly realtor in Oak Park, Chicago & suburbs, Laurie Christofano with RE/MAX, as she discusses what buyers are thinking when they get price reduction alerts. And comment below -- do you feel the same?

If you need expert advice on how to sell your home and get to your next chapter, let’s talk! I've been selling homes in Chicago & suburbs since 2007, so I've seen stellar markets, slumping markets, and everything in between. I have the tools and experience to help ensure you get moved on your timeframe.

Thinking about downsizing? Download your free guide to help you make sense of things! https://rem.ax/DownsizeMe

Laurie Christofano, Realtor in Oak Park, Chicago & Suburbs | OPRFhomesforsale.com