Homesellers Market: Are Price Expectations Too High?

81% of sellers expect to receive offers at or above asking price, reflecting high confidence.
Home inventory remains tight nationwide, helping sellers in most markets.
Rising mortgage rates near 6.8% are limiting buyer budgets and changing how the market works.
Overpricing leads to longer market times and lower final selling prices, experts warn.
In Las Vegas, local agents report fewer bidding wars and increasing importance of smart pricing.

Home sellers feel more confident than ever. 81% think they will get offers at or above their asking price. But is that real, or just hope? Buyer behavior is changing, and there aren’t many homes for sale. The seller’s market is caught between high hopes and what’s actually happening. If you plan to sell in Las Vegas or anywhere else, knowing today’s real estate trends helps you make better choices.

Sellers Are in Charge—At Least for Now

Right now, the housing market still helps people selling homes. Sellers have an advantage because there aren’t many homes for sale. Also, more people are moving to popular cities. And some buyers from 2021-2022 are still looking. Realtor.com’s 2024 survey says 70% of homeowners think now is a good time to sell. This good feeling comes from much higher home values. Home values went up a lot in many places recently.

But things helping sellers don’t happen on their own. This seller’s edge is also helped by things like fewer new homes being built. Also, many homeowners have low mortgage rates and don’t want to sell. And cities are still growing. What’s most important is that there aren’t enough homes for sale, even as interest rates go up. This pushes home prices higher and lets sellers stay in control, for now.

Inside the Survey: Why Sellers Are So Optimistic

The 2024 survey shows more than just excitement about the market. Sellers say higher home values, few homes for sale, and thinking buyers want homes badly make them feel good. Also, some people need to sell because of personal things. Maybe they need a bigger or smaller home, or they are moving for a job.

In addition, homeowners who saw their home value grow feel they have extra money they can use. They think because good homes are hard to find, they can ask for a high price. But not all this hope fits with real facts or what’s happening now. Pricing based on feelings, where sellers think their home is worth more than it is because of old sales or stories they heard, is still a big mistake.

Are Expectations Too High? National Real Estate Trends Paint a Clearer Picture

Yes, sellers are still in charge. But what’s happening nationally suggests being careful. Home prices grew a lot for years, but now the growth has slowed in many areas. Median listing prices are still very high, but they aren’t going up as fast as before. The National Association of Realtors says the market is changing. It’s going from very competitive to more even conditions.

Yet, buying a home with a mortgage is still hard for buyers. Freddie Mac says the average rate for a 30-year fixed mortgage is now near 6.8%. This means buyers can’t afford as much. Higher mortgage rates mean many homeowners and investors have to stretch their monthly money. As a result, homes priced too high are staying on the market longer now.

So, what does that mean for sellers? It means they need to make their high hopes fit with what’s happening now. Listing at the very top of or above the price range might still work in hot areas. But being too sure can mean the home just sits and you have to cut the price later.

For Buyers: A Tougher Road and Fewer Bargains

For buyers, the real estate situation is still hard, but in new ways. High home prices plus higher monthly payments make homes hard to afford. Many buyers were shocked by prices when looking for homes. In recent years, they faced bidding wars, skipping inspections, and homes selling fast. That made people feel like they had to hurry and not miss out.

Now, many buyers are stopping their search. People are tired of looking. Buyers still in the market are usually more careful. They are less likely to get into bidding wars. Today’s buyers want homes ready to move into and priced fairly. Sellers who think buyers will fight for homes like they did in 2021 might be unhappy.

This changing buyer mindset does not mean people stopped wanting homes. It means price matters more in the market now. Homes priced right still sell. But asking too much causes problems.

Las Vegas Market Snapshot: More Heat, but Also Caution

Look at the Las Vegas real estate market. It shows how national trends look when applied to one city. Over the last ten years, more people moved there, the economy grew, and lots of people wanted homes. This brought good money back to homeowners and investors.

Steve Hawks is an experienced real estate broker in Las Vegas. He has done over 4,000 home sales. He sees several things happening: “While we’re seeing demand, not every home gets multiple offers anymore… You have to price it right, or it will sit.”

More jobs in tech, shipping, and tourism keep bringing new people to Las Vegas. Investors with a lot of cash and people moving from expensive cities like San Francisco or Los Angeles see good value in Southern Nevada. They often cause competition. Yet today’s buyers aren’t just offering more than the asking price like before. Las Vegas sellers now need to care more about how the home looks inside and out, and how pricing makes people feel.

The Risk of Overpricing in a Cooling Demand Environment

Overpricing a home is one of the biggest dangers for sellers today. In the whole country and in local areas, we see that homes priced too high stay on the market too long. Then they often sell for less than the first price asked. Buyers looking for good deals often notice homes that stay on the market for more than 30 days.

When a home sits too long, people start to think something is wrong with it. Maybe there’s a problem with the home itself, where it is, or its shape. The longer a home is on the market, the less power sellers have. Listing it again or cutting the price shows buyers something is up. Simply put, it’s better to price it smart from the start. Don’t ask too much and then have to drop the price.

This happens more now because mortgage rates make homes harder to afford. Buyers figure out their monthly payments more carefully than before. They are less likely to try hard to buy a home that doesn’t feel right or cost too much.

7. Smart Pricing: Better Outcomes for Savvy Sellers

Today, smart pricing isn’t just a trick. It helps you do better than others selling homes. Steve Hawks talks about a pricing method that works: using smart price points. For example, $599,999 might show up in more searches on Zillow and Realtor.com than $600,000. That’s because buyers set filters. That small change could put your home in front of thousands more people who might want to buy.

Another tip? Price your home at the high end of what makes sense, but not over it. This helps bring in serious buyers early on. Sometimes, if the price is right, sellers get many offers. This lets buyers push the price up on their own, instead of you lowering it later.

Importantly, don’t use old sales data from the busiest years of 2021 or 2022. Markets don’t go back, but how people feel changes. Today’s buyer looks at numbers carefully. They use mortgage calculators. And they are less likely to buy on a sudden feeling than in past years.

Who’s Selling Now—and Why?

Knowing why people are selling helps you understand the market. More and more, homes for sale are coming from people who:

Waited to list when the economy was unclear
Want a smaller home or want to be closer to family
Think home prices are as high as they will get and want to get the most money
Are going through big life changes (like divorce, moving for a job, etc.)

Realtor.com says almost one in five homeowners plan to list their home in the next three months. That’s a big jump in how many homes could be for sale. If this happens, there could be a better balance between homes for sale and people wanting to buy. This could mean sellers have a little less power over prices.

Reality Check for Investors

Real estate investors usually don’t let feelings guide them like regular buyers. They care a lot about how much money they can make and how much they can sell the home for later. In cities like Las Vegas, big and small investors do a lot of the home buying. What these buyers can pay is often limited by how much money they expect to make back, interest rates, and how much they think fixing up the home will cost.

Sellers who think investors will pay full price might face problems. Appraisals are also a worry. When buyers get a loan and offer more than the home is worth, the appraisal often comes in low. This means the buyer or seller has to work out a new deal. Investors, especially those paying with cash, now have more ability to walk away. They can find better chances somewhere else.

For sellers, it’s key to know what investors expect. Price it right, or be ready for your home to be listed for a longer time.

If you’re thinking about selling a home in today’s market, getting ready will make you stand out. Here are main things to do:

Clean, arrange furniture, and remove clutter before you list.
Get a home inspection before selling to avoid surprises.
Work with an agent who knows local trends well.
Use recent, good sales data from similar homes. Don’t just look at the highest sales from the past.
Be ready to change your price based on what people say early on.

Remember: your home gets the most notice in the first few weeks it’s listed. Get that attention by pricing it right from the start.

Tips for Buyers: Stay Smart and Flexible

Sellers have the advantage now. But buyers can still do well by having a plan:

Get approved for a loan early and know how much you can really spend.
Have an agent who is good at working out deals and can find homes not yet listed.
Know when it’s time to walk away. Don’t pay too much because you are scared of missing out.
Think about writing a personal letter or offering flexible terms to stand out. This can make your offer stand out.
Look at the home’s value over time, not just making fast choices because you feel pressure.

Doing well means getting ready, knowing what’s happening, and being okay with walking away from deals that cost too much.

What’s Coming Next?

No one can know the future for sure. But what we see now suggests the market is slowly moving toward being more balanced. Mortgage rates, how inflation acts, and how many buyers are looking will decide if sellers have less power.

Experts think more homes might be listed by late 2024 or early 2025. If mortgage rates stop changing or go down a little, as some money experts guess, then buyers might start looking more again. But they will still be careful. More homes for sale and more buyers could create a balance between what sellers ask and what buyers can pay.

That said, don’t look for the market to crash or suddenly take off. Expect it to be more steady. The main thing for sellers or buyers is to keep learning what’s happening and be ready to act.

Don’t Guess—List Smart and Stay Informed

Thinking the market is good won’t sell your home by itself. You need a plan, facts, and good timing. Sellers still have a chance now. But there’s less room for error and people are looking more closely. Pricing without checking facts or trying for a record price without a reason will just lead to getting upset.

If you are selling a home in a market like Las Vegas, an expert like Steve Hawks can help you figure out the price and how to market it based on what’s happening in your exact area. News from the whole country only shows some of the picture. Sellers who do best now are those who get what’s happening in real estate and change their plans.

Thinking of selling a home in Las Vegas? Contact Steve Hawks and his team. They can give you expert advice that’s not padded with extra words and fits your neighborhood and what you want to do.