Why Over-Pricing by Corporate Estate Agents Is Harming the Property Market — and What Smart Sellers Can Do About It

Why Over-Pricing by Corporate Estate Agents Is Harming the Property Market — and What Smart Sellers Can Do About It

In today’s UK property market, setting the right asking price from the outset isn’t just good sense—it’s vital. Yet all too often, corporate estate agents are guilty of over-pricing properties to win instructions. That may look attractive to a homeowner initially, but the long-term consequences can be damaging: more time on the market, repeated price reductions, stalled sales, and ultimately less money where it matters most—in the seller’s pocket.

The Over-Pricing Problem: What the Data Shows

Recent market analyses paint a worrying picture:

• Around 38 % of listings in 2024 recorded at least one price reduction, highlighting that many properties were realistically priced too high when first launched. (Masson Cairns)
• In the summer of 2025, 62 % of homes across England needed to reduce their asking price, the highest level in recent years — and yet demand remained strong. (Property Industry Eye 19/9/25)
• One property listed in London’s ultra-prime market failed to sell for nearly two years and eventually exchanged at £111 million less than its original £250 million asking price—a dramatic illustration of how mispricing can stall even the most high-value listings. (Financial Times 6/3/25)
• Analysis of agent behaviour shows that some of the largest corporate brands routinely price high: nearly two-thirds of properties listed by one major London agent had to be reduced before a sale was agreed, with average cuts around 10 % of the original price. (Estate Agent Today 8/4/19)

Why Over-Pricing Damages the Market

Over-pricing might win the instruction, but it can cost sellers far more in reality:

• Longer time on market: Overpriced homes take much longer to attract interest, which often leads to multiple cuts and eventually a sale below true market value.
• Buyer psychology: Properties that undergo one or more price reductions often raise red flags for buyers, who wonder what’s wrong with the property or suspect unrealistically optimistic pricing. (Estate Agent Today 21/5/25)
• Lost value: Properties requiring significant price reductions were sold for an average of around £20,000 less than initially listed. (Which?)
• Market confidence: High levels of reductions and relisting’s erode buyer confidence and can slow market activity overall.

Why Independent Pricing Matters—And Why It Works

As an independent estate agent, our priority is selling your property, not winning a large corporate fee by quoting an inflated price.

Here’s how we do things differently:

✔ Realistic, data-driven valuations
We look at local comparables, current demand, and real buyer behaviour—not market hype—to set a price that achieves interest fast and converts to offers.

✔ Transparent advice, no fluff
We explain clearly why a price is set where it is. Sellers benefit from honest insight, not inflated figures designed to flatter.

✔ Maximum market traction
Correct initial pricing means more viewings, fewer reductions, and a higher chance of securing the best buyer early in the process.

✔ Smoother, quicker transactions
Properties priced right from the outset tend to sell faster and with fewer negotiations, reducing stress and delivering results sellers want—without unnecessary delays.

In Summary

Over-pricing may be a tactic used by some corporate estate agents to attract instructions, but the evidence shows it often worsens outcomes for sellers and undermines the market. High rates of price reductions, slow sales, and buyer scepticism are clear signs that unrealistic asking prices are hurting rather than helping.

At our independent agency, we champion accurate, realistic pricing that works in the current market—helping you sell efficiently, with confidence and at the best achievable price.