Why Overpricing Your Home in Northwest Michigan Can Cost You Thousands
For homeowners across Traverse City, Leelanau County, Benzie County, and Antrim County, the past few years created the impression that homes will always sell quickly and for top dollar. But the Northwest Michigan real estate market has shifted.
While buyer demand still exists in the right price ranges, today’s buyers are more selective, more analytical, and far less willing to overpay. As a result, one of the most costly mistakes sellers are now making is starting too high on price.
The Northwest Michigan Market Is No Longer a “Test the Waters” Market
During the peak years of 2021 and 2022, sellers could list aggressively and still attract multiple offers. That environment is gone.
Today’s Northern Michigan buyers:
• Compare every listing carefully
• Monitor price history closely
• Track how long homes sit on the market
• Expect value—not just availability
When a home in Traverse City or Leelanau County is overpriced at launch, buyers don’t rush in. They wait. And often, they wait for the first price drop.
The First Two Weeks on Market Are Critical
The most important period in your entire listing is the first 10–14 days.
This is when:
• Your home is brand new in online searches
• Buyer attention is at its highest
• You attract the most serious, motivated showings
If pricing is off during this window, momentum slows immediately. After just 30 days on market, many buyers begin assuming:
• The home is overpriced
• The seller is unrealistic
• There is room for negotiation
At that point, sellers often give up more in final price than they would have by starting correctly.
The Hidden Financial Damage of Overpricing
Many sellers believe starting high gives them “room to negotiate.” In real-world Northwest Michigan market conditions, the opposite is usually true.
What often happens:
1. A home launches above market value
2. Showings start slowly
3. Buyer feedback points to price
4. The first price reduction occurs
5. Buyer perception shifts permanently
6. Future offers come in lower than expected
Instead of protecting value, overpricing often:
• Extends days on market
• Weakens negotiating power
• Leads to multiple price reductions
• Results in a lower final sale price
Buyers Now Have More Leverage in Northern Michigan
This is no longer a frantic seller’s market. Buyers in Grand Traverse and Leelanau Counties today:
• Take time during their decision process
• Negotiate assertively
• Require inspections again
• Walk away from overpriced listings without hesitation
They are watching:
• Days on market
• Price adjustments
• Comparable sales from the past 30–60 days
And they are basing offers on what the market is actually supporting—not on what homes sold for two years ago.
Why This Matters Even More for Leelanau County & Luxury Homes
In second-home and luxury segments across Leelanau County, Old Mission Peninsula, Suttons Bay, and Glen Lake, pricing strategy becomes even more important.
Many out-of-area sellers:
• Anchor to peak pandemic-era values
• Overestimate current buyer urgency
• Underestimate buyer price sensitivity
The result is a growing number of listings that:
• Sit unsold for months
• Go through multiple price cuts
• Or quietly come off the market
Correct pricing protects not just your timeline—but your net equity at closing.
What Smart Northwest Michigan Sellers Are Doing Now
Today’s most successful sellers follow three core strategies:
1. They price based on recent comparable sales—not last year’s headlines
2. They focus on net proceeds, not just list price
3. They position their property correctly from day one
Homes that launch properly in Traverse City and Leelanau County typically:
• Sell faster
• Attract more qualified buyers
• Retain negotiating leverage
• Close closer to asking price
Bottom Line: Price It Right from Day One
Trying to “test the market” with price in today’s Northwest Michigan real estate environment is no longer a low-risk strategy.
Overpricing now:
• Costs time
• Weakens leverage
• Reduces final sale price
• Increases buyer skepticism
The market always finds the correct value—but the longer it takes to get there, the more it costs the seller.
If your goal is to sell your home for the most money in the least amount of time, proper pricing from day one is no longer optional—it is essential.
Marc Foerster – Realtor, The Trillium Partners powered by Real Estate One
