How to check if a house is overpriced
Working out whether a home is fairly priced comes down to evidence: what comparable homes sold for, the price per square metre in the suburb, and how long the listing has been sitting. Here is how to do it, and how to shortcut it.
Check a listing nowFind true comparables
Look for recently sold homes of similar size, condition and location, not just other listings, which can all be optimistically priced together. Sold prices are the truth; asking prices are hope.
Compare price per square metre
Divide price by floor size and compare to the suburb average. A home well above the local rate needs a reason (a renovation, a view, a bigger stand) or it is overpriced.
Check days on market
A listing that has lingered for months is usually priced ahead of the market. That is negotiating leverage.
Shortcut it with RealTeasy
Paste a listing into RealTeasy and get a fair-value range with the comparable sales behind it in under a minute: all three checks, done for you.
