Whether you’re a seasoned agent or a savvy buyer, avoiding major pitfalls can mean the difference between a clean closing and a costly headache. Let’s dig into the four biggest traps chipping away at sales returns and how to sidestep them.
1. Overpricing
It’s tempting to list high in hopes of negotiating down, but sky-high hopes often land flat. Overvaluing can stall a sale, scare off buyers, and ultimately lead to lower offers. Inflated pricing kills momentum before smart visuals can even do their work.
Research from the National Association of REALTORS® (NAR) shows that homes priced accurately from the start are more likely to receive multiple offers and sell closer to, or above, asking price. In contrast, overpricing can reduce the final sale price by 5% to 10%. On a $500,000 home, that’s a potential loss of $25,000 to $50,000.
Instead of chasing hopeful figures, anchor pricing in data. Use recent local comparables (solds, actives, and pendings), tap independent appraisals, and listen closely to real-time buyer feedback.
2. Weak Visuals and Listing Media
We might as well begin calling “screen appeal” the new “curb appeal.” In a market where nearly all buyers are looking at homes online, buyers want more than a smartphone picture. Buyers in an NAR study said listing photos are the number one value add in an online listing.
Listings with professional, high-resolution photography receive significantly more online views, leading to more in-person traffic and faster sales. According to Redfin research, professional photos can increase the sale price by as much as five percent, equaling about $25,000 gained on a $500,000 home.
Today’s buyers also expect more than static images. Virtual tours, floor plans, aerial photography, and videos provide a more complete property story. Upgraded listing media attracts in-person showings and out-of-town buyers.
As an agent, your investment in visuals doubles as an investment in your business. Professional media elevates your listing, strengthens your brand, and improves your online presence.
3. No Staging
Staging helps buyers visualize how they could live in a space, making it one of the most effective ways to influence perception and value.
The 2025 Real Estate Staging Association (RESA) reports that every dollar put into professional staging returns an average of $23.34 back into the seller’s pocket. When staging costs about 0.75%–1% of a home’s sale price, that translates to a typical return of about 5%–15%.
Staging also speeds up deals:
49% of listing agents saw reduced time on market for staged homes.
95% of buyer’s agents say staging influences decisions.
10% increase in online views.
40% more buyers are willing to walk through a staged home after seeing it online.
For sellers and real estate agents unable to install physical staging, virtual staging offers an affordable alternative. Virtual staging can increase a home’s sale price by 6% to 10% while providing the visual impact buyers need to form an emotional connection.
Top rooms to touch up according to NAR: living room, primary bedroom, and kitchen.
4. Over-Improving or Under-Improving
Renovations can help a property stand out, but they must be targeted. Over-investing in updates that do not align with buyer expectations can reduce return on investment, while neglecting essential repairs can turn away qualified buyers and leave money on the table. Focus on subtle enhancements that elevate appeal without heavy cost.
Big, trendy renovations can backfire. NAR research indicates that modest improvements — like fresh interior paint, landscaping, front door, and curb updates — tend to yield the highest returns.
According to Zillow, more than half of homeowners think sellers should hide issues like structural problems (19%), pest infestations (15%), water damage (15%), or asbestos (14%) to sell a home faster. Not only is hiding defects against the law, but these issues will likely be noticed by a buyer’s agent, a home inspector, or an interested buyer. Real estate agents familiar with the area will be able to recommend improvements that will keep buyers from turning away or, worse, cancelling escrow.
A pre-listing inspection can also identify necessary repairs or appliance replacements early, helping sellers allocate their budget where it will have the most impact.
MistakeTypical Pricing Impact On A $500K Home1.OverpricingListing stagnation → lowers offers by 5%–10%2.Weak Photos$10k–$50k potential value left on the table, more days on market, lower buyer interest3.No StagingUp to 10% lower price; slower sale4. Over-/Under-Improving$5k+ wasted on poor returns, or missed opportunities to avoid conflict
Selling a home can be complex, but avoiding a few common mistakes makes a big difference. Overpricing slows the sale, weak visuals fail to capture attention, unstaged homes struggle to connect with buyers, and misaligned or missing renovations waste money. Paying attention to these four areas helps sellers showcase their property effectively and gives real estate agents the best chance to achieve a profitable, timely sale.
