I agree with Deldi Ortegon, take the listing unless the client insists on a price far above market value. But only with the provision that if there is not a good offer within 3-4 weeks the price comes down. I don't use a strict formula but Deldi's is close to what I usually do.

Yes- Take the listing as long as the Seller agrees in writing that if have showings and no offers in the 1st 3 weeks they will reduce by 5%. And make sure to include the following pricing strategy prior to signing the listings agreement. 

Here's a good rule to follow: 

Priced Right = Offers

Showings and no offers = Reduce 4-6%

Low showings= Reduce 6-12%

Drive by's only= Reduce 12%+

Repeat and Review every 3 weeks. This is an excellent and agressive pricing strategy and guess what... it works. 

I am good at explaining the pricing psychology, if they really want to sell then they do what I suggest, if they just want to provide a listing for me to advertise my business with, then that is a choice they can go with also.

A lot of agents in our area take a over priced listing to get the coverage.  I prefer to be honest.  Sometimes I lose them because of that.

The market in South Florida is on the rise so I would take the listing. On listings above market value, I like to schedule a marketing review with the seller at the 45 day point in the listing period. I explain this when we take the listing and let the seller know that a price adjustment may be necessary at that time. I also like to have the seller sign the CMA Market Range that I recommend (regardless of list price). By signing the CMA, I can get the seller to formally acknowledge market value. It really helps to get a reduction later and also helps when I get an offer the seller thinks is too low. 

Maybe, if they agree to reduce in the next 30 days or sooner based on feedback and activity.

I would take the listing and revaluate the price with the sellers in 4 weeks.

Debbie Reynolds 5% in this market may be okay - as long as the seller is willing to adjust the price in 30 days if you don't have offer (and 15 days if showings are just a few.)

So, go for it!

Absolutely...Values are going up in our area, but I tell them that if we get their price, be prepared for a low appraisal.

I have a habit of including an automatic price reduction into the listing contract which may be implemented 30 days after its entry into MLS. Even though 5% doesn't seem like a lot it can reposition you from being the next home to sell to the least competitive in the neighborhood. That's not where I want my Sellers to end up!   

Yes I would take the listing . You can advice them that after you have x number of showings and no offers or feed back they may have to reduce the price.

Debbie--depends on the listing, depends on the client. And if client agrees to write in an automatic price reduction to a more reasonable number within "x" days after listing if home doesn't sell or have showings, I'd definitely take the listing.

5% is right on the cusp. A bit more and that would be a tough sell. Not saying it can't be done but it'll be a time waster for sure.

Pre-writing into the contract is a great idea but to play devil's advocate if I was the seller I'd question if you were going to work hard and sell it at the asking price or just wait for three weeks and sell at a lower price.

I will take the listing the listing if they agree to reconsider price adjustment after 30 days in the market, more closer to your recommendation!!! Or let it go.  I rather turn them down now, than let them down later!!!

There are agents who take over priced listings and write into the contract that within 30 days the price will be adjusted....not agreeing on price at the start is not a good start and we don't take the listing at all.

The inventory in my area is so low that I would take the listing if it was only a bit over market. 

Debbie, I've taken a few overpriced listings in my career,  And they almost always sell.  And if you go into the listing presentation with a good market analysis and a good description of the comps, the sellers will usually agree to a price reduction after a few weeks.

i would  and i have done it i want to get close to my suggested area as fast as posible . good question

I would say, we will try it for 30 days to see what happens, then suggest to drop it down some, if there is no response.

I would go 2 to 3 weeks tops. See how many second showings there are and then use that for fuel to lower the price if there is no contract by then.

Brian Buffini has dialogue to cover situations like this .

Very few of homes sell at list price here.. if a home is not listed above market price, it usually ends up selling below market.  

Did you ever take a Floyd Wickman class? He has a form for this purpose. It spells out that you recommend a certain price and they enter the price they want to list at.  Then you negotiate, prior to signing the listing, when the reductions will come and how often and how much.  It is a great tool.  Plus you both get to sign it!

Yes - with limitations.  Eg.  we will list at x for 2 weeks -- if no showing you will drop to X if showings and no offers - you wll drop to Y.. most will agree to this ;)

Hell yes, I would take the listing, especially if it is in my neighborhood.

I would tell them if we had poor showings over the first 30 days, they would have to agree to reduce it to the market level.

5% over value i would take all day every day. I have sellers wantong to list for 20% over value and saying the will be firm. I do my best to show facts based on waht has sold and what is for sale, but some just wont listen

I would try to pre-negotiate a price decrease after 30 days.

If the trend lines for ADOM is heading down and the trend line for Avr Sold Price is heading up, discount rate is less than 3%, and this house is sellable.....I wouldn't worry about 5%.

It's the buyer that 30% outside of reality that gives me the happy feet.

When would I encourage a price drop? See paragrahp one. In the identifed market conditions, I can get the buyer their 5% or relax knowing the 2015 season is going to be very robust.

Important disclosure: 60% of home sales in Pinellas County FL are cash sales.