Homes that are over-priced are common in every real estate market. Armed with market knowledge of pricing, a buyer will not fall prey to these homes. A realtor has an ethical duty to inform buyers of the fair market value of any property. An appraiser will also establish the value of a property.

Over-priced homes are typically priced much higher than other homes for sale in the neighborhood. The seller’s pricing may reflect his sentimentality of the home verses market value. There are basically three groups of home offered in the market.

These sellers have equity and want to move their property. These homes are usually in great condition and large repairs have been made.

Also called Short sales, these homeowners may not be current in their payments. They have asked their lenders to allow them permission to sell their homes for less than the amount owed.

These homes typically suffer from delayed maintenance due to finances. They are discounted and a buyer should weigh the pros and cons of this type of home due to their circumstances.

These bank-owned properties typically need repairs. They are in fair to good condition and normally offered in the as in where is condition. It is important that buyers get the facts by home inspection when considering such a home.

There may be over-priced homes in each of these categories. Get the advice of a real estate professional armed with fair market value pricing. Signs of overpriced home are included in the following three points.