Is This London Home Priced to Sell — Or Priced to Test You?

Ty Lacroix, Broker with The Envelope Real Estate Group and 24 years in the London, Ontario market, breaks down the four pricing strategies sellers use on MLS — and what each one means for a buyer sitting across the negotiating table. With London homes currently averaging 26 days on market and selling at 97.4% of list price, the gap between an asking price and a fair price is often bigger than buyers assume.

Every listing price on MLS is a decision, not a fact. Before you write an offer, it helps to know which of these four decisions the seller made.

Overpriced

Some sellers start high. A relative told them the house is worth more, or the last renovation cost more than it added in value, or the mortgage balance leaves no room to come down. None of that changes what the market will actually pay — it just means the first number on the listing isn't the real number.

Somewhat Overpriced

Right now, close to a third of homes on the London market sit longer than they should, priced a little past where buyers are willing to go. Usually it's one of two things: the seller (or their Realtor) hasn't caught up to where the market has shifted, or there's deliberate room built in to negotiate down.

Priced at Fair Market Value

These are the listings built on a real comparison — recent, similar sales in the same neighbourhood, not a guess. In today's London market, homes priced this way are moving in about 26 days and closing within a few points of asking. If you're touring one of these, you're not likely to get a steep discount, but you're also not overpaying.

Priced Below Market

Some sellers intentionally price under value to create urgency — multiple offers, a fast close, sometimes a sale price that ends up above asking. These are the listings that move fastest and give buyers the least room to think.

The number on the sign only tells you where a seller started. It doesn't tell you where they'll land, or how far the price is from what the home is actually worth in London's current market.

If the next home you tour has been sitting for 40+ days, what does that tell you about the number on the listing — and would a second, independent read on that price change how you'd approach the offer?

Check Out The London Ontario Buyers Guide