As Lance suggested, why don't you have them go over the comps, (comparable sales) and then you can decide for yourself.
It might be best to interview one other agent.
It's also not the best idea to hire the friend just because she is your friend. Hire her because she's the best, or at least really, really good. Your property is too valuable an asset not to do otherwise.
I wrote a blog on why it's important to hire someone really good that I hope you will find helpful:
I would ask both realtors for comps and evidence to support their pricing conclusions and go from there.
Lance King/Owner-Managing Broker
Clarin Realty, Daly City Short Sale Experts,
You've got the cart before the horse. Too often the price is the only focus regarding the sale of a home. Of equal importance is the goals, needs, of the home owner.
Is the home upside down?
Does a sale date urgency exist?
What is the purpose of the sale?
What is the minimal proceeds expected?
Is there a predetermined purpose for these proceeds?
Having the goal in mind is helpful in creating the proper strategy most beneficial to the owner. There are many ways to architect a purchase and sale of real estate, but not all agents have such agility.
You failed to share in your question the 'strategy' each of these agents presented. If there was no strategy, except for PPP, don't hire either of them.
As short sale experts, i'm sure you know what I mean.
Best of Success to You.
Annette Lawrence, Broker/Associate
Remax Realtec Group, Palm Harbor, FL
727.420.4041 - http://www.RealEstateMadeEZ.us (al)
Know that buyer working with an agent worth her salt, will go through the same thorough review in evaluating value and making an offer. A price grounded in the facts of the market, ie comparable CLOSED sales is the best price. Higher than that will likely make you feel good, but will cost you in the end, because overpriced homes do not sell, and generally take much longer and require many price reductions to regain the interest lost from initial mispricing.
I lose my share of listings because of my pricing honesty - and in the end, my pricing recommendations prove to be spot on. Have the third agent come in to get another opinion, be sure you get the details behind the analysis and look at them objectively. Do not be lured by a price over what the analysis supports.
The very best way to get the most for your home is to price it smartly right out of the gate. The sellers that do that generally sell for more, not less, than those that take the other route.
Good luck and best,
Unwavering Commitment to Service, Unsurpassed Results