We as agents and Brokers use a comparative market analysis (CMA). This is basically what an appraiser uses to determine value based on size, location and condition. To determine this we use the last 3 homes that actually sold within the last 6 months with similar features as your home. We need to price it correctly as any buyer will need a mortgage and use an appriaser who will do the same. if not done properly it could result in a contract with an appraiser under valuing and then the buyer walks away becase no one wants to buy a home that is over priced. Pricing it in todays market is very important. It is wise to hire more than one agent to price your home and then pick the one that is most compatable with your personality. Sellers often make the mistake of picking the agent that comes in with the highest value, but this is usually an inexperienced agent. The values that come in from various sorts (agents, brokers, appriasers) should be within 5% of each other. No 2 Cma's or appriasal are the same.