In San Francisco it is all over the board. We still can underprice and drive multiple offers so some agents use that strategy.

I did an analyis once to see how often we, as experts on valuing homes, priced the property correctly. I found that we price it at what is sells for only 16% of the time. The other intersting factor was that we priced it over and under the selling pirce pretty evenly; 38% under selling and 46% over the selling price.
I'd hoped for a different result.

Hi Misha,

If you look at CMA or sales statistics in our MLS, you will see the Selling price / LAST (after all reductions) asking price ratio. It's about 93% - 94 % depending on neighborhood. If you take in a consideration the Initial asking price, ratio will change to approximately 90 %.

Hi Misha, In our area (central Maryland) the list to sale price ratio is running at right about 89% but that is due in part to lots of over pricing. We have a lot of sellers and agents in our area that base their asking price on what they could have gotten for the house two years ago. Those houses that are priced realistically and in line with the current market are selling closer to 100% of asking price with $7k - $15k in closing help. And they are selling in less than 30 days!