A Realtor can give input to the seller about pricing of a home, but the ultimate decision on pricing of a listing is on the seller (owner of the property).
Not all sellers are willing to lower the price just to compete with the market, all depends on a seller's motivation or the outlook they have of his/her property and the market condition, both short term and long term..
There is always two sides to look at things - from the seller's angle, they wonder why the buyers will not come in and make an offer, at least to start the negotiation process if they are so interested in the property.
The answer to that question largely depends on the circumstances surrounding the sale. It is quite possible that the sellers must sell it for a certain price in order to meet their own, personal financial obligations. Perhaps they are indebted to the bank for the asking price, less listing fees and taxes and simply cannot walk away with anything lower than they are asking.
In this market, the real estate game is a tricky one. If this is a property you are personally interested in, then my advise is to make a reasonable offer for what you would like to pay for the property and see what happens...you don't know until you try!