Asking price
The asking price is the price a seller puts on a home when it goes on the market. It is a starting point for offers, not the price paid.
The asking price is the figure a seller puts on a home when it is listed for sale. It appears on the estate agent's details and on property portals.
It is what the seller hopes to get. The price the buyer actually pays is agreed later, after offers and negotiation, and is the figure that HM Land Registry records once the sale completes.
How an asking price is set
The seller sets the asking price, usually on the advice of an estate agent after a market appraisal. The agent looks at recent sales of similar homes nearby, known as comparables, and at the homes currently for sale.
Agents may set the figure a little high to leave room for negotiation, or a little low to draw in several buyers. The asking price can also be reduced while the home is on the market.
How it is worded
The wording around the figure gives a clue to how the seller will treat offers. "Offers over" invites bids above the figure. "Offers in the region of" suggests some room either side. A guide price is an indication rather than a fixed figure.
The asking price is part of the material information that a listing has to show buyers.
Asking price and sold price
The asking price and the sold price are often different. In a busy market a home can sell above its asking price. In a slow market it often sells below. A survey that finds problems or a low mortgage valuation can also bring the agreed price down before the sale completes.
Asking prices appear as soon as a home is listed. Sold prices appear only once the sale has completed and been registered, which is why they are slower but show what buyers really paid. Our guide to asking prices and sold prices explains how to compare the two.
As an example, a terraced house listed at £300,000 might attract an offer of £290,000 that the seller accepts. The figure on record would then be £290,000. These numbers are only for illustration.
| Set by | The seller, usually on an agent's advice |
| Shown on | Agent listings and property portals |
| Binding | No. It is an invitation to make offers |
| In Price Paid Data | No. Only the completed sale price is recorded |
Related terms
Guide price · Market appraisal · Comparables · Sold subject to contract · Price Paid Data · Material information