Regardless of the price you ask for your house, you need to find a buyer who will consider that price reasonable and is willing to pay it. Factors such as high mortgage interest rates might adversely affect your sale price, but there are still techniques that real estate agents utilize to create a demand for your house.

Overpricing your house will result in having it sit on the market for far too long, and as a consequence, you will end up dropping the price anyway.
If you establish a very realistic sale price for your home from the time you place it on the market, you will sell your house quickly and will probably receive your asking price or close to it. To calculate a reasonable asking price, you need to compare your house to others in your area in terms of size, condition, and age. Take a look at prices of houses that are currently on the market and houses that have sold recently in your neighborhood.

Sometimes even if your house is priced reasonably, you might be forced to offer incentives to entice buyers. There are a couple ways to do this. First, you can offer to pay for a portion of your buyer's closing costs. You might also offer to pay for some repairs that a property inspector might have found necessary. Second, you might offer to finance a portion of your buyer's mortgage. If you choose to do this, be sure that it does not tie up funds that you need for the purchase of your next home.
Even the most appealing homes can sit on the market indefinitely if they are overpriced. A sure sign of overpricing is having many initial showings of your house followed by no second showings.

Another sign is having many showings but no offers.
Avoid going through a series of price cuts by setting your price reasonably from the start. If several months go by, and you do not receive any offers on your home, you can correctly assume that your house is priced at least 10% above its fair market value. The best thing you can do at this point is to cut your price a full 10%. After another six weeks or so, if you still have no offers, you might need to go down another 10%. The best guideline for price-setting and price-reductions will be the local market activity in your neighborhood.