The Brutal Truth About Property Pricing: Why Inverloch's Real Estate Market Is Demanding Radical Honesty

Leo Edwards • March 21, 2025

Here's something few people understand: The real estate platforms like realestate.com.au and Domain operate on algorithms that reward properly priced properties and punish overpriced ones.

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Let me be completely straight with you. Most property sellers in Inverloch, Victoria are living in a market that no longer exists when it comes to pricing their homes. And it's costing them dearly. I've been analysing the data, speaking with other agents on the ground, and watching the trends. The conclusion? We're witnessing a massive market correction that punishes delusion and rewards radical honesty.

The Painful Reality Check

Here's the raw truth: The explosive growth that Inverloch experienced during the pandemic created a dangerous illusion. People started believing their properties were worth whatever fantasy number they dreamed up. But the market has woken up.

Look at what's happened with properties over the last 12 months. We're not talking about minor price "adjustments" – we're seeing brutal 15-20% slashes on properties that were priced on ego rather than reality.

A four-bedroom beachfront home initially listed at $1.85 million sat gathering dust for 90+ days until it was finally cut to $1.65 million. It eventually sold for $1.62 million. That's not a small correction – that's the market sending a clear message about overpriced properties.

The Hidden Cost of Ego-Based Pricing

Let me share something most real estate agents won't tell you: When you overprice your property, you're not "leaving room for negotiation" – you're actively sabotaging your own sale.

The first 14 days of a listing are absolutely critical. This is when you get maximum eyeballs, maximum interest, and maximum potential for competition among buyers. Waste this window with fantasy pricing, and you've burned your best opportunity.

Domain.com.au data shows that correctly priced Inverloch properties sell within 30 days. Overpriced ones? They languish for 60-90 days, ultimately selling for less than they would have if priced correctly from day one. This isn't speculation – it's mathematical reality.

Disrupt Your Thinking or Get Disrupted

The winners in today's Inverloch market aren't the stubborn or the delusional – they're the disruptors who've adapted to the new reality.

Think about the psychology behind this. When a property sits on the market for months, what message does that send to potential buyers? It screams "overpriced" and "desperate seller coming soon." You've immediately lost leverage.

Just this week a three-bedroom property initially listed at $920,000 needed a significant correction to $845,000 before generating real interest. It eventually sold for $830,000 after 75 painful days on market. The brutal truth? Had it been priced at $849,000 from the start, it likely would have sold faster and for more.

The Algorithm Doesn't Care About Your Feelings

Here's something few people understand: The real estate platforms like realestate.com.au and Domain operate on algorithms that reward properly priced properties and punish overpriced ones. When a property matches recent comparable sales and generates immediate interest (clicks, inquiries, inspections), the algorithms boost its visibility. When it sits inactive due to fantasy pricing, the algorithms bury it. This isn't personal – it's just code doing what code does.



The market doesn't care about what you paid for renovations. It doesn't care what your neighbour sold for in 2021. It doesn't care what you "need" to fund your next purchase. The market is the ultimate truth-teller, and right now in Inverloch, it's telling a story of price correction.

The 6-Step Framework for Winning in Today's Market

Want to actually succeed in Inverloch's current real estate climate? Here's my framework:


  1. Brutal Data Analysis: Study the last 90 days of comparable sales, not what happened a year ago.
  2. Price Slightly Under & Over: The counterintuitive truth is that pricing slightly below and slightly above the true market often creates competition that drives the price up.
  3. Embrace Openn Offers: This transparent digital platform allows buyers to see competing offers in real-time, creating genuine price discovery and maximum competition. It's not just a sales method – it's a psychological trigger that forces buyers to make decisions based on market reality, not wishful thinking.
  4. Create Urgency: A correctly priced property with a clear deadline creates FOMO (fear of missing out).
  5. Leverage Social Proof: When multiple parties show interest, make sure everyone knows it.
  6. Be First to Adjust: If you're not seeing significant interest in the first two weeks, be the first to adjust rather than chasing the market down.


The Future Belongs to the Realists

The Inverloch market remains fundamentally strong. People still want to live in this beautiful coastal town. But the rules have changed, and only those who adapt will thrive.

The recent price adjustments we're seeing across the market aren't signs of weakness – they're demonstrations of professional integrity. They're acknowledging reality rather than peddling fantasy.


Remember this: In today's real estate market, the truth isn't just a moral obligation – it's your most powerful strategic advantage. Price honestly from day one, and watch how the market rewards you.



The question isn't whether Inverloch's real estate market will continue to thrive – it will. The question is whether you'll be part of that success story or become another cautionary tale of stubborn, costly self-deception.


Leo Edwards is an award-winning real estate agent specializing in the Inverloch property market. With access to comprehensive market data and deep local knowledge, Leo provides unparalleled expertise to buyers and sellers navigating this dynamic coastal market.

For personalized advice on your property journey, contact Leo today.

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"Your feature on our property was stunning and instrumental in the outcome we achieved. It's really nice to see such a fresh approach to selling properties"
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