Many Sellers believe that if they price their home high, they can always lower it later. This is not a good strategy.
Usually, when a home has been priced too high, it experiences little activity. Gradually the price comes down to market value - but by that time, it's been for sale for too long and Buyers are wary. On occasion, the price is dropped below market value because the Seller runs out of time and the property sells for less than it's worth.