What does the "listing price" of a property signify?

The listing price of a property signifies the initial price that the seller is prepared to accept when putting their property on the market. It serves as the starting point for negotiations between the seller and potential buyers. The listing price is not a guarantee of the final selling price, as market conditions, buyer interest, and negotiations can influence the eventual sale price.

The choice reflects the common practice in real estate, where sellers often set a listing price based on factors such as market trends, property condition, and comparable sales in the area, but it does not determine what the property will ultimately sell for.

The other choices examine different aspects of the selling process: some imply that the listing price directly influences the final selling price or suggests an agreement post-negotiation, which is not accurate. Additionally, the average market price of similar properties is related to market conditions but does not directly define the listing price set by an individual seller.