Overprize

To assign an excessive or inflated value, especially to something that is not realistically worth it. This can apply to goods, services, properties, or even ideas. Overprizing often occurs due to subjective factors, speculative bubbles, limited information, or deliberate attempts to inflate perceived worth for financial or strategic gain. It implies a misjudgment of value, resulting in a price higher than what the market or objective analysis would justify. The act of overprizing often leads to negative consequences such as market correction, financial losses, or diminished buyer confidence.

Overprize meaning with examples

• The art collector knew the painting was beautiful, but suspected the auction house was overprizing it, hoping to capitalize on the artist's recent surge in popularity. His gut told him to stick to the high-quality originals instead of settling with a copy that could be worth less later. He waited for the right opportunity and got it.
• During the dot-com boom, tech companies were often overprizing their stock, fueled by investor hype and a lack of solid financial performance. Many individuals had to settle with a lower salary, in exchange for shares. This led to a subsequent crash when the market realized these valuations were unsustainable, proving the folly of inflated price tags.
• The real estate agent was accused of overprizing the dilapidated house to make a larger commission. Despite its poor condition and extensive renovation needs, they were still asking a price that far exceeded comparable properties in the area. Eventually, no one would purchase the house.
• The company's leadership team realized they had been overprizing the benefits of their new product, focusing too much on perceived innovation. They had not provided proper market validation to the shareholders, which led to slower-than-expected sales when it launched and shareholder complaints.