LOL, Thats pretty funny Alex but of course not how it’s done. Pricing is based upon previous sales and current market inventory. Depending upon the seller there might be a deluded seller premium added initially but a competent Realtor should be able to burn that off in a 30 to 90 days.

New Guy,
Thats one way homes are appraised but prices are determined by market conditions rather than replacement cost. There are also significant costs over and above actually building costs including permits, licensing, grading/site prep, environmental impact fees etc. Sometimes there is a premium over replacement cost (such as recent history) while other times there can be a discount. Replacement costs do seem to set a lower limit on prices in general.