Small business idea question...please answer?

I have experience designing websites in html/css and want to do that full time. I am relocating to a town that only has one main design company. They charge 10 times as much as I usually do, but I have been told that I undercharge and that gives my services an unexperienced feel. I have done over 300 websites... show more I have experience designing websites in html/css and want to do that full time. I am relocating to a town that only has one main design company. They charge 10 times as much as I usually do, but I have been told that I undercharge and that gives my services an unexperienced feel. I have done over 300 websites for non-profit companies in my area. With all the competition, should I raise my prices ($25.00/page or $500.00/project) to give a more "professional" impression? I need to get more jobs soon so that I can make a larger down payment on the house. I am in the process of learning PHP/SQL which some businesses like, but my ideal client is wanting a personal page, informational page, etc. That is what I usually do for people.

Can this business work or should I just give up now? I want to get more Internet based clients to replace the ones I will lose when I move.
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