Tag: realtor

Posted on

The Psychology of “Home”: Why Buyers Fall in Love in the First 10 Seconds

When it comes to buying a home, people love to believe they’re making a logical, analytical, well-researched decision. They compare comps, calculate resale value, and analyze price-per-square-foot. And yes, those things matter. But here’s the real secret of real estate: Buyers don’t fall in love with a house in their brain first. They fall in love with it in their body.

Multiple studies show that within the first 10 seconds, most buyers have already formed a lasting emotional impression. Before they’ve seen the upgraded appliances, before they notice the extra closet, and definitely before they ask about utility bills, their subconscious has already whispered, “This feels like home.”

So what’s really happening in those first few magical moments?
Let’s break down the psychology behind it.

1. The Human Brain Makes Lightning-Fast Emotional Decisions

Neuroscientists estimate that up to 95% of purchasing decisions are subconscious, rooted in emotion rather than logic. The homebuying decision is no exception. When buyers walk up to a property or open the front door, their brain is rapidly scanning for:

  • Belonging
  • Safety
  • Familiarity
  • Identity
  • Comfort
  • Future experiences

In mere seconds, their nervous system is asking: “Can I picture my life here?” If the answer is yes, the rest of the showing becomes confirmation bias. They subconsciously look for reasons to justify their emotional attachment. How does this work? Let’s take a look.

2. Sensory Cues Trigger Attachment

So what am I saying here? Those first 10 seconds aren’t about square footage,  they’re about feeling. 

Buyers react to a house using their senses before they use their logic:

SenseTriggerEmotional Meaning
SightLighting, landscaping, color palette, cleanliness“This feels calm and beautiful.”
SmellNeutral, fresh scents vs. odors“This home is cared for.”
SoundQuiet street, soft music, lack of echo“I feel safe and relaxed.”
TouchWarm lighting, soft textiles, natural finishes“This feels cozy and welcoming.”

This is why staging is so important. It reduces psychological friction and boosts emotional resonance. An intentionally staged home is one where a buyer walks in and feels AT home, not just in a house.

3. A Home Represents Identity — Present and Future

See, people don’t just buy a home for who they are today. Even if they don’t realize it,  they buy it for who they want to become.

  • The entertainer wants a big island or deck
  • The minimalist wants clean design and storage
  • The comfort-seeker wants warm lighting and cozy nooks
  • The achiever wants a home that feels like a reward

For home buyers, a house isn’t just a shelter. It’s a mirror of aspiration.

4. Nostalgia and Memory Attachments Kick In

Not only are  buyers’ desired futures at play, but memories and nostalgia are also huge tipping points when it comes to decision-making. For example, a space that evokes a positive childhood memory, travel, or past living experiences automatically scores higher on emotional value. And remember, it’s emotions that drive the buyer.

Buyers aren’t comparing houses. They’re comparing feelings they’ve felt before.

Even something small, like a window seat, a tree swing, or a fireplace, can unlock a memory that turns a house into a heart connection.

5. First Impressions Create “Emotional Anchors”

Once a buyer feels an instant connection, they will overlook flaws that would bother them in a home they didn’t bond with.

This psychological pattern is known as emotional anchoring. The brain weighs early feelings more heavily than later information.

That’s how:

  • A small closet becomes “no big deal”
  • A long commute becomes “manageable”
  • A slightly outdated kitchen becomes “an opportunity”

Love makes room for compromise.

So, How Do Sellers Maximize Those First 10 Seconds?

Here are the highest-impact strategies backed by psychology:

  1. Perfect the exterior: Curb appeal sets the emotional tone. Various studies over the years have shown that buyers often decide on a house within the first 7-10 seconds of seeing the outside.
  2. Open sight lines: Remove clutter and distractions. Clutter triggers a physical stress response that elevates cortisol, which is the stress hormone. Without even realizing it, Grandpa’s pipe collection is stressing out your potential buyer.
  3. Use lighting intentionally: Warm, layered light creates a sense of comfort and peace.
  4. Choose neutral scents: Clean, fresh, and subtle scents play a vital role. Nothing too intense or buyers will think you’re trying to hide something.
  5. Stage for lifestyle, not furniture display: Less is more when staging a home. Remember, buyers aren’t visualizing living your life in the house; they’re visualizing living theirs.
  6. Create a “moment” at entry: A console table, art, greenery.

Buyers aren’t buying a structure. They’re buying how it makes them feel about their future.

Final Thought

The phrase “love at first sight” doesn’t just apply to relationships. It also applies to real estate. Homes are emotional purchases disguised as financial ones, and the heart almost always speaks faster than the head.

When a buyer walks in and says: “I can see myself here.”
 That’s not decoration or data talking … that’s psychology.

Posted on

Why Your House Isn’t Selling (and It’s Probably Not Your Agent’s Fault)

You’ve scrubbed every countertop, baked a tray of “please-buy-me” cookies, and brewed coffee strong enough to jolt a sleepy open-house guest into a full-price offer.

Lemme guess. You’ve also probably called your agent a dozen times (okay, maybe more), convinced they just aren’t trying hard enough. I mean, surely what you need is another half-dozen open houses, complete with banners, signs, and enough balloons for a small parade. Yet… weeks later, the listing is quieter than a Monday morning without caffeine.

Here’s the thing: it’s probably not your agent’s fault. It’s not because Mercury is in retrograde, your neighbor’s new fence, or even because you forgot to check your horoscope yesterday.

The truth is simple, and my previous broker drilled it into us until we could chant it in our sleep:
Price. Condition. Marketing.

Those three words explain why homes sell… or don’t. And right now, with a slower season settling in, seemingly stuck interest rates, and an economy that feels like it’s running through glue, the basics matter more than ever.

So, let’s pour another cup of coffee and go through the REAL home-selling tips for 2025.

1. Price: The Dream Killer (and the First Thing to Check)

Honestly, pricing is where most sellers stumble, usually not out of greed, but out of hope. Hope that their home is worth more because they loved it more.
But buyers don’t price with their hearts; they price with their phones. They’re scrolling Zillow at midnight, comparing square footage, upgrades, and school districts like they’re studying for the SAT.

If your home is even a few percentage points over the market’s comfort zone, buyers will swipe left faster than a bad Tinder profile. The longer it sits, the more they start whispering, “What’s wrong with it?” even if the answer is simply “the price.”

Here’s the good news: Pricing right doesn’t mean pricing low. It means pricing smart. Using solid comps, not emotions. Listening to feedback after a few weeks. Watching your showing traffic. When the market slows, minor adjustments can make a big difference — sometimes as little as 2–3% is enough to jolt activity back to life.

I get asked constantly, “What do you think my house will sell for?” as if there’s one magic number hiding in my coffee cup. Spoiler alert: there isn’t. There are three.
What the comps say.
What the buyer feels.
And what the appraiser will actually sign off on.

Not exactly simple, I know. However, price is ultimately determined by number 2:

2. Condition: The Silent Deal-Breaker

If price gets buyers in the door, condition decides whether they stay long enough to imagine themselves living there. I can’t tell you how many times I’ve watched someone walk into a showing and, within ten seconds, you can practically see the thought bubble pop up over their head: Nope.

Condition isn’t just about whether a home is clean. Yes, that’s important, but really it’s about whether it feels cared for. Scuffed walls, tired carpet, pet odors, or cluttered countertops can subtly convey to buyers that maintenance has been neglected, even if the bones are solid. The little things add up fast.

Think of it this way: buyers aren’t shopping for your house, they’re shopping for their future. They need to see possibility, not projects. A fresh coat of paint, updated light fixtures, or even a deep declutter can completely change how your home photographs and feels.

And yes, it’s hard to be objective when it’s your home. So no, your agent is being “mean” by gently telling you that your beloved floral wallpaper might be killing first impressions. They’re being honest. And that’s exactly what you want in this little adventure of home selling.

Speaking of your agent, let’s move on to number 3 on our list:

3. Marketing: The Missing Megaphone

You can have the right price and perfect condition, but if nobody knows your home exists, you might as well be whispering in a hurricane. Marketing is the megaphone that carries your home’s story to the right buyers.

Now I can hear you saying, “Yes! See?! My agent is NOT doing enough open houses. I knew it.”

Full stop for a second. Let’s dig into what marketing really means.

A well-marketed home tells a story. A story that can’t be told without your help, Mr/Mrs. Seller. Your agent probably walked you through all of this when you sat down to sign that listing agreement. Photos, open houses, and showings. Were you a partner in prepping your house to tell the best story?

Dim listing photos ( because you refused to take down grandma’s drapes), cluttered countertops, and random animals wandering through listing photos are not conducive to a market as cautious as ours right now. Presentation is everything.

As agents, we aim to highlight not just the square footage, but also the sense of living there. The way the morning light hits in the kitchen, the quiet backyard, and the layout that actually makes sense for a family. That story deserves professional photos, strong copy, and online visibility that goes above and beyond a for-sale sign.

This is also where creativity comes in. Maybe it’s a neighborhood feature video or a social media campaign. The goal is always the same: get eyes on your home and hearts invested before buyers ever step inside. These are the things your agent should be presenting to you, and you should be fully vested in helping him or her to put the very best product out there.

Because in today’s market, your listing has about the same attention span as a TikTok scroll. You don’t get a second chance to make a first impression. So make it scroll-stopping.

Here’s another little truth bomb for you. Open houses typically do not sell houses. They sell your agent and bring them buyer clients. Oh, and give your nosy neighbors a chance to rummage through your house. You know where buyers are looking? That’s right. Online.

That’s why good marketing matters so much, because 85–90% of home sales start on the MLS. The MLS (Multiple Listing Service) is the engine that powers third-party sites like Zillow and Realtor.com. So while open houses can drum up buzz and new clients for your agent, it’s your online presence, photos, pricing, and presentation that actually sell your home.

Wrapping It Up:

So before you pick up the phone to berate your agent for not taking your call at midnight last night to plot the next open house parade, take a breath and look at the big three: price, condition, and marketing. Those are the levers that move homes, even in a slow season with sticky interest rates and buyers who blink twice before writing an offer.

Selling a home isn’t magic; it’s strategy. When all three pieces align, things begin to move. When they don’t, no amount of caffeine can fix it.

Maybe your agent hasn’t been proactive… it happens. Not everyone’s cut out for this business. It takes a few loose screws, a caffeine habit, and a stubborn streak to survive it. But if your home’s been sitting and you’re ready for honest feedback, the kind that’s straightforward, practical, and served with a side of coffee, let’s talk. Because in real estate, as in life, sometimes all you need is a fresh perspective and a strong cup of joe.

Posted on

Interest Rates Dropped: Here’s What That Mean for Northwest Arkansas Real Estate

The Fed just announced a rate cut, and suddenly, the housing market chatter is louder than Razorback fans after Sam Pittman’s unceremonious canning. Buyers are asking if now’s the time to pounce, recent homeowners are calling about refinancing, and everyone wants to know if another cut is on the way. Let’s break it down in plain English—without the economic jargon or the need for a finance degree.

What the Interest Rate Drop Means for Buyers in Northwest Arkansas

Lower Rates = More Buying Power

When interest rates dip, your monthly payment shrinks. That house in Bentonville or Rogers that felt like a financial stretch last month? Now it might actually fit your budget without causing heart palpitations. Lower rates don’t mean homes are on sale, but they do mean you can get more house for the same payment.

Translation: if you were on the fence, this rate cut is like a polite nudge from the housing gods saying, “Hey, maybe get off Zillow at midnight and actually go look at a house.”

How Much More Home Can You Afford in 2025?

A small percentage drop in rates can mean tens of thousands more in buying power. For example, a $300,000 home at last year’s rate might cost you the same each month as a $325,000 home today. That bump could mean the difference between a standard kitchen and the one with the quartz countertops you’ve been drooling over.

Why It’s Still Smart to Focus on Your Budget (Not Just Rates)

That said, don’t let “lower rates” convince you to throw your budget out the window. The right home is about fit, not just what the bank says you can technically afford. Rates help, but a house still needs to fit your lifestyle (and your grocery bill).

Should Recent Homebuyers in NWA Refinance After the Rate Cut?

Why Lenders Already Anticipated the Cut

The second the Fed sneezes, lenders have already stocked up on tissues. In other words, they usually see rate cuts coming and price them into the mortgages you locked in. That means most people who closed recently already got the benefit baked in.

When Refinancing Actually Makes Sense

Refinancing can be smart if rates drop significantly from where you locked, or if you’re planning to stay in your home long enough to recoup the closing costs. But if your rate is already competitive, chasing a tiny drop won’t save enough to justify the hassle.

The Cost of Refinancing vs. the Potential Savings

Think of refinancing like switching cell phone plans. Sure, you might save $10 a month, but if it costs $3,000 in fees and paperwork to get there, is it really worth it? Unless you see a major rate shift, the answer is probably no.

Is Another Interest Rate Cut Coming in 2025?

What Economists Are Predicting

Some experts believe another cut is possible later this year if the economy cooperates. But just like trying to predict Arkansas weather—sunny morning, tornado afternoon, snow by dinner—it’s not an exact science.

Why Timing the Market Rarely Works

Waiting for the “perfect” rate is like waiting for the perfect time to have kids, start a business, or clean out the garage. It never really arrives. If buying now makes sense for your budget and your life, don’t stall just because you’re hoping for another quarter-point drop.

The Best Approach for Buyers and Homeowners in Northwest Arkansas

The real key is flexibility. The Fed could cut again if the economy plays nice, but for now, don’t plan your whole financial future around it. If you’re ready to buy, the best time is when it makes sense for your budget, not when you’ve memorized Jerome Powell’s facial expressions on CNBC.

Bottom Line for the NWA Housing Market

What Buyers Should Do Now

If you’ve been house-hunting in Fayetteville, Bentonville, or Bella Vista, this is a great window to make your move. You’ll get more bang for your buck thanks to lower rates, but don’t let excitement push you past your comfort zone.

Why Homeowners Can Relax (For Now)

If you bought recently, congratulations, awesome! You likely already have a solid rate. Unless we see another big drop, refinancing probably isn’t worth the time, cost, and paperwork. Translation: Enjoy your new home without refinancing FOMO.

Stay Flexible, Stay Informed, and Stay Local

Could rates drop again in 2025? Sure. But don’t build your whole housing strategy on a “maybe.” The smarter move is to focus on what works for your family and your budget now. The market will do what the market does. Your job is to make sure your real estate decisions fit your life here in Northwest Arkansas.

Ready to talk through your options? Whether you’re buying your first home, upgrading, or just curious about refinancing, I’ll help you translate “Fed speak” into real-world advice (with fewer acronyms and more coffee).

Posted on

Mortgage Rate Drama in Northwest Arkansas: Could September Be the Plot Twist?

If you’ve lived in Northwest Arkansas for more than five minutes, you know two things: we take our Razorbacks football very seriously, and we have strong opinions about mortgage rates. Well, maybe not all of us, but anyone even wandering around the edges of real estate is definitely paying attention.

Currently, the 30-year fixed mortgage is camped out in the mid-6% range—around 6.5% to 6.6%. Not terrible, but not exactly the “let’s run out and buy a house and a bass boat” numbers we saw back when interest rates were low enough to make us giddy. For a lot of buyers, those mid-6’s feel like being invited to a backyard BBQ only to find out the burgers are veggie patties. Technically fine… but not what you were hoping for.

Why September Could Be a Big Deal

Here’s the tea (or should I say Onyx latte): the Federal Reserve is hinting that it might lower rates this September. Now, don’t start practicing your happy dance just yet—this isn’t a guaranteed return to the magical 3% mortgages of yesteryear. Those belong in the same archive as Blockbuster memberships and AOL email addresses.

But even a modest cut could have a real impact here in NWA. When rates dip, buyers tend to come out of Zillow scroll-mode and start actually touring homes again. Sellers see more foot traffic at open houses. And agents? Well, we get a small break from the endless “We’re just waiting until rates drop” conversations that make us consider switching careers to goat farming in Madison County.

What It Means for Buyers

If you’ve been eyeing that Bentonville townhome near the Greenway or a lake cottage in Bella Vista, a dip in rates could mean your monthly payment shrinks just enough to make it doable. It might also mean more competition—because when one buyer sees an opportunity, so do twenty others.

What It Means for Sellers

More buyers in the game = more showings, more offers, and potentially stronger selling prices. Translation: if your home has been sitting on the market feeling like the last kid picked for dodgeball, a Fed cut could suddenly make you the star quarterback.

What It Means for NWA Real Estate as a Whole

Let’s be honest: people are already moving here in droves. The job market is strong, the lifestyle is appealing, and Californians are still in shock at what $500K buys here compared to the West Coast. If rates budge even slightly downward, expect even more out-of-staters making offers on that Craftsman in Rogers or the new-build in Centerton.

The Bottom Line

Mortgage rates are like Dickson Street traffic: unpredictable, occasionally ridiculous, but impossible to ignore. September’s Fed meeting might just be the plot twist the Northwest Arkansas market has been waiting for.

So whether you’re buying, selling, or just nosy (hey, we all love a good Zillow scroll), keep your eyes on those rates. The housing market in NWA is already exciting. Throw in a Fed rate cut, and things could get downright dramatic.

Posted on

Buyers Be Like: “I Swiped Right on That House but I’m Not Ready for a Relationship”

There was a time—not so long ago—when a buyer walking through a home with me, wide-eyed and holding a pre-approval letter, meant business. These days? Let’s just say I had a more serious conversation with my Uber driver last week, on my way home from a wine-tasting event. Maybe it was the wine.

Welcome to the era of the flaky buyer. They ghost faster than a bad Tinder date, fall in love with a house on Tuesday, and then decide by Thursday that maybe they’re “just not emotionally ready” to commit… to a mortgage.

So dear fellow agents, let’s break this down.

A Few Signs You’re Dealing With a Flake:

  • Says “this is THE ONE” and then asks, “But do you think it’ll still be available in 3-6 months?”
  • Is pre-qualified… by their mom.
  • Thinks Zillow’s Zestimate is more accurate than your market analysis. (Don’t worry, their cousin who sold a house in 2015 agrees with them.)
  • Books a showing, then cancels it, then rebooks, then no-shows, then calls you from another state asking if you can do a video tour “just in case this is the ONE.”

Red flags are flying everywhere, and as their agent, it’s time to set some boundaries.

What’s Causing All the Cold Feet?

  • Rates are unpredictable. Some buyers are waiting for the unicorn 2.5% interest rate to return—right after gas drops to $1.99 and Blockbuster makes a comeback.
  • Analysis paralysis. They’ve seen 40 houses and they’re still unsure. That’s not house hunting—that’s a hobby.
  • TikTok told them to wait. Never mind the fact that TikTok also thinks you should quit your job and raise alpacas.

Dear Buyers: A Word of Advice

Let me help you. We get it—this market is weird. But homes are still selling. Good ones. Great ones. Ones that could be yours if you stop treating real estate like speed dating. So if you’re serious, get your financials in order, trust your agent, and stop waiting for the market to send you a handwritten invitation in gold foil.

Otherwise, Zillow will keep leading you on with filtered photos and fake square footage, and your dream house will be living happily ever after…with someone else.

Time for a Realtor Confessional:

Listen, I’m not mad. I’m just emotionally exhausted.

The other week, I drove 8 hours a day for three days to show houses to an out-of-state buyer who just KNEW Bella Vista, AR was the place for them. Until he decided it was time to realize his childhood dream and buy a horse ranch in Texas.

Here’s another one. I have a house listed that has had 25+ showings in about five weeks. I’ve had at least 3 buyer’s agents tell me they were “95% sure” they’d be submitting an offer, then proceeded to ghost me harder than my 7th-grade crush after the spring dance.

I’ve started rating my real estate transactions like dates:
🏠 Cute house, great potential… buyer brought their entire family, including Grandma, who now has questions about the neighbor’s dog.
🏠 Beautiful views, solid price… buyer didn’t realize they shouldn’t quit their job while attempting to get a loan.
🏠 10/10 curb appeal… client canceled mid-drive because Mercury was in retrograde and they “just had a feeling.”

Y’all. I love helping people buy and sell homes. But if I had a dollar for every time someone bailed on a showing because it “just didn’t feel right,” I could buy the house myself….cash.

🎤 Final Thoughts:

So to all the buyers out there: We love you. We’re rooting for you. But please, if you’re not ready to commit, don’t drag us—and our emotionally invested sellers—through the home tour equivalent of a five-season slow burn romance that ends with “I think I need to work on myself first.”

Because while love might be patient… real estate agents are not.

Posted on

Where’d My House Go? (And Other Zillow Mysteries)

Imagine this: You have found THE ONE. No, not your significant other, but your dream house. This is it. You’ve pictured your couch in the living room, mentally repainted the guest bathroom, and picked out your kids’ future prom picture spot, and suddenly, you go to pull it up to tell your lender to get that pre-approval written, and yet…that listing has mysteriously vanished!

Poof. Gone. Like your willpower at a Home Goods clearance sale.

Welcome to 2025, where Zillow has decided it’s not just a real estate website… It’s a judge, jury, and real estate executioner. Introducing: the Zillow Blacklist.

Apparently, if a listing breaks one of their vague, sacred guidelines, or, God forbid, if the algorithm simply wakes up in a bad mood, your beloved dream home can get yeeted off the platform. Not “sold.” Not “pending.” Just… erased. As if it never existed.

No warning. No closure. Just you, clutching your smartphone, whispering, “But we had plans…”

Why is this happening?

Because 2025 is wild, and Zillow has entered its villain era. They’re cracking down on “non-compliant listings.” Things like duplicate posts, funky square footage math, or too many exclamation points in the description. (Sorry, Karen. “LUXURY!!!” is now a crime.)

But the real twist? Some perfectly normal listings are being removed just because they’re linked to MLS systems or brokerages that aren’t on Zillow’s “approved list.” Translation: The platform drama is messier than a family group text.

Meanwhile, in Zestimate Land…

Let me be real. Part of me is glad lots of people are griping at Zillow right now. It’s never been great at accuracy. And let all the real estate agents say Amen!

Their home value estimates are like mood rings: slightly mystical, mostly wrong. One minute, your house is worth $400K. Next, it’s a $750K “hot home” because you installed a new mailbox, and someone two blocks away sold a pool house with a llama barn.

And yet, this is the tool that shapes how some sellers price their homes. So now you have Betty in the cul-de-sac refusing to list unless she gets “Zillow money,” even though her place still has carpet in the bathrooms and a suspicious odor in the sunroom.

Thanks, algorithm. Really helpful.

However, Zillow does have its place. As an agent, when I list a property, I always check to be sure it’s showing accurately on Zillow after I list on the MLS because I know there are a ton of people out there not working with an agent and instead rely on sites just like Zillow to find their next home.

So yeah, it’s kind of important that Zillow has its crappola together.

What does this mean for buyers?

It means you might need to work with an actual human (gasp)—a real estate agent who can access the listings Zillow ghosted. Remember agents? They’re like Zillow, but they talk back and don’t glitch when you ask too many questions.

And for sellers?

If your home gets blacklisted, don’t panic. Your house isn’t cursed. But your visibility might be. Less exposure = fewer buyers = more time explaining to your spouse why no one has called for a showing.

Also, a gentle reminder: just because your Zestimate says you’re sitting on a real estate goldmine doesn’t mean buyers agree. Or the appraiser. Or reality.

So please, Karen, trust your agent over an algorithm that thought your split-level with zero curb appeal was a luxury estate.

Final Thoughts

In a world where AI decides what we eat, watch, and swipe right on, it’s no shock that it now decides which houses we’re allowed to see. But don’t worry. Somewhere out there, your dream home is still waiting for you—probably on a platform no one uses and listed by a sweet 68-year-old realtor who still prints directions from MapQuest.

Happy house hunting. And may the algorithm be ever in your favor.

Posted on

I Flip (and Build) Houses for a Living, But Apparently Can’t Be Trusted with One of My Own

Can I just vent for a second? I’ve had three cups of coffee and can hear colors arguing over whose hue is superior. I’ve got to get this rant out before I have a caffeine-induced stroke.

Our family has been self-employed since 1999. We’ve specialized in real estate investing since 2006. That’s a long time. It’s been fabulous and freeing and all the things one can imagine…until the Hubs and I go to buy a house for, God forbid, ourselves!!

My husband can analyze cash flows, estimate ARVs, and negotiate offers like he’s in an HGTV showdown. We can build houses from the ground up, navigate the pitfalls of city permitting, and even help others build wealth through real estate—but mention that we want to buy a home for our own family, and suddenly, we become a financial wild card.

“Self-employed, you say?” the mortgage underwriter raises an eyebrow. “We’re going to need two years of tax returns, bank statements, letters of explanation, a signed affidavit from your third-grade math teacher, and maybe your blood type. Just to be safe.”

Meanwhile, our W-2 friends are getting preapproved faster than I can say “debt-to-income ratio,” all because they have a magical thing called a pay stub. Apparently, that tiny slip of paper holds more power than our 60-personal financial statement showing eight flips, five rentals, three new builds, and the fact that we haven’t missed a payment since Blockbuster was still a thing.

But wait! There’s more! The dreaded “write-off dilemma.” As any savvy investor knows, the key to not giving Uncle Sam half your soul is writing off everything legally possible. That cup of coffee during a contractor meeting? Write-off. The paint samples from Lowe’s? Write-off. The conference you attended in Vegas? Okay… maybe half of that.

But here’s the catch—those write-offs shrink your taxable income, and guess what the bank uses to qualify you for a mortgage? That’s right. Your taxable income. According to our tax returns, we make about $37.52 a year.

And then there are those glorious years when your tax return shows a juicy profit—enough to make your mortgage lender do a little happy dance in their ergonomic desk chair. But just as they’re about to approve you, they flip to last year’s return… and there it is: that big, beautiful loss. Suddenly, the mood shifts. You go from “promising borrower” to “riskier than a fixer-upper with a foundation issue.” Because if there’s one thing real estate is known for, it’s feast or famine—and mortgage lenders want to see two solid years of you feasting, not surviving on ramen and sheer willpower.

So now we’re sitting across from a loan officer, explaining that, yes, while we technically some years look like we “made nothing,” we actually always do make something. A lot of somethings. And I swear we can pay the mortgage. But unless I can time-travel and amend two years of tax returns, we’re out of luck.

You know what the real kicker is? After all the scrutiny, the lender graciously steers us toward their in-house loan—complete with a higher interest rate. Because nothing says “we trust your financial savvy” like penalizing you for excellent credit and nearly two decades of surviving the wild rollercoaster that is the real estate market. Meanwhile, someone flipping burgers at McDonald’s (no shade!) might qualify for a conventional loan with a lower rate, despite earning less and possibly quitting next Tuesday. But us? The seasoned investors? Try getting a personal mortgage and suddenly we’re treated like a financial liability armed with a Pinterest board and a dream.

In conclusion: real estate investing is glamorous—until you try to buy a house for yourself. Then you realize the system was built for people with jobs that come with watercoolers, not tool belts and spreadsheets.

But that’s okay. Because we self-employed real estate folks are used to creative solutions. If we can turn a condemned properties into a cash-flowing beauties, surely we can find a lender who understands the hustle.

Or at least one who doesn’t flinch when we say, “we’re self-employed.”

Posted on

Confessions of a Real Estate Pro: Drop the Interest Rate, I’m Begging You

As a real estate professional, I’ve seen some things that would drive a weaker woman to whiskey. I’ve seen buyers cry in kitchens (and not just because of the backsplash). I’ve seen sellers list their homes for the price of a small country. I’ve written contracts at midnight, talked nervous first-timers off the ledge, and yes, I’ve survived the great toilet paper staging shortage of 2020. 

But lately? The greatest challenge isn’t picky buyers or appraisers whose sole mission in life is to kill agents’ deals. No, friends—it’s the interest rate. That little percentage is out here acting like it pays rent and has an opinion.

Real Talk: This Interest Rate Is Killing the Vibe

Let me paint you a picture. A couple falls in love with a home. Perfect location. Dream kitchen. Room for a dog and maybe even a baby. I run the numbers, and BAM—they realize their monthly payment is now the same as a luxury car lease… for two luxury cars. 

And one of them is on fire.

Cue the heartbreak. Cue the “maybe next year.” Cue me whispering sweet nothings to my lead tracker like, “It’s okay…they’ll be back…someday.”

Let me give you some more straight talk. This interest rate is also tanking the housing market. Maybe you think you already know why, but do you? Really?

Here’s Why We Need the Rate to Chill Out

1. Buyers Are Holding Back Like It’s a Junior High School Dance

Remember school dances? Everyone standing around awkwardly waiting for someone else to make a move? That’s the housing market right now. Buyers are hesitant, sellers are salty, and I’m just here holding my clipboard like a chaperone, wondering when the DJ will play something from the 80s.

A lower interest rate would be the Michael Jackson song that gets everybody on the dance floor.

2. Sellers Need Hope Too (and a Little Motivation)

Right now, many sellers are locked into 2-3% rates on their current homes and looking at the 7% market like, “Eh… we’re good.” I can’t blame them. But if rates dropped, we’d see more listings, more movement, and fewer homeowners treating their current mortgage like it’s a family heirloom.

Why is this important? I’m so glad you asked. 

  • Lower rates mean lower mortgage payments bringing buyers back into the market.
  • More buyers mean more demand and more movement in this stagnant housing market.
  • Sellers would start to sell again, bringing more inventory back into the market and balancing supply and demand.
  • Overall this creates a healthier market cycle.

Moving on….

3. I Would Like to Sell a House Without Explaining What a 2-1 Buydown Is

Every conversation starts the same way: “Well, the rate’s high, but have you heard of a 2-1 buydown?” By the end of the explanation, I feel like I’ve taught a semester of Econ 101 with none of the tenure. I’m not saying I mind educating people—but could we go back to a time when getting a mortgage didn’t require a spreadsheet, a prayer, and a nervous breakdown?

4. I Miss the Excitement

Remember 2020-2021, when rates were low and buyers were practically sprinting toward open houses like it was Black Friday at Best Buy? Was it chaotic? Yes! But it felt like one never-ending real estate party. Now it’s like the party ended, and someone turned on the fluorescent lights. We need a little spark again. I’m not saying we go back to 20-21.  For a variety of reasons. Neither Covid nor that housing market was exactly healthy. Pretty sure we all needed therapy after that season. But what about in the form of a 4.5% interest rate and a fresh batch of motivated buyers?

In Conclusion: Do It for the Deals, Jerome

So, if anyone from the Fed is reading this: I get it, inflation is a thing, the economy is complicated, and you’ve got a lot on your plate. Dear Lord, somebody give Trump a Benadryl. 

But please… think of the real estate professionals. Think of the buyers. Think of the lonely For Sale signs swaying in the wind like forgotten dreams.

Lower the rate. Reignite the market. And let me go back to writing offers that don’t require a personal essay, three co-signers, and a letter from the Pope.

With love (and a stack of business cards I can’t get rid of), Your Friendly Neighborhood Real Estate Pro

Posted on

Five Reasons I Would Hate to Be a Custom Home Builder (And You Would Too)

Let me start by saying this: custom home builders are saints. They deserve medals, parades, and a lifetime supply of coffee or whiskey or whatever they want. Why? Because their job is like trying to build a house of cards… in a hurricane… while a group of opinionated people stand behind them yelling, “Can it be blue instead?”

And just maybe it’s because our family investment company is in the throes of new construction and permitting, and building, and listing said construction, and all the things that’s making me feel so passionate about NOT wanting to be a custom builder.

First things first. We are spec home builders. That means we come up with the designs, build the house, list it AFTER completion and sell it.  This, in and of itself, is hard work.

HOWEVER! Compare it with:

A custom home saint builder builds a house according to the owner’s design or even a design the builder provides with various options and finishes. The homeowner and builder work closely together to complete the project. 

When I say “closely,” think Glenn Close close in Fatal Attraction. 

So yeah, let me give you five reasons why I would rather wrestle an angry alligator while blindfolded than take on that job.

1. Your Boss is Johanna/Chip Gains (or thinks so, at least)

When you’re a custom home builder, you’re not just working for clients—you’re working for Alan, the amateur architect who used the free version of Home Dezign.com this weekend and thinks they’re now ready to pull permits. Along with Alan, you’ll also be working for Pam, the Pinterest consultant who has boards full of ideas, none of which will fit in their budget but is convinced it can be done. 

Buckle up for a never-ending parade of questionable ideas from people who just binge-watched three episodes of HGTV.

1.5 Your Boss is NOT Your Friend

It all starts well and good. They’ve seen your work, your designs. They’ve stroked your ego and said over and over again how “easy” they will be to work with. <Red flags start waving; you hear sirens blaring from somewhere>

Don’t be surprised when, halfway through the project, you’ve been labeled as public enemy number 1, and your professionalism, your integrity, and whether or not you might be color blind are all up for discussion and debate. 

2. Deadlines Are DOA

In custom home building, the timeline is like Bigfoot—everyone talks about it, but no one’s actually seen it. Clients want everything done yesterday, but then they suddenly need “a week to decide”  on the hardwood floors they picked out a month ago. Or the paint color that looks too warm now. Or is it too cold?

The deadline is gone. It’s crying in the corner with your sanity. Actually not sure you really had either of those things. 

3. Weather Schmeather

Rain? Snow? Tornado? It doesn’t matter—Mother Nature doesn’t care about your construction schedule.

Imagine this: You’re trying to pour concrete for a foundation. Suddenly, it rains so hard you wonder if you should add an ark to the design. But hey, the client just texted to ask if they can “move the master bedroom to the other side of the house.” Because, of course, that’s the real emergency.

4. You’ll Become a Counselor

Being a custom home builder isn’t just about homes; it’s about people. And people are… complicated.

You’ll mediate arguments between spouses about backsplash colors. You’ll calm clients when their dream countertop is back-ordered. You’ll explain (again) why they can’t install a fire pit inside their walk-in closet.

By the end of the project, you’re not just a builder—you’re their life coach, marriage counselor, and part-time babysitter.

5. Budget Woes

Clients start with a budget. Then they see shiny things. Suddenly, that budget is about as relevant as a flip phone.

Client: “We want to add a sauna, a marble fountain, and heated floors in every room. Is that possible for, like, $1,000 extra?” Builder: “Sure, if by $1,000 extra, you mean $50,000 extra.” (They always mean $1,000 extra.)

I get it. Building a home, especially your personal home, is a huge undertaking. Not just financially but emotionally and physically. It’s stressful, to put it mildly.  I know because we’re currently building our own personal home.

And I’d make any builder who had to work with me question their sanity. Luckily it’s just the Hubs and he’s stuck with me.

So, call me a coward, but we’ll just be sticking to spec home builds. 

To all the custom home builders out there, I salute you. May your coffee stay hot, your clients stay reasonable, and your deadlines… well, good luck with that one.

Posted on

“Home Sweet Affordable Home”: Tackling the Housing Challenge in Northwest Arkansas

Affordable housing is the cry of just about any major metropolis or fast-growing area in the United States. We left Austin almost two years ago, largely because the cost of real estate, remodeling, and building had become unsustainable, at least for us.  Affordable housing was simply a buzzword that the city liked to throw around council meetings to make themselves feel good while continuing their high regulations process, which caused the price of real estate to continue to rise. Oh, the irony.

Speaking of irony, after leaving Austin, we ended up in the most expensive area of Arkansas…NWA. 

While we love it here, we realized Bentonville and the surrounding areas have their own housing issues. Affordable housing and the ability, as a builder, to offer it is a huge issue. Because I’m up to my eyeballs in construction and maybe because I’ve had four cups of coffee this morning, I’ve got many ideas, but for the sake of time, let’s start with three. 

First, addressing the affordable housing shortage in Bentonville and the surrounding area isn’t a simple, one-and-done solution. It will require a multifaceted approach involving policy reforms, public-private partnerships, and community engagement. 

Buckle up, city folks because the first thing that needs to happen is: 

1. Implementing Policy and Zoning Reforms

Expedited Approval Processes. Ya’ll are killing us with your ever-evolving approval and permitting processes (I’m looking at you, Bella Vista). By streamlining the development approval process you can help us builders reduce construction timelines and costs, which can then be passed on to the public.

I’m not the only one saying this. In November of 2021, the city of Bentonville created a Housing Affordability Workgroup specifically to review housing needs, availability, and affordability in Bentonville. While city review groups normally give me a tic under my left eye, this one has some good ideas, specifically by recommending creating expedited processes for small-scale developments and affordable housing projects that meet specific criteria. 

Like I said, settle down wielding your permitting power, city people. 

2. Fostering Public-Private Partnerships

Collaborative Developments: An affordable housing community was created in collaboration with Excellerate Housing, Bentonville Schools, Benton County, Mercy, Walton Family Foundation, and Arvest Bank. McAuley Place exemplifies successful collaborations aimed at increasing affordable housing. This 160-unit development, located near the Bentonville Community Center, includes single-family cottages and multifamily units designated for local educators and staff. 

We need more of these.

Financial Incentives: Offering tax incentives, grants, or subsidies to developers who include affordable units in their projects can stimulate the construction of such housing. The federal Low-Income Housing Tax Credit (LIHTC) program, utilized in developments like McAuley Place, is a model for leveraging financial tools to support affordable housing. 

And finally, for today, 

3. Engaging the Community and Stakeholders

Housing Affordability Workgroup: Established by the Bentonville City Council, this group conducts reviews of housing needs, availability, and affordability and provides recommendations to the city. Their efforts have led to the development of Project ARROW, a targeted approach to increasing affordable housing supply through education and collaboration.

Educational Campaigns: Raising awareness about the benefits of affordable housing and involving residents in planning processes can build community support and reduce opposition to new developments.

By furthering the above ideas, we can improve the affordable housing situation in NWA or at least begin to move it forward. 

While I don’t have a crystal ball, all signs point to the fact that interest rates will drop sometime this year, and the housing market will heat up. 

Let’s prepare and be ready.