How Do You Even Sell a House With Interest Rates at 7%?

I'm so glad you asked! I was at a wedding a few weeks ago, and while we were sitting at our table patiently waiting for our number to be called for the buffet line, someone asked me that exact question.

And the answer was simple.

Just kidding! Well, actually, the answer WAS simple. But the work behind that answer? Not so much.

One of the more challenging parts of real estate is managing expectations, especially when the market is changing. For a while there, it seemed like you could put just about anything on the MLS and get offers. I never really took that approach, but there were certainly people who did, and it worked out just fine for them. I guess. But with higher interest rates, affordability challenges, and buyers being a little more selective about where they're spending their money, the strategy behind selling a home matters more than ever.

Which brings me to a recent listing and some sellers who absolutely understood the assignment.

These clients had lived in their home for nine years, and when we started talking about getting it ready to sell, we had a pretty significant to-do list. Nothing necessarily out of the ordinary for a home that had been lived in and loved for nearly a decade, but there was some work to be done. One of the biggest items? Painting. And I'm not talking about touching up a few scuffs here and there. I'm talking floor to ceiling, practically every room in the house.

Now, if you've ever hired a professional painter to paint an entire house, you know that's not an inexpensive project. (And yes, I absolutely recommend hiring a professional for this, but that's a conversation for another day.) So naturally, my sellers asked a very reasonable question: "Are we going to get that money back?"

My answer? Yes and no.

No, we can't simply take the cost of painting and add it to the list price. That's not how real estate values work. But could that investment make a difference in how the home shows, how quickly it sells, and ultimately the offers we receive? Absolutely.

Here's what I explained to them. The longer a home sits on the market, the more buyers start to wonder what's wrong with it. And as days on market accumulate, sellers can begin to lose negotiating leverage. That's why those first few days on the market are so important. We want to make the strongest possible impression right out of the gate, when the listing is fresh and buyers are paying attention.

And here's something I think sellers sometimes underestimate. Buyers are already dealing with higher mortgage payments than they were a few years ago. So when they walk into a house and immediately start calculating the cost of painting, replacing flooring, or tackling a list of projects, those expenses can feel even bigger. The more we can eliminate those objections before the home hits the market, the easier we make it for buyers to picture themselves moving in.

Thankfully, these sellers trusted the process. They moved out, had the home professionally cleaned, took care of the repairs we knew needed attention, and invested in having the entire interior painted. It was a lot of work, and certainly not an insignificant expense. But by the time we were ready for photos and showings, the house was looking its absolute best.

And guess what happened?

Three offers in three days.

In a market where people are asking me how we're even selling houses with interest rates around 7%, these sellers had multiple buyers competing for their home. And that competition meant more than just a great sale price. It gave them negotiating power, allowed them to secure favorable terms, and put them in a much stronger position than they would have been in if we'd simply put the house on the market and hoped for the best.

And that brings me back to the painting question. Did we add the cost of painting directly to the asking price? Nope. But did that investment help us present a home that attracted multiple offers and ultimately produced a result that more than justified the work and expense? I certainly believe so.

Now, does this mean every seller needs to move out and paint their entire house before listing? Of course not. Every home, price point, and situation is different. Sometimes a fresh coat of paint is exactly what a property needs. Other times, the money would be better spent somewhere else. And sometimes, the smartest advice I can give a seller is to leave something alone.

The point is that selling a house successfully takes more than putting a sign in the yard and hoping someone falls in love with it. It takes an honest assessment of the property, an understanding of what buyers are looking for, and a willingness to make strategic decisions before the listing ever goes live.

So, how do you sell a house with interest rates at 7%?

You do the work before you put it on the market.

Simple answer. Plenty of work behind it.

And in this case? Three offers in three days. (And yes, they got their money back)

I'd call that a win!