You found the perfect home and simply must have it! Your real estate broker is going to present your very strong offer to the seller’s broker and found out that there are several other offers on the home. You are very emotionally tied to getting this home. In this hot real estate market where homes can go within hours of being listed, some buyers are desperate to get the home they want. They may have written offers on several homes but weren’t successful. Writing a letter to the seller “pleading their situation” has occasionally been a tactic of buyers in such situations. Should you as a buyer write a letter to the seller in an emotional appeal for the seller to accept your offer? Consider the following.
What a Buyer’s Letter Is + When to Present It
A buyer’s letter to the seller is just that: a letter written by the buyer to the seller of the home that the buyer wants to purchase to encourage the seller to accept his offer. Letters are most often used when competition for homes is strong, there are multiple offers on a home, or when the buyer feels there is a special reason that the seller should accept his offer. The buyer may explain how this home fits him perfectly, what it would mean to his family to live there, tell the seller how well the home would be taken care of or restored, complement the seller on particular features of the home, etc., all aimed to get the seller to accept his offer. The buyer may also talk about his solid finances, job status, down payment, etc. to confirm his financial strength to purchase the home. The letter should be presented by the broker at the same time as the offer is being presented to the seller.
In some instances a seller may request a letter from prospective buyers. A buyer can include any of the items in the previous paragraph as well as a photo of the buyer and family. However, the seller must be cautious about basing his decision on any discrimination that could violate the Fair Housing Act.
How a Buyer’s Letter Can Help You
A buyer’s letter could be helpful when a buyer offers something special that the seller deems valuable. For example, if a buyer is a veteran, the seller may be a veteran or have veterans in his family and feels a strong connection with and to help veterans. Or, if a buyer wants to stress his intention to restore the seller’s home to its original grandeur and live in it, that may be important to the seller. The seller may prefer to sell to someone other than a fix-n-flipper. Writing a letter that tugs at what is important to the seller may help the buyer’s cause.
How a Buyer’s Letter Can Work Against You
A seller can use the buyer’s letter to the his advantage rather than the buyer’s. The letter shows the seller just how much the buyer wants the home. The seller may ask for more money. If the seller accepts the buyer’s offer, the buyer may be in a less favorable position when it comes to negotiating any negative results of the home inspection.
The buyer may find that the seller is only looking at the bottom line; the seller may have emotionally moved already and doesn’t care who the buyer is. The seller may care only about the money he is going to pocket.
Buyers can be emotional when it comes to buying a home. Understandable, but using emotions in making one’s decision, rather than realizing that buying a home is a major financial decision, can cloud one’s judgement.
How to get that house you love? Under the guidance and expertise of your Realtor® make the best and strongest offer you can. Discuss with your Realtor® the pros and cons of writing a buyer letter on that particular home. Whether or not you write a letter, if you don’t get the home, it may be for the best. You may even find a home more perfect for you.