How to Write an Offer Letter That Will Win Sellers Over
When you’re in a competitive real estate market, you need to use all the ammo you have to win over the seller. You can often be successful by putting your best foot forward and writing a personal letter to the seller.
There are many reasons why a home is sold and not all of them will a letter work with, new construction, bank owned and investor-owned property tend to fall into that category. Personal letters are best used when there is an emotional connection with the home, like longtime owners. These type of sellers may have lived in the home for decades and started and raised their family there, or perhaps the home is being sold after a death in the family. Sellers that treat real estate as a business are usually only concerned with the net profit of the transaction.
Regardless if you choose to write a personal letter, the financials of your offer is going to carry the most weight. Making a strong offer is your best option, but when you’re in multiple offer situation, a personal letter can make the difference when you’re a few dollars apart from your competition. With that in mind, here’s how to craft an offer letter that can make the difference when you find your dream home.
Write the letter yourself
When writing a letter to submit to the seller with your offer, the letter should come from you, not your real estate agent. The letter has to be personal and convey the emotional attachment you feel towards the home in a way that touches the seller. It’s like a love letter to the home and should compel the seller to choose you.
Explain why you want the home
Whether or not you know the reason the seller has decided to sell, a good strategy is to write about why you want to buy the home. You must appeal to their emotional side and at the same time fulfill their financial interest in your offer. Be specific as to what you love about the home. Tell them how you see your family living and using the home.
When you viewed the home for the first time, did you notice anything that the seller may have invested a lot of time and passion? Touching on those specific items and how you felt and would use the man cave or craft room, or talking about how beautiful the bathroom they remodeled is, helps forge a connection. Now is the time to make the sellers see you in the home. Selling a home is emotional for a lot of sellers with years of family memories, being able to connect with them on this level could help them choose your offer.
Don’t be afraid to talk about your family. Did you just get married, are you expecting your first child? Do you have children or are you planning to start your family in the home? Your letter is an opportunity to introduce yourself and tell the seller your long-term goals for living in the home. If it’s relevant, tell them if you live in the area, grew up in the area or if you went to school nearby. Do you have family in the neighborhood?
Assure them you’re a strong buyer
When you submit your offer, you should provide a pre-approval or proof of funds letter, and it’s ok to tell them a little about your ability to purchase. Sellers want to know a buyer as the means to make good on their offer. You can tell them what you do for a living and how long you have been at your job. And you can mention that you have solid credit and plan on putting x amount of dollars down.