Buyer Love Letters - Do They Work?
In the multiple offer era of 2021, “love letters” to the seller became more popular. Do they really work? Yes! Here’s a look at who cares to read the letters…
Sentimental Seller: Some sellers genuinely care who buys their house, especially if they’ve lived there a long time or raised a family there. If they are close with their neighbors, they may feel obligated to choose someone they think will get along well. If two similar offers come in and one is from an investor who plans to rent the house out vs. first time home buyers who will owner-occupy, many sellers will lean towards the latter.
Savvy Seller: Other sellers are more focused on dollars and therefore less sentimental. However, they want a committed buyer who won’t flake and waste their days on market. A letter that conveys commitment from a serious buyer will be well received, even if the seller is solely focused on $.
Curious Seller: Sellers often want to know more about buyers. Whether to gauge their commitment or just out of curiosity, most sellers will Google buyers. Without a letter, the only way to get to know the buyer is through internet sleuthing.
Animal Lovers: Pets matter too! People with animals identify with fellow animal lovers. If the house already has a cat door and the buyer mentions their “9 year old cat named Waffles,” it makes sense that a seller would be more excited to work with them.
The only caveat to buyer letters is our commitment to Fair Housing laws. As real estate licensees, we are held to very high standards when it comes to preventing discrimination. As listing agents, we may elect to hold letters with buyer photos and just share the written portion of the letter to prevent any unintended discrimination or prejudice. Everyone deserves to have the same shot at a home purchase, despite race, age, familial status, etc.
