Do Buyer's Love Letters Really Work?

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Real Estate

With low inventory driving home prices through the roof around the country, bidding wars, over-the-top cash offers, and waived inspections have become frustratingly commonplace. In these booming markets, buyers often need to act fast and stretch their budget far beyond their comfort level for even a shot at their dream (or dreamy-enough-for-now) home.

But if you're like most buyers and don't have your own personal Brinks armored truck parked in your  driveway, you'll need to get creative to gain an edge over those other wanna-be homeowners. It's time to talk about the "love letter."

A personal letter from a potential buyer to a seller has become an increasingly popular tactic in recent years. Sellers often have an emotional connection to their home, and getting a heartfelt letter explaining why their house would mean so much to you might just be what it takes for them to pick your offer over another's.

If you're looking for a way to tip the home-buying scales in your favor, check out these love letter writing tips:

Don't use a template
The most important thing you can do is to speak from your heart. If you use a template that you found online or you fill your letter with tired clichés, your love letter will probably backfire. Sellers (and their agents) know what their home is worth, so don't insult them by trying to manipulate them into a low-ball offer. The goal is to appeal to the seller's emotional attachment to their property, so share your own feelings of connection with their home and how much their beloved house will be a cherished part of your own future.  

Build a connection
If at all possible, try to identify and highlight a commonality you have with the seller. Are the sellers moving because their kids just left the nest? Let them know you want to raise your own family there. Does the home have a fenced-in yard because the seller needed a play-place for their pups? Make sure to mention how much your own fur-babies will enjoy romping in their safe outdoor space. The same goes for shared hobbies, community interests, or anything else that lets the seller know you'll appreciate their home and area for the very same reasons they did. Again, just make sure to be genuine.

Appreciate their hard work
If you notice the sellers have made improvements in their home, like updating the kitchen and baths, or replacing old carpeting with hardwood or tile, feel free to mention that. Owners put a lot of time, money, and effort into maintaining and improving their property, so it feels great to have other people notice. Even if you have your own remodeling plans in mind, don't mention them. It's better for a seller to imagine that you'll enjoy the spaces just the way they did.

Don't appear desperate (even if you are!)
If you come across as too needy or desperate, that's not going to appeal to a seller. Keep things positive, and don't put the seller in an uncomfortable position. You want to make them feel happy about passing their home on to you, not guilted into feeling sorry for you.

Keep it short and sweet
You don't need to write an autobiography, you just need a couple of compelling  paragraphs. Your goal is to not only convey why the house is so meaningful to you, but to also convince the seller why you would be its perfect new owners. Before your agent presents the letter for you, have her/him review it to see if your words might do the trick!

Don't bark up the wrong tree
If the person selling a house is an investor or builder, you can probably skip the love letter altogether. They are simply trying to maximize profit and won't have an emotional attachment to the property at all. The way to win their heart is to offer more money or fast-track the closing date, if possible.

Remember, even the most perfectly penned letter written straight from your heart won't win you the contract on its own. But it's one more very personal approach that could make all the difference in this highly competitive market. So get out your pen and paper (along with your letter of loan pre-approval or your proof of funds) and start writing!