Jean Folger has 15+ years of experience as a financial writer covering real estate, investing, active trading, the economy, and retirement planning. She is the co-founder of PowerZone Trading, a company that has provided programming, consulting, and strategy development services to active traders and investors since 2004.
Updated July 08, 2024 Reviewed by Reviewed by Khadija KhartitKhadija Khartit is a strategy, investment, and funding expert, and an educator of fintech and strategic finance in top universities. She has been an investor, entrepreneur, and advisor for more than 25 years. She is a FINRA Series 7, 63, and 66 license holder.
Fact checked by Fact checked by Katrina MunichielloKatrina Ávila Munichiello is an experienced editor, writer, fact-checker, and proofreader with more than fourteen years of experience working with print and online publications.
A homebuyer's letter to the seller, or offer letter, can convince the seller that you are the right person to buy their home. It's not required in the homebuying process, but you can use this strategy to stand out from the crowd and compete in a bidding war.
If you have a small down payment or are getting a home mortgage, you may have trouble competing with all-cash buyers who are able to entice sellers with clean offers and speedy closings. A letter to the seller can give you an opportunity to make a case for why you should buy the home.
Here are nine tips to help you write a letter to convince the seller that the house should be yours.
Some letters to sellers are handwritten. Others are typed and printed. You may want to use special stationary to help your letter standout. Think about what kind of appearance you want to present to the seller with your letter's format.
Look for something you and the buyer have in common and build on that connection. The goal is to help the seller identify with you and your family in your offer letter. Perhaps you are in the same line of work or share an alma mater. Pay close attention to details as your real estate agent shows you the home, so you can find a potential bond and build on it in your letter.
If the seller is a builder or an investor, they likely won’t care who buys because there is no emotional attachment to the home. Investors focus on money and a fast closing. If that’s the case, you probably don’t need a homebuyers letter.
Avoid sharing your entire life story to get your point across. Sellers are do not want to wade through pages of your personal history. Instead, try to keep the letter to a single page, even if that means a lot of editing. Focus on two or three of the most important reasons why you are the best buyer for the home and leave out the fluff.
Writing about all the offers you have lost in the past can put the seller in an uncomfortable position. One may feel bad for you, but will ultimately wonder why you’ve had so much trouble buying a house. Remember, nobody likes drama. If you appear desperate for any reason, you’re going to make the seller uncomfortable, so it’s important to stay positive. You want the seller to feel warm and fuzzy after reading your letter.
The way home sales are conducted changed in the spring of 2020 as people avoided close person-to-person contact. For some, it made buying remotely make more sense. For those shoppers, finding an agent who has experience with remote transactions is an important step.
Think back to your essay-writing days. You might remember a teacher saying, "Show, don’t tell." The idea here is you want to use details to illustrate your points in your letter to the seller. Don’t be afraid to show your attachment to the home. Sellers like to know it will be more than just an investment to you. Instead of writing "Your house is so beautiful. It’s just what we’re looking for," try, "Our twins are almost two years old, and we can already picture them playing happily in the fenced-in backyard and sleeping peacefully in their cozy rooms." Sellers who raised their own family in the home may like the thought of a new family loving it as much as they did.
A letter to the seller will also explain how you plan to pay for the home so that the seller knows what to expect with the process. Let the seller know whether you plan to use a mortgage or pay in cash. If you're using a mortgage, detail how much you plan to put down and include a pre-approval letter from your lender.
People are inherently protective of their homes, so be mindful of their feelings when composing your letter. Chances are your remodeling plans will change (or destroy) something the seller has an emotional attachment to, such as the bathtub the kids splashed in, the breakfast nook where studying late at night earned someone a college degree, or the tree under which the beloved family dog is buried. Keep your plans to yourself and let the seller picture you enjoying the home the way they enjoyed it.
Finish with a short paragraph reinforcing one or two key points you made in the letter (e.g., why you love the home, why you’re the best buyer). Also, be sure to show your appreciation for the seller’s time and consideration and the opportunity to write an offer. Sign with something like "Thank you so much for your time," as opposed to "Best regards," which may come across as too businesslike.
There are grammar police everywhere. To be safe, assume the seller is one of them. Review your letter for grammar, spelling, and punctuation, paying close attention to sneaky mistakes spell check doesn't always detect, such as they're/their/there, your/you’re, and it’s/its. If proofreading isn’t one of your strengths, ask a friend or family member to review it for you. Approach the task with the same attention to detail you’d give a cover letter for a job.
A well-written, mistake-free letter shows you care about making a good impression.
We are a family of four - myself, my husband, and my 4-year-old twins. We have raised our children in this area, where we ourselves grew up, and are ready for larger space as we're expecting another child by the end of the year. Your beautiful home, with its large yard and spacious kitchen is exactly what we're looking for.
We were especially impressed with the great bedroom layouts and upstairs laundry room. I can easily envision our family making many wonderful memories in this home.
We have included a pre-approval from our lender for a loan in the amount of your asking price. We would also like to include an additional $10,000 in cash.
Thank you so much for considering us as the next residents of your home. Please know it would be in good hands.