Buying 19 March 2025

Buyer Letters: Do They Actually Help Your Offer Stand Out?

In today’s competitive real estate market, buyers are often looking for ways to make their offers stand out. One strategy that has gained popularity is writing a personal letter to the seller along with the offer. But does this approach actually work? Let’s explore the pros and cons of this tactic.

 

The Potential Benefits

Adding a Personal Touch

A well-crafted letter can add a personal touch to your offer, helping sellers visualize you living in their home. This emotional connection might give you an edge, especially if the seller has a strong attachment to their property.

Standing Out in a Crowded Field

In situations where sellers are reviewing multiple similar offers, a heartfelt letter could potentially make your offer more memorable. This might be particularly effective in markets where bidding wars are common.

Explaining Your Offer

A letter provides an opportunity to explain the reasoning behind your offer, which could be beneficial if there are unique circumstances involved.

 

The Drawbacks and Risks

Fair Housing Concerns

One of the most significant issues with offer letters is the potential violation of fair housing laws. Sellers and their REALTOR® may open themselves up to lawsuits if they appear to choose buyers based on personal characteristics disclosed in these letters.

Limited Impact on Decision-Making

Many real estate professionals argue that offer letters rarely influence the final decision. As one agent put it, “I’ve never seen a property sell on the letter on its own — only when a letter is also with an offer that is better than someone else’s”.

Potential for Negative Reactions

Some sellers may view these letters negatively, seeing them as attempts to manipulate emotions in what should be a straightforward financial transaction.

 

Best Practices If You Decide to Write a Letter

If you choose to include a letter with your offer, consider these tips:

  • Keep it brief and focused: Aim for a concise, well-written letter that highlights why you love the home.
  • Avoid oversharing personal details: Be cautious about including information that could potentially lead to discrimination.
  • Highlight what you love about the home: Mention specific features that appeal to you, showing the seller you appreciate their property.
  • Proofread carefully: Ensure your letter is free of errors to present a professional image.
  • Couple the letter with a strong offer: Remember that the financial aspects of your offer will likely carry more weight than the letter itself.

 

Final Thoughts on Offer Letters

While a personal letter to the seller might seem like a good way to make your offer stand out, its effectiveness is debatable. The most crucial factors in a successful offer remain the price, terms, and overall strength of your bid. If you do decide to write a letter, do so thoughtfully and be aware of the potential risks and limitations.

Ultimately, working with an experienced REALTOR® (like myself!) who understands the local market dynamics is likely to be more beneficial than relying on a letter to sway a seller’s decision.

 


 

Looking to buy, sell, or invest? As your REALTOR®, I’ll guide you every step of the way. Contact me today and let’s turn your real estate dreams into reality!

 

For more information, contact:

 

Susan Moffat, REALTOR® with Century 21 In-Studio Realty Inc., Brokerage
519.377.5154
susan.moffat@c21.ca