You’re probably familiar with letters to Santa. You’ve most likely heard of letters to the editor.
But have you heard of a homebuyer letter? In the very competitive Ottawa Real Estate Market, some buyers are including these communications, either as a letter, or sometimes even as a video, when they submit offers to purchase a home. If the trend grows, these messages could become common documents among real estate paperwork. Here’s how it works.
What is a homebuyer letter?
These notes are designed to make a buyer’s offer more personal and appealing. The goal is to encourage the seller to choose the writer of the letter over another buyer.
In hot markets, a seller may receive multiple offers at once and must then choose which offer to negotiate or accept. To make their offer stand out, buyers are using these letters. They are written to sellers to plead the buyer’s case, offering reasons the seller should accept this offer over others.
What is included in the letter?
The exact details vary from letter to letter, but many contain similar details. Buyers often mention the features of the home that they love, discuss how they plan to use the house, or reassure the sellers that they don’t plan to make significant changes to the home. This can prove helpful in situations where the seller has lived in the home a long time or the property has been in the family for generations. Buyers may also include personal information such as hobbies and professions to try to further connect with the seller.
Does it work?
Apparently, it can. Real estate agents have reported instances when sellers did not choose the highest bid because of a letter included with a lower offer. Of course, this tactic is not guaranteed to work. For many sellers, the price is all that matters. And to others, the letters can come across as corny or inappropriate. Is this a good strategy to use for your next offer? Should you polish up your writing skills and submit a homebuyer letter? Maybe.
Consult with your real estate agent to determine what’s best for your situation.