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As a buyer, your financial situation dictates whether making a cash offer is an option. FHA loans are ideal for home buyers who can’t afford to put 20% down because they require only a minimum 3.5% down payment. In many cases, offering cash also removes the need for an appraisal on the home—something banks do to ensure a potential lender isn’t overpaying for a piece of property. Provide a ton of value upfront, let them dictate the time frame, and stay in touch. That way, when the time is right for them to hire a real estate agent, you’re their first choice.
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Are Offer Letters a Savvy Real Estate Move or Discrimination? - Seattle Met
Are Offer Letters a Savvy Real Estate Move or Discrimination?.
Posted: Wed, 08 Apr 2020 07:00:00 GMT [source]
I am willing to pay [offer amount] for the property, and I believe that this is a fair price based on my research of comparable properties in the area. That said, the offer letter doesn’t contain the vital details of the offer. Your price, contingencies, move-in date and concessions will determine whether the seller considers your offer at all. However, if your offer gets your foot in the door, the offer letter can help it stand out a little more.
Address The Seller(s) By Name And Introduce Yourself
After you’ve taken the time to compliment the seller and the home, you can add in some personal information. You want the seller to choose you over the other interested buyers, so it’s wise to try to include memorable facts about yourself. You can talk about your family and where you’ll be moving from or throw in other comments that could give the seller a sense of what moving into the house would mean to you. Now let’s explore each section of a winning real estate offer letter template.
What Is A Real Estate Offer Letter?
You’ll want to include the list price, sale price, and days on market. If there were multiple offers, you may also want to include how many were received. Always include your contact information and a call to action, such as an offer for a free home valuation. Right off the bat, you give your offer letter a personal touch and stand out from the folks who opened with a blasé Dear Homeowner, or the cringe-inducing To Whom It May Concern. Instead of a faceless offerer, you become a real person with a real interest in the home. Even if you’ve always been a renter, you’ve established emotional connections and memories with your past apartments.
Of course no pre-made template will exactly match the specifics of your buyer’s purchasing situation. You’re better off leaving out photos, as doing so could end up unintentionally leading to discrimination. Chances are, they’ll feel much better about selling a special part of their lives to someone with whom they’ve made a connection.
Is it worth it to write a letter with a house offer?
James DiPasquale, Reynolds’ attorney, said Kea‘au Development’s last offer to Reynolds was contingent on title insurance being available. He hammered on Kea‘au Development’s claim that Reynolds has been unjustly enriched by the erroneous building of the home on her property. “As soon as our conversation started, she came out with a comment for us and PJ’s to get creative with our offer, and don’t low-ball it.
Therefore, abstain from mentioning your remodeling plans during negotiations, as they’ll likely work against you. House hunting can be discouraging after having your fourth or fifth offer rejected. Writing a detailed message to the seller might help increase your visibility among buyers.
Personal details of the seller

With master’s degrees in mathematics and physics and a passion for fiction writing, she is a polymath who enjoys sharing her learning and knowledge with others. If you can let the seller pick the closing date or otherwise have the ability to offer concessions here and there, tell the seller about that. Not only does it inform them of your flexibility, but it lets them know you are personable and approachable about it. Introduce yourself in the letter, but be careful not to give away too many details. You want them to have a sense of who you are, but not so much information that they can start finding reasons to dislike you. Less is more — most especially when it comes to any information that may hint at your status within any protected class, as mentioned above.
Step 5: Negotiate The Price And Terms Of The Sale
If working on a letter sounds intimidating, don’t worry – this guide will walk you through how to write an offer letter for a house. Buyers typically start a house hunt by being preapproved for a loan from a bank. This gives them a ballpark range of what they can expect to be approved for with a home loan.
Include information on your loan status (if you are approved) and the amount of your down payment. Be careful to avoid overstating your financial status, and instead stick to your offer throughout the letter. Any financial information should be direct and accurate, as misrepresenting yourself could cause problems during negotiations. This is also a good time to reinforce the closing date, which will let the seller know you are ready to move forward with the transaction should your offer be approved.
Maybe the home closer to your job and the shorter commute would mean more time to spend with your family. Now that you know what to include in the letter, it’s important to examine what not to include and why. At HomeLight, our vision is a world where every real estate transaction is simple, certain, and satisfying. Therefore, we promote strict editorial integrity in each of our posts. Here are seven ways to personalize such a letter, get the house, and enjoy those Scottsdale, AZ, valley views under a setting sun.
We have been very impressed with [mention objective features of the property, e.g., the spacious layout, the well-maintained landscaping, the desirable neighborhood]. We believe this property would be a [describe your situation objectively, e.g., ideal location for our work commute]. You are now leaving the SoFi website and entering a third-party website.

They may believe an offer letter could help personalize the negotiation and possibly make a connection with the seller. But writing an offer letter comes with potential risks buyers should be aware of. You might include a few high-level details regarding your finances, such as whether you’re preapproved for a mortgage, how much down payment you plan to make, and any earnest money you’re offering. The letter to the seller will be sent along with a formal offer that includes all the financial details.
Read along to get our free home offer letter templates, learn what to include and avoid in your letter, and get details on how to deliver it to sellers. A buyer who is financing a purchase may wish to mention they have a preapproval letter from a lender, and also indicate how large of a down payment is being made. Buyers who are paying all cash may wish to let a seller know the funds are on hand, and that the closing date can be flexible based on the needs of the seller. A house offer letter gives you one more resource to help you secure a home, especially if the situation is right and you’re in a tight housing market.
It’s even better to have a mortgage approval with documentation to back it up, like a Verified Approval Letter (VAL)¹ from Rocket Mortgage®. His journey from earning a modest income to becoming a successful real estate entrepreneur and educator showcases his expertise and dedication to the field. Connect with our real estate and technology veterans who know how to generate momentum.
As such, you should always check with the agent and the seller before submitting a letter. It’s an accompaniment to your offer that appeals to the seller’s emotions and might make them lead towards choosing your offer over a competitor’s offer. By informing the seller when you plan on paying what amount, you show them that you’re a serious buyer with a clear plan to finance your purchase. This can help reassure the owner that you’re a trustworthy buyer.
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