Pick Me! Pick Me!
What you need to seal the deal on your home purchase
You could barely tell the color of the tabletop underneath all the business cards. With that kind of pile, you couldn’t even read the individual names, only the bolded company logos and realtor’s glamour shots stood out. Every time some new couple entered the house, their realtor plopped their card on the table. This house was being courted, big time. There must have been over 100 cards atop the table, and our realtor said the sellers had already received 12 offers. How was our offer on this house (where I was sure we were going to be happy the rest of our lives) going to stand out among the masses?
Turns out, it didn’t. Not even a little bit.
We had offered 102% of the asking price and included an escalation clause. We had a professional pre-inspection conducted before even submitting our offer so we could waive the inspection contingency. But our offer didn’t even make it twenty minutes out of the gate. Almost immediately after they started reviewing the offers, ours was let go.
Although I look back on that day and still feel the sting of rejection, which of course I took personally, I learned some key lessons.
Cash is always king…. well, most of the time. Cash almost always wins because it’s a sure thing. I had foolishly thought in submitting our above-asking offer, “Who would turn down more money?” Turns out plenty of people will in favor of certainty that the sale will close.
That said, all hope’s not lost for all my fellow ninety-nine percenters out there. There is one thing that can dethrone cash — tugging at the heart strings. Nowadays, just having the intent to buy a house in exchange for money is not good enough. Sellers can be pushed guided in one direction or another if you find the right angle. The cover letter you include with your purchase offer is just that opportunity.
That’s what sealed it for us with the next house we made an offer on. It’s not just the money, sellers want to know who is going to live in their cherished (but not quite cherished enough to live in forever) home. If you thought you only needed to trudge through cover letter writing when you’re unemployed or looking to switch gigs, you are wrong. This torturous invention of mankind is leaking into the home buying process. Now, instead of just paying someone for a house, you have to sell yourself as well. So dust off the latest copy of your cover letter, keep a bottle of whisky nearby (it inspired Hemingway), and get to typing!
Here’s what you need to include in your cover letter:
1. Who are you? Sellers aren’t looking for a transcript from your latest therapy session or which Avenger you most personally identify with, they just want to know you’re a good person gainfully employed (at least long enough for the house to close).
2. Why does the house/neighborhood specifically fit your lifestyle? Since the sellers have lived in the house for a while, they want to know whoever they hand over their haven to doesn’t have dreams to recreate The ‘Burbs. Stating your enthusiasm for the nearby amenities like parks or other green space is a normal, safe bet.
3. What do you envision for yourself in this house? You’ll do well with your cover letter to tie your life goals to the house. This gives the seller the opportunity to feel good about making some other human’s dreams come true. Who doesn’t like feeling philanthropic, right?
Better yet, if you can get any clues about the seller from the seller’s agent or the seller themselves, tailor away. If you include just the right elements, this is just the right opportunity to beat out those who have the odds always in their favor.
