No more buyers letters to sellers?

Question

I'd like to know what you think. How do we stand out in a competitive market?

As a Realtor and investor, I have always recommended buyers included a letter to the seller describing why they are a perfect fit for that particular property.

But according to NAR guidance, this is now grounds for discrimination based on fair housing laws.

Love Letters or Liability Letters?

Michael K Gallagher · Answer

@Gregory Schwartz yes!  We’ve seen this here in central Ohio for several years. You can still have them write and send letters, but the letter should be vetted/read over to make sure there is nothing in them that violate fair housing.

When I sold my personal residence back in 2018 my realtor couldn’t show me any of the letters because one letter came with a picture depicting the family, so therefore that letter violated fair housing, and my realtor then could not show us any of the letters because if they showed us the rest and not the one with the picture, that also would violate fair housing.

So you can certainly still use them, but the buyer should be educated  on what is and is not permitted and needs to be done carefully and with intent.

Cheers!

Russell Brazil · Answer

This isnt new, this is a long standing NAR advisement. It is new however that Oregon recently outlawed them.

Dustin Allen · Answer

@Russell Brazil

California just issued a new disclosure regarding Fair Housing policies but stopped short of outlawing them.

Jay Hinrichs · Answer

See them all the time on retail homes  OR used to.. Never got one on new construction that I own.. I think those agents know that we are more dollar and cents driven.

Maura I. · Answer

@Gregory Schwartz I just wrote a letter and bought a house. Made no mention of anything fair housing related (personal info: race, marital status, religion etc). I wrote about what I loved about the house. Based on a minor artistic detail hung the house, I also noticed that the owner was familiar with (or just liked) a certain place and made a note of my own experience with that place. At the closing table, they told me how much they loved the letter and that it’s what won over the other 35 bids. A friend of mine did the same. We closed the same week.

If you get into fair housing info, then yes, it’s a liability letter.

Dustin Allen · Answer

@Gregory Schwartz

The way I see it, there is no risk from a buyers agent’s perspective.  NAR has cautioned about the risks but hasn’t actually said it can’t be done (how I read it). Some listing agents are still taking them and others are saying don’t send them in the first place.  Every agent should be removing family pictures or any pictures of the buyers if they are included (pictures of your dog are fine).

How is it a bad thing to say “I really love your house. I can see you’ve taken really good care of it and I would like to continue doing that if you give us the opportunity to purchase your home.”?

Gregory Schwartz · Answer

@Mindy Jensen @Russell Brazil interesting that states are starting to outlaw the letters. Makes it harder to "do business with people who you know like and trust" if the seller never gets to know like and or trust the buyer. I guess our job as the agent is to create that rapport on behalf of our clients.

Seems like we're being overly proactive in preventing fair housing violations. I kinda wonder what's next, do realtors need to remove headshots from our card and marketing content so that sellers dont discriminate based on the color or gender of the buyer's agent?

** It's worth saying, I strongly believe in and support Fair Housing regulations and what they stand for. However, let me send my letters, let me receive my letters, and if I violate the rules of fair housing prosecute me accordingly. **

Mindy Jensen · Answer

The Department of Real Estate in Colorado has specifically said "Do not send them as a Buyers Agent and do not pass them along to the seller if you receive one as a Listing Agent." Violation of Fair Housing.

I am seeing buyers getting creative and delivering them to the sellers if the property is owner-occupied.

Jonathan Pavkov · Answer

I've never used. But as for standing out - I always call the agent when I submit an offer and talk with them to learn as much as I can about the property. Agents that don't communicate / or aren't clear in communication are hard to work with - I like to be easy to work with!

Jay Hinrichs · Answer

I suspect most retail sellers get them and read them its part of the presentation. .I have seen them in bound form and multiple pages long.

No more buyers letters to sellers?

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