Many REALTORS® encourage their clients to write a cover letter when submitting an offer. The idea is that they’ll pull at the seller’s heartstrings, and they’ll get a better deal. Or, if it’s a multiple-offer scenario, maybe the seller chooses your offer over a different one.

It rarely works as intended.

I can’t recall ever having received a cover letter from buyers that persuaded my sellers to sell their home for a dime less than the maximum amount we were able to negotiate. In a multiple-offer scenario, sometimes my sellers would choose the offer with the lovely cover letter attached, but only because it was also the best offer.

It’s a business transaction, after all. In a multiple-offer scenario, if you have five potential buyers, you’re going to disappoint four of them. One or more of the losers may have written beautiful cover letters. That’s just the way she goes (credit to Ray Lafleur). 

Personally, I keep my clients focused on the business side of things. Which is the best offer? Which one is the most likely to stick together, and not fall apart at the last minute? What looks like the best offer isn’t always so; that’s where the advice of a skilled and experienced agent comes into play.

I look straight past the cover letters, and I analyze each offer using a variety of criteria. For example, who is the other agent? A skilled and experienced agent on the other side of a transaction is far more likely to keep the deal together compared to a new and inexperienced agent. 

Sometimes a cover letter can hurt more than it helps! Two years ago, I remember having an extremely specific listing, meaning the potential number of buyers was tiny. After a long time on the market, we finally received an offer, and attached was the most glorious and heartfelt cover letter explaining exactly why the property was perfect for them and their family. 

Well, thank you very much! We negotiated hard on the price and managed to get it up to a level where my seller was thrilled.

I don’t mean to sound like a jerk here, taking advantage of the buyer’s heartfelt emotional transparency, but remember, in this case, I’m representing the seller! Therefore, it’s my job to convince the buyer to pay as much as possible! The buyer’s agent should have advised her client not to attach that letter, because it gave us an advantage, not them.

So, what do I do when I’m representing the buyer? Do I get them to write a cover letter?

Nope. I write the cover letter. When I’m representing the buyer, I know what our end goal is, and I know how to craft a powerful letter that increases the likelihood of getting the property for the best price and terms. I try to understand the seller’s perspective and use that to our advantage. There can be a lot of psychology involved, including what isn’t said. Every situation is different, but it’s all part of being a great negotiator.

And I do write a mean cover letter, even if I do say so myself.