"Love Letters" to Home Sellers Are Out

Letters to home sellers illustrate problems with bias and insincere persuasive communication. Home buyers try to increase their chances of landing a house by writing letters to sellers, but they cause problems. These persuasive communications seemed like a good idea in a tight housing market. In addition to offering a high price, often above asking, buyers would make emotional appeals, for example, by telling sellers about themselves, how much they loved the house, and how they would care for it.

These letters teach lessons about communication ethics, particularly integrity. One buyer lied by omission, failing to mention a pending divorce that would change the buyer’s ability to get a mortgage. Other problems include revealing race, religion, and other facts that a seller can use—consciously or unconsciously—to discriminate against a buyer, which violates the U.S. Fair Housing Act.

This “Barbie House” letter, written to sellers of a pink house, may have landed the deal (although the buyers also offered $25,000, so who knows). Maybe not in this case, but in others, letters appeal so much to emotions that vulnerable sellers are duped into taking lower offers.

The California Association of Realtors has since published these guidelines for letters, which discourage them entirely.