The recent passage of House Bill 2550 has eliminated a tool that home buyers often employed to get an edge on their competition. I’m referring to what is known as a “love letter”, a letter composed by a buyer or buyers that tell a seller a little bit about who they are as well as what they love about the home.
The use of the love letter has often been debated. If you have ever been on the Buyer side of a home sale and it has made a difference, you may love it. If you are a buyer who made a strong offer and were beat out by a lower offer with a letter, you might not have been a fan of it. As a Seller, how have Buyer “love letters” impacted how you select the Buyer for your home?
While “love letters” don’t tend to have a fiduciary impact, they can be seen as an infringement on Fair Housing laws. Ultimately, the idea that a Buyer could be selected or declined based on their race, religion, ethnicity, gender, sexual orientation, etcetera, is what led to the removal of them. House Bill 2550 states that a listing agent is to reject the communication from Buyer to Seller in order to help the Seller avoid selecting a Buyer in such a manner that would violate Fair Housing laws.
What kind of an impact do you believe that House Bill 2550 will have on the Home Selling and Purchase process?