Seller Psychology - Do sellers want to sell their house to a flipper

[John Laney]

Hello, 

I'm starting the process of finding houses to flip in the Newberg Oregon area.  We've put in a few offers but have not yet gotten one under contract.  

My question is how I should present myself when I make an offer. Would an average seller like to sell to "John Laney Real Estate LLC" and know that I'll rehab the house and then sell it? Or would they rather sell it to "John Laney " thinking that it may go to a family?

[Scott E.]

This is a great question. And no disrespect to anybody who replied above, but I disagree with everybody who has responded on this thread.

Sellers very often care about who they are selling their house to, and what the buyer plans to do with it.

I've done at least a half a dozen deals where I've used hand written letters to tell my story, and I've been told that these letters have single handedly tipped the scales in my favor (There are some rules around writing the seller a letter. Consult with your agent on this). A prime and current example of where this worked for me:

I'm flipping a house in Phoenix right now. I got the deal for $1,550,000. This home was formally owned by a couple who lived in the house for 40 years before both passed away. The estate (adult kids) were handling the sale. I learned after negotiations that there were offers on the table for literally $100,000 over my offer (yes, ONE HUNDRED THOUSAND). But those developers would likely be tearing the house down. My plan was to remodel the existing home. This meant a lot to the kids, who had decades of memories in the house. So they sold me the home at a huge discount, knowing I didn't plan to demolish. Of course my offer had other favorable aspects to it (cash, relatively quick close). But my plans with the property played a huge part in their decision.

I have several other similar stories. These letters have worked particularly well for me when buying a primary residence. Some sellers love to hear that the home is going to "a first time buyer" or "a newly married couple" or "a young family"

My only public service announcement: Just be honest. I'm a big believer in karma. Don't write the offer as "John Laney" acting like you're not a flipper when you're really a flipper. That would just be deceptive and not cool.