Buyers often include personal letters with their offers in hopes of increasing their chances of acceptance. However, regulatory bodies have scrutinized these letters, and in some cases, they have banned them to prevent discrimination.
For that reason, I refrain from sharing these letters with my clients until after an offer is accepted. Instead, I focus my clients on evaluating price and terms only. I also explain that they should assess whether the offer is competitive compared to others, not who the buyer is as an individual.
In addition, the Fair Housing Act prohibits discrimination based on race, color, religion, sex, disability, familial status, and national origin. Therefore, sellers must avoid letting personal information influence their decisions.
Violating these rules carries serious legal and financial consequences. For example, Fair Housing Act violations can result in orders to pay damages, attorney’s fees, and fines. In some cases, the affected party can also pursue additional damages and costs through a civil lawsuit.
Because of these risks, I advise sellers to stay disciplined during negotiations. First, focus on net proceeds, financing strength, contingencies, and timelines. Then compare all offers side by side using objective criteria. In competitive markets, strong offers often stand out based on structure, not emotion.
Ultimately, the goal is to secure the strongest possible contract while staying fully compliant with fair housing laws. A clean, well-structured offer often outperforms a “personal” one when the decision is made strictly on terms.
