Sellers reject cash offers when the number feels arbitrary. "I'll give you $180k" with no explanation feels like a lowball. The same $180k presented after showing ARV, repair costs, and transaction costs feels like a business calculation — and gets a very different response.
Lead with who you are and why you buy houses. Present the ARV with a brief explanation. Show estimated repair and renovation costs. Show transaction costs (buying and selling). Present your offer last, after the math supports it. Never lead with the number.
Don't itemize your profit. Don't mention hard money rates or carrying costs — those are your business costs, not the seller's concern. Keep it simple: ARV, repairs, costs, offer.
In person is best. Email as a follow-up after a call. Never send a cold proposal with no prior conversation — the seller needs context before the numbers mean anything.
Dan White is a licensed Virginia real estate agent at Pearson Smith Realty and founder of FreeDealCalc.com. He has presented cash offers to hundreds of sellers across Northern Virginia and uses FreeDealCalc to generate seller proposals on every deal.