Setting Seller Expectations the Smart Way in Novation Deals

This guide walks you through exactly how to frame the timeline from day one so your seller stays calm, compliant, and confident.

Blogs

Dec 3, 2024

You just got verbal agreement from a seller.

They like your price.
They like the idea of not doing repairs.
They’re even okay with you bringing in your own buyer.

You’ve explained the novation concept. You’ve got the agreement signed. Everything’s going great, until 3 weeks in, the seller starts texting every day:

  • “When are we closing?”

  • “What’s taking so long?”

  • “Should I call the buyer myself?”

That’s when deals start to fall apart.

Setting the right expectations about the timeline, upfront, is the difference between a smooth novation and a stressed-out seller who cancels.

This guide walks you through exactly how to frame the timeline from day one so your seller stays calm, compliant, and confident.

Why Timeline Expectations Are Different with Novations

Unlike standard cash deals or even assignments, novations don’t close fast.

That’s because you’re not just flipping the contract, you’re setting up a retail-style transaction between the seller and an end buyer.

That means:

  • More marketing time to find a retail buyer

  • Possible lender underwriting on the back end

  • Appraisals, inspections, and additional title work

  • Potential repairs, cleanouts, or staging

  • Coordination with realtors or listing agents

And if the seller thinks this is a 7-day close? You’re in trouble.

Key Seller Mindsets to Address Upfront

Before you start quoting dates, clarify the seller’s expectations. Ask questions like:

  • “Are you hoping to close in the next week or two, or are you flexible?”

  • “Would you prefer more money even if it takes a little longer?”

  • “If it took 30–45 days but you didn’t have to do any repairs or showings, would that work for you?”

This helps you segment sellers into:

1. Urgency-Based Sellers: They need to close now (not a good fit for novation)
2. Value-Based Sellers: They want the most money possible, and they’ll wait a little longer
3. Flex Sellers: They’re open to a timeline if it’s clearly communicated

If they’re a value-based or flex seller, they’re likely a good fit, as long as you’re transparent.

What to Say: Sample Script for Setting the Timeline

Here’s how to explain it in plain language:

“This won’t be a fast 7-day cash deal. What we’re doing is positioning your property to a much bigger buyer pool, people who are using loans, want to live in the home, and are okay with the current condition. That means we’ll get you more money, but it takes a little longer.

Typically, I ask sellers to expect 45–60 days, just to be safe. In many cases, we close faster, but I never want to overpromise. During that time, I handle everything: marketing, showings, paperwork, and coordinating the close. You won’t have to do anything.”

You’re not just explaining, it’s also framing the value.

Breakdown: Timeline Milestones You Can Share

Some sellers calm down when they see a plan. Here’s a breakdown you can use:

Week 1–2:
Finalize paperwork
Begin light cleanup (if needed)
Take photos, list the property
Start marketing to buyers

Week 3–4:
Buyer showings
Receive offers
Start negotiations

Week 5–6:
Accept buyer offer
Buyer secures funding
Title and escrow process begins
Prepare for closing

Week 7–8:
Closing scheduled
Funds disbursed

Let the seller know: this is retail speed, but without retail effort on their part.

What to Put in Writing

To avoid future disputes or frustration, document the timeline in the agreement or addendum. For example:

“Buyer and Seller agree that the anticipated close of escrow will occur within 60 calendar days of contract execution, contingent on the successful marketing and resale of the property.”

If you’re the “Buyer” in the initial agreement, this clause protects you while still showing good faith.

Tip: If the seller insists on a deadline, build in a buffer, always.

How to Prevent Seller Anxiety Mid-Deal

Even with clear expectations, sellers can get nervous. Avoid that with these strategies:

Weekly Touchpoints:
Text or call with a quick update, even if it’s “No news yet, still marketing.”

Mini-Wins:
Share when you get a good showing, strong buyer interest, or positive feedback, even if it’s early.

Reaffirm the Value:

“Remember, we could have closed for $145K cash. But we’re on track to get you $172K, and you haven’t had to lift a finger.”

Remind of the Process:

“Retail buyers need time to get approvals. We’re almost there.”

Sellers want to know you haven’t forgotten them. The more calm you are, the more calm they’ll be.

What to Do if the Seller Pushes the Timeline

If a seller starts to get antsy and says:

“Can we just cancel?”
“I might go with someone else.”
“This is taking too long.”

Use this calm but firm response:

“I understand completely, and you’re free to cancel at any time before we go under contract with a buyer. But just so you know, we’re close to the finish line, and canceling now would mean starting over with someone else who may not have the same plan or buyer pool. My goal is to get you more money without hassle, and I believe we’re almost there. Want to give it just one more week?”

Many sellers will cool off if they feel heard and see the upside.

Pro Tip: Give Them a “Pre-Framed” Window of Time

When you sign the agreement, give them a verbal goal and a verbal buffer.

For example:

“We typically close these in 35–40 days. But I always say give me 60 just in case we hit a holiday or lender delay. If I can get it done sooner, I absolutely will.”

This frames it as proactive, not delayed.

Novation Isn’t About Speed, It’s About Certainty

Sellers don’t need a fast close. They need a clear process.

They want:

Setting expectations clearly and early is what turns a nervous seller into a patient partner.

Do it right, and you’ll get fewer angry texts, fewer cancellation threats, and a lot more profitable closings.

Written By:

Austin Beveridge

Chief Operating Officer

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Join Thousands Of Satisfied Operators

Discover why top teams rely on Goliath to find motivated sellers. Get everything you need to prospect, nurture, and close more deals.

679

Live Users

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Closed Deals

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%

Satisfaction Rating

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