You start the call thinking it’s a cash deal.

The seller sounds motivated, the property needs work, and everything’s lining up for a fast close.

But then, something changes. They want too much. They’re not that motivated. Or they start talking about listing “if the price isn’t right.”

This is where most investors either push harder on cash or walk away. But the smart ones do something else.

They pivot. They shift from a low cash offer to a novation pitch and rescue the deal.

This article shows you when and how to make that pivot mid-conversation, without sounding desperate, bait-and-switchy, or confusing.

Understand: Novation Isn’t a Second Choice, It’s a Second Play

Most sellers don’t care how you buy.

They care about what they walk away with and how smooth the process feels.

When you introduce novation as an option, you’re not saying “I can’t buy your house.” You’re saying:

“I have another way to help you get what you want, without the things you don’t want.”

Done right, novation isn’t a fallback.

It’s a custom-fit solution that feels like you’re doing them a favor.

Know the Signals: When It’s Time to Pivot

If any of the following come up, you should immediately consider switching from cash to novation.

Signal 1: Seller wants retail price, even if it’s a fixer

If they say things like:

• “I just want what it’s worth.”

• “My neighbor sold for $280K, mine’s the same.”

• “I don’t need to give it away.”

They’re not cash-motivated. They’re equity-protective.

And a cash offer will sound like an insult, even if the numbers make sense.

Signal 2: Seller is “not in a rush”

Cash works best when sellers are under time pressure. But if they say:

• “I don’t have to sell.”

• “I’ve got time.”

• “I’m still talking to others.”

Then speed isn’t the motivator. Equity, terms, or convenience probably are.

Novation keeps them in control and lets them get more, without dragging out the deal.

Signal 3: Seller is open to listing but hates the idea of agents, fees, or showings

Common phrasing:

• “I’d list it, but I don’t want to pay a commission.”

• “I don’t want people walking through my house.”

• “I don’t want to deal with repairs or cleaning.”

This is where novation shines. It gives them listing-level pricing with cash-level ease.

Signal 4: You’re way off on price, but you agree on the condition

This is the classic “you say $180K, they want $250K” situation.

If the house needs work and comps support $250K after repairs, novation may allow you to get close to their number, by flipping it retail after improvements, without owning it outright.

When your cash MAO is insulting but your flip margin is strong, novation bridges the gap.

How to Introduce the Pivot Without Confusion

Let’s say you start the call and you’re anchoring low.

You’ve built some rapport.

You’ve walked through their situation.

They want more than you can pay.

Instead of hard-pitching them again, say something like:

“Would you be open to a different kind of arrangement? One where you still get close to your price, but without having to list it or make repairs?”

Then stop talking.

Let them ask you to explain.

Now you’ve got permission to pitch novation without resistance.

Use This Simple Framing Script

Here’s a conversational way to explain novation in plain English:

“So here’s how it works. Normally, if I buy your house cash, I take on all the risk, repairs, holding costs, resale, everything. And I pay less because of that risk.”

“But in some cases, I can partner with you to sell it retail. You stay the owner for now, but I invest in the cleanup, handle the paperwork, and line up a buyer.”

“You get more than you’d get from a straight cash offer, and you don’t have to deal with agents, showings, or the stress of listing.”

“Once it sells, you get your agreed amount, before I get paid. Everything’s in writing, and I cover the costs. You just have to be a little patient.”

That’s it.

You don’t need to use the word “novation” right away.

Focus on outcome: more money, less hassle.

3 Timing Rules for Making the Pivot Seamless

Timing matters. If you pitch novation too early, it sounds confusing. Too late, and the seller has already tuned out.

Use these rules:

Rule 1: Make Your Cash Offer First (and anchor low)

Even if you know it’s going to be rejected, make the offer.

Why?

Because it creates contrast.

When you later say, “There’s another way that gets you more,” they’ll lean in.

Rule 2: Let them reject cash before you offer anything else

You need their resistance to cash to sound like their idea.

Don’t rush in with a “second option” unless they’ve already pushed back.

Once they do, you can frame novation as a custom fit based on their reaction.

Rule 3: Confirm their priorities first

Ask:

“What’s more important to you, getting it sold quickly, or getting the number you want?”

If they say “the number,” novation is your green light.

What NOT to Say When Pivoting

Avoid:

“You don’t qualify for a cash offer.”
“I can’t buy it at that price, but…”
“This is a creative strategy that might work.”

All of these make novation sound like a consolation prize or a scheme.

Instead, say:

“There’s another path that gives you more options.”
“Let me show you how you could actually walk away with more, without listing.”
“This might be a better fit based on what you told me.”

Always make it about them, not your needs.

Addressing the 3 Common Seller Concerns

When you pitch novation, expect these questions.

Here’s how to handle them with confidence.

Concern 1: “Wait… I stay the owner during all this?”

Yes, but explain it like this:

“You stay on title, yes, but you’re fully protected. We sign an agreement that spells out your guaranteed amount. You’re in control. I just handle the sale and make improvements with your permission.”

“If something goes wrong, you’re not on the hook. I take the risk.”

That puts them at ease.

Concern 2: “What if it doesn’t sell?”

“We only move forward if the numbers make sense. And I’m the one investing, so if it doesn’t sell, I lose, not you.”

“We can set a timeframe. If it doesn’t sell by then, you’re free to do whatever you want, and I walk away without touching your final price.”

This lowers perceived risk.

Concern 3: “Why would you do it this way?”

“Because I can get you more, and still make my margin. Not every property works like this, but when it does, everybody wins.”

Short. Honest. Direct.

Use This Offer Comparison Table to Reinforce the Pivot

You can even share this during a Zoom call, leave it behind on an in-person appointment, or walk through it verbally.

Practice This Full Pivot Dialogue

Here’s how a full conversation might go:

You: “I’d probably be somewhere around $185K cash, based on condition and repairs.”

Seller: “Yeah… that’s too low. I’d rather wait or list it.”

You: “Totally fair. Would you be open to a different kind of arrangement? One where you could still get closer to your number, without listing or doing repairs?”

Seller: “Like what?”

You: “It’s called a novation agreement. Basically, you stay the owner for a bit longer, and I do all the work to sell it retail. I cover improvements, paperwork, and buyers. Once it sells, you get your agreed price, and then I get paid.”

Seller: “But I don’t want to deal with showings and agents.”

You: “You won’t. We can do just one or two walkthroughs, or even virtual showings only. I control the process, and we only open the doors when it’s worth it.”

Seller: “And how do I know I’ll get paid?”

You: “Because it’s in writing, and you’re the one who signs off on the final sale. Nothing moves without your approval.”

At this point, most sellers go from “maybe” to “tell me more.”

Read the Signals, Make the Shift, Win the Deal

Most investors miss deals not because their offer was too low, but because they didn’t pivot when the seller was open to something smarter.

When you hear:

“I want more than that.”
“I’m not in a rush.”
“I might just list it.”
“I want my full asking price.”

That’s your cue. Don’t argue. Don’t push. Just pivot.

Use novation as the win-win tool it is, and watch your conversions rise.