Dear {Neighbor},
Your place is looking great! I'm so excited that you are getting the {fence/walkway/greenery/etc.} replaced.
I received your note requesting that I share in the cost of this project. Unfortunately, I cannot afford the {amount} you quoted. However, I do realize that the upgrades benefit my property value as well as yours. Might I propose {lower amount/that I do some of the labor}? This would be a good solution for me due to {hardship}.
Please let me know when we can get together and talk about this further.
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Index of Hardship Letter Examples