Here’s how an escalation clause can help you win your dream home.
Escalation clauses have become more and more relevant in our real estate market as of late. In a market like this where inventory is low and demand is high, homes are regularly selling over asking price. However, buyers aren’t always sure what to offer because historical data doesn’t really have a place in this market.
We’re in uncharted territory. You don’t want to pay more than you should, but you want to get the property. This is where an escalation clause comes into play.
Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message, or use these timestamps to browse specific topics at your leisure:
1:15- A sample escalation clause with today’s prices
2:30- The ideal increment to include in your escalation clause
3:45- How to determine the cap price of your escalation clause
4:59- Wrapping things up and extra tidbits of advice
If you have questions for us about escalation clauses, submitting a strong offer, or anything else related to real estate, don’t hesitate to reach out via phone or email. We look forward to hearing from you soon.