The Escalation Clause Bro 😎
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About this listen
An escalation clause is a tool buyers use to stay competitive without overpaying upfront.
It works like this:
You make an offer at a starting price and include a clause that says you’ll automatically increase your offer by a set amount if another buyer submits a higher one — up to a maximum price you’re comfortable with.
Example:
Offer price: $600,000
Escalation: Increase by $5,000 over any competing offer
Cap: Up to $650,000
If another buyer offers $620,000, your offer automatically jumps to $625,000.
If someone offers $648,000, your offer jumps to $650,000.
Why buyers use escalation clauses:
• To stay competitive in multiple-offer situations
• To avoid wildly overbidding from the start
• To show sellers they’re serious
But here’s the catch:
You’re revealing your maximum number.
You still need proof of a real competing offer.
And not every seller accepts or trusts escalation clauses.
Like every strategy in real estate, escalation clauses can win you a house — or cost you more than you needed to pay if used incorrectly.
That’s why how and when you use one matters.” 🏡📈✨**