10038 Stratton Drive, St Louis
Buyer Tactics for a Hot Market
During a buyer's market, home buyer's are aggressive in their offers; making offers substantially below asking price with many seller concessions. As the market has shifted, buyer's have
had to direct heir agressive tactics to fighting off other buyers instead of beating up on home seller's.
In the current market, buyer's are taking big risks in order to win in competitive bidding.
One effective technique for offering more is known as an escalation clause. When making an offer on a home, agreeing to pay add additional amount in specific increments to a price up to a maximum price.
This can help a buyer make an offer that is fair, without offering too much higher than other offers. It can protect a buyer in the event that another offer comes in slightly higher than they pay. Usually an escalation clause will require evidence that a higher offer was received by the seller. This evidence "triggers" the escalation clause.
Drawbacks of Escalation Clauses
While this can help in some cases, sometimes the seller is more comfortable withoffers that come in higher. There are even times when the seller may not consider escalation clauses because their agent doesn't notice the clause, or doesn't understand.
Another setback has been that escalation clauses might not be accepted by the seller, or the seller receives several offers with escalation clauses and it gets too complicated. Many things can take place given the fluid nature of the market, but its always possible that it might be the edge that you need to win in competitive bidding.
When making an offer with an escalation clause, your Realtor and an attorney can help with the correct language that will work in given situations. This post is meant for information only and does not constitute legal advice.
2 Sappington Acres, St Louis
8808 Watson Woods Court, St Louis
10207 Richview Drive, St Louis
11627 Denny Road, St Louis
9454 Woolworth Drive, Crestwood
9280 Roger Lee Lane, St Louis
9181 Fox Bridge Drive, Sunset Hills
9918 Chileswood Drive, St Louis
9445 Vandervoort Court, Crestwood
9465 Vandervoort Court, Crestwood
9461 Vandervoort Court, Crestwood
11133 Torigney Drive, St Louis
11 Sappington Acres Drive, St Louis
12302 Fox Court, St Louis
2 Bblt 9214 Sappington Road Road, St Louis
9532 Parkfield Place Drive, St Louis
714 Mosley Court Court, Unincorporated
9453 Woolworth Drive, Crestwood
2 Avanti At Crestwood Crossing, Crestwood