Special offer

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Rainmaker
1,466,207
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Stefen Lee Liberti Accelerations clauses can work in a hot market. However, the seller should look at the overall merits of the offer and not just choose it because the buyer offered $1,000 more than the highest offer. All things considered, it may not be the best choice.

Apr 11, 2015 11:57 PM
Rainmaker
1,622,432
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • GRI • HAFA • PSC Calabasas CA

We had it when the market was hot. Not anymore. Yet, I'd suggest anyone be careful with sending such offers in if financing involved.

Apr 11, 2015 05:28 PM
Rainmaker
4,800,082
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

They can.

Sep 21, 2018 05:49 AM
Rainmaker
630,251
Ajay Pandya
e-Merge Real Estate Unlimited - Columbus, OH
Realtor Ajay Pandya

Yes.

Apr 14, 2018 10:46 PM
Rainmaker
3,071,489
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

Absolutely - if written correctly...

Sep 09, 2017 04:52 AM
Rainmaker
911,338
Jeff Pearl
RE/MAX Distinctive / LIC in VA - Lovettsville, VA
Full Service Full Time Realtor

Offering $1000.00 more doesn't mean the seller will accept the offer. That's just one consideration of many that make up an offer. I've seen sellers acceept offers more than $5000.00 less than the highest offer. It's not always about the money.

Apr 12, 2015 09:31 PM
Rainmaker
1,725,996
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

Yes and they do work

Apr 12, 2015 10:47 AM
Rainer
5,805
Lana Kosik
Oregon First - Portland, OR

Personally, I wouldn't use one as the seller will most likely counter right back at your escalation price since you just showed him/her what you are capable of paying.

Apr 12, 2015 04:26 AM
Rainmaker
1,712,676
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

I have never seen that. If I represented a buyer I would never do that. Why should I trust a listing REALTOR® or seller not to manipulate that. What I would ask for in multiple offer situations is that highest and best with a cut off period happens.

Apr 12, 2015 01:12 AM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

In this example. no one seems to have an issue with revealing the value of an existing offer. Does that not violate some pledge or oath or contract we all cite when convenient?

Apr 12, 2015 01:11 AM
Rainmaker
192,741
Temple Callahan
Connect Real Estate - REALTOR / BROKER - Ventura, CA
Search Ventura County Homes For Sale CA

Wow, that's really interesting!  I've honestly never seen this before on an offer.  Seems tricky if the buyer is getting a loan..?

Apr 12, 2015 12:20 AM
Rainmaker
2,443,250
Evelyn Johnston
Friends & Neighbors Real Estate - Elkhart, IN
The People You Know, Like and Trust!

Yes, if the buyer is able to make good in case of a short appraisal.

Apr 11, 2015 02:52 PM
Rainmaker
4,319,419
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Stefen Lee Liberti - well, this has helped many of my buyers - and I love the 'escalation' clause.

Apr 11, 2015 02:18 PM
Rainmaker
115,432
Jeanne Feenick
NextHome Premier - Basking Ridge, NJ
The Agent you choose REALLY does make a difference

New Jersey chiming in -  an escalation clause is a very effective tool in a competitive bidding process.  Our market has heated up and multiple offers are not uncommon - I explain the escalation clause tool to my buyers so that they can consider it as we navigate the market.  I consider it a good tie breaker, most effective when attached to a very strong offer.

Apr 11, 2015 12:32 PM
Rainer
36,135
Stefen Lee Liberti
Rodeo Realty Fine Estates® - Los Angeles, CA
Depending on one's location, different courts would argue if the use of this clause was bonafide. Other than that, I think in a hot market with multiple offers , this tactic can be effective, but If a buyer submits an offer with an escalation clause, they're laying all their cards on the table: The seller knows immediately how far the buyer will go and the LA and the seller will know to counteroffer to the buyer at a higher, escalated price, since the buyer is clearly willing to pay more. ▔\▁(ヅ )▁/▔

 

Apr 11, 2015 11:31 AM
Rainmaker
856,072
Mark Don McInnes, Sandpoint-Idaho
Sandpoint Realty LLC - Sandpoint, ID
North Idaho Real Estate - 208-255.6227

Yes they are legal, Idaho speaking.  I can not get behind them.  It is my personality that gets in the way on this one.  If I were a seller I would want someone to put forth their best.  Not nickle and dime someone that was upfront from the get go.  Just me speaking there.  Some people in our office have used the forms and swear by em.  Mark

Apr 11, 2015 11:06 AM
Rainmaker
1,139,819
Russ Ravary ~ Metro Detroit Realtor call (248) 310-6239
Real Estate One - Commerce, MI
Michigan homes for sale ~ yesmyrealtor@gmail.com

Yes I believe so.  It is a great clause to put in an offer if you want to win.

Apr 11, 2015 10:42 AM
Rainmaker
3,986,258
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

I personally would not advise my clients to look to hard at these.

Apr 11, 2015 09:52 AM