Real estate contract escalation clause - look out!

Located in Fairfield, NJ, we are the title insurance agent that does it all for you. For your next commercial real estate transaction, house purchase, mortgage refinance, reverse mortgage, or home equity loan, contact us. We can help.

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We have previously commented on one of the effects of a rising real estate market-- the introduction of escalation clauses in real estate purchase contracts.  Realty Times has presented another article on the subject that is well worth reading.

 

Escalation is back. Sellers are delighted to get offers sometimes thousands of dollars higher than their initial listing price. And buyers are often frustrated when they lose out on their dream house to a higher bidder.

And the warning?

Buyers should be very wary of escalation clauses. They are asked to sign a legalistic document typically late on a Sunday evening, after they have spent the afternoon viewing numerous houses. No lawyer has reviewed any of the legal documents.

Read the full report.

 

For your next title order or

if you have questions about what you see here, contact

Stephen M. Flatow, Esq.

Vested Land Services LLC

165 Passaic Avenue, Suite 101

Fairfield, NJ 07004

Tel 973-808-6130 - Fax 973-227-0645

E-mail sflatow AT vested.com

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