Sentences with phrase «over escalation clauses»
June 01, 2017 «Fraught with challenge»: Toronto realtors raise concerns over escalation clauses in bidding wars Globe and Mail
https://www.realosophy.com/ Not exact matches
Despite the inflated prices, homebuyers today often find themselves in aggressive bidding wars, and many are using escalation clauses with their bids, agreeing to pay a specific amount over the highest bid, up to a certain price.
This is what is known as an escalation clause and it has been developed to give a person in a bidding war an advantage over the other bidders.
The Ontario Real Estate Association (OREA), which represents 70,000 real estate agents and brokers in Ontario, has become involved in a public spat with the real estate industry regulator over the use of a controversial provision in purchase agreements known as an escalation clause.
An escalation clause is designed to defeat competing purchase offers by automatically increasing the buyer's purchase price by a pre-set amount over the highest offer.
Today's bidding competitions aren't the same as the slugfests of the boom days, 2004 to 2006, when just about every property was fought over because of investor speculation and soaring appreciation, and when escalation clauses — committing buyers to automatically increase how much they would bid — went sky high.