What Is an Escalation Clause in Real Estate and When Should You Use One?

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When you’re deciding on what [price to offer on a home](https://www.realtor.com/advice/buy/the-basics-of-making-an-offer-on-a-house/), the situation might call for a single price or, in some cases, numerous prices via an [escalation clause](https://www.realtor.com/advice/buy/what-is-an-escalation-clause-how-does-it-work-and-when-should-you-use-one/). In a fast-paced, competitive [market](https://www.realtor.com/advice/buy/what-is-a-sellers-market/), having an escalation clause as part of [your offer on a house](https://www.realtor.com/advice/buy/how-much-below-asking-price-should-you-offer-on-a-house/) can benefit the homebuyer and seller alike. But it
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