Contracts

An escalation clause in a Missouri purchase offer allows the buyer's offer price to:

ADecrease if the appraisal comes in low
BAutomatically increase above competing offers up to a specified maximum✓ Correct
CAdjust based on the consumer price index
DAutomatically decrease if the home sits on the market

Explanation

An escalation clause automatically raises the buyer's offer by a set increment above any competing offer, up to a buyer-specified maximum price, used in competitive multiple-offer situations.

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