Escalation Clause

[homealone]

Has anyone heard of an escalation clause or have used this when trying to purchase a home?

I don't know a whole lot about it, but I guess this more or less means that if your bidding on a home and someone else bids higher this clause jumps in and automatically raises your bid in $1,000 increments.

Now this could be useful when your wanting to buy a home and someone else is also interested.

That is about all I know about this stuff. I heard about it on a real estate show I was watching last night and was hoping that someone here might have used it, knows more about it or something.

Learning these little things is pretty neat even if your not really flipping houses, cause ya never know what the future holds. Information like this may come in handy one of these days.