Question

Renee is leasing her condo in San Francisco from Brad. For the first six months of the lease, her rent will be $1,200 per month. Every six months her rent will increase $100 per month based on the increa?ses to Brad in taxes, insurance, and other operating costs. What type of lease has Renee signed?

Answer 1

The correct answer is "Escalation Clause Lease"

Step-by-step explanation:

An escalation clause lease is a clause of a contract that supports a change in the agreement price, it allows to increase or decrease depending on external factors like inflation.

Renee has signed a contract that includes an escalation clause that the participants agree to an adjustment of rent based on set increases operating cost.