Being a real estate agent has never been easy. It involves long hours, often without any pay. Real estate agents like Danny Skelly of Orson Hill Realty only get paid when they close a deal. An agent may spend months showing homes to buyers who, for various reasons, might never complete a purchase. Similarly, sellers with unrealistic expectations or an unwillingness to make necessary repairs can prevent a sale. Now, real estate agents face additional challenges due to the new NAR lawsuit and settlement affecting the industry. The NAR Lawsuit and Settlement Impact on Buyers and Sellers The National Association of Realtors (NAR) faced a significant legal challenge addressing Realtors' commission structures and practices within the industry. This settlement has made a ton of changes... Read more
Tag: NAR Lawsuit
NAR Misses the Mark Again Possibly Destroying Real Estate as We Know It
NAR Commission Lawsuit The recent lawsuit against the National Association of Realtors (NAR) and several leading U.S. real estate brokerages has sent shockwaves through the industry, with a Kansas City jury awarding $1.8 billion in damages for alleged antitrust violations. This case, along with similar actions, could significantly impact the real estate commission structure and the industry at large. Here are ten key points on how this lawsuit could affect the real estate landscape: Antitrust Allegations Against NAR: The lawsuit centers on allegations that NAR and major brokerages colluded to artificially inflate agent commissions through rules that require sellers to pay the buyer's agent commission, potentially violating federal antitrust laws. Impact on Commission Structures: If the lawsuit's outcomes lead to changes in how commissions are... Read more
DOJ Rejects Commission Settlement and Screws Over Realtors and Their Commission
DOJ Rejects Settlement and Screws Over Realtors and Their Commission When the government gets involved with things they don't understand we are the ones that get hurt. In a landscape where the traditional structures of the real estate industry are being rigorously questioned, a pivotal development has emerged from the U.S. Department of Justice (DOJ). This development centers on the longstanding practice of fixed and shared commissions between real estate agents, a practice that has been a cornerstone of the industry's operation. The DOJ's rejection of a court settlement marks a turning point, emphasizing a clear message: the necessity of reforming how agent commissions are determined and distributed. The DOJ's Standpoint on Agent Commissions The Department of Justice has cast a critical eye on the... Read more