03/15/2024

Realtors’ Proposed Settlement Could Lower the Cost of Home Sales

NAR agrees to change commission structures to end lawsuit

The National Association of Realtors (NAR) has agreed to settle litigation that accused the real estate group of artificially inflating real estate commissions, a move that could dramatically change how much consumers pay during real estate transactions.

Under the proposed deal, the group representing 1.5 million real estate agents would pay $418 million over four years to settle several cases, and change rules that plaintiffs alleged supported 5 to 6 percent commissions paid by home sellers. The association said it continues to deny wrongdoing.

“Ultimately, continuing to litigate would have hurt members and their small businesses,” said Nykia Wright, interim CEO of NAR. “While there could be no perfect outcome, this agreement is the best outcome we could achieve in the circumstances.”

Please select this link to read the complete article from The Washington Post.