Business Real Estate News

The latest business real estate stories, summarized by AI

Realtor Settlement Sparks Major Commission Overhaul

Zillow's stock dropped 15% after the National Association of Realtors settled claims of commission conspiracy, potentially leading to lower commissions for homebuyers and sellers. The $418 million settlement will likely impact how consumers buy and sell homes, with real estate names like Anywhere Real Estate, Compass, and Redfin also experiencing declines. The new rules are expected to reduce agent commissions by 25-50% and benefit online and discount real estate brokerages, while potentially disadvantaging first-time and less-wealthy buyers. The settlement also adds to the financial and administrative challenges the NAR has been facing, including the recent resignation of its former CEO and president.

1 year ago•Source: Yahoo Finance

"Swedish Property Giants Face Billions in Write-Downs Amid Market Uncertainty"

business-real-estate

3.795 min•1 year ago

"Swedish Property Giants Face Billions in Write-Downs Amid Market Uncertainty"

Two of Sweden's largest property companies, SBB and Heimstaden, announced multibillion-crown writedowns in their 2023 results due to a European property rout caused by a sharp rise in interest rates. SBB wrote down the value of its property by over 13 billion Swedish crowns, while Heimstaden wrote down the value of its investment properties by 31 billion crowns, leading to significant losses for both companies. Both companies expressed cautious optimism about the market's future, with SBB CEO Leiv Synnes stating that they are at the beginning of a period where conditions in the financial markets are improving. Sweden's central bank chief Erik Thedeen highlighted commercial property as the main threat to banks, emphasizing the country's vulnerability due to its heavily indebted property market.

via Reuters