Realtor Group Settles $418M Commission Lawsuits, Changing Home Buying and Selling
The National Association of Realtors has agreed to a $418 million settlement to resolve lawsuits claiming that its rules artificially inflated home seller costs by setting agent commissions. As part of the agreement, the NAR will no longer require upfront compensation to a buyer's agent and will mandate written agreements between agents and homebuyers. These changes could lead to lower agent commissions and increased price competition, but homebuyers may need to negotiate how to cover their agent's compensation. The settlement resolves lawsuits and covers over one million NAR members and affiliated brokerages, with the aim of creating a more competitive real estate market.