"The Internet's Impact on Real Estate Agents and Commission Lawsuits: A Changing Landscape"
Originally Published 1 year ago — by Fortune
An award-winning finance professor predicts the decline of real estate agents, comparing their fate to that of travel agents due to the internet providing consumers with access to property information. The $418 million settlement by the National Association of Realtors over alleged commission inflation further signals a potential shift in the industry. With online platforms offering comprehensive property details, the professor questions the necessity of real estate agents and highlights concerns over high commission rates. While some experts believe the industry will adapt, others anticipate a significant downsizing of the profession due to reduced commission earnings and low inventory levels.