On Friday, the National Association of Realtors (NAR) agreed to settle consumer-driven class-action lawsuits regarding real estate commissions on home sales.
The deal likely will be a catalyst for reducing the costs to buy an existing or new home and provide more options for consumers, The Washington Post and several other media outlets reported when the deal was announced:
Under the proposed deal, the group representing 1.5 million real estate agents (NAR) would change rules that plaintiffs and consumer advocates say have helped inflate commissions for home sellers, who for decades have paid Realtors 5 to 6 percent of the sale price. The association also would pay $418 million over four years to settle several cases.
“Ultimately, continuing to litigate would have hurt members and their small businesses,” said Nykia Wright, interim chief executive of NAR. “While there could be no perfect outcome, this agreement is the best outcome we could achieve in the circumstances.”
Also: What NAR reported on its website about the settlement
Look for follow-up articles on this topic, specifically its impact on new-home sales, from Pro Builder in the days to come.
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