HomeReal EstateEnding of Sales Commission Expected to Boost Homebuying

Ending of Sales Commission Expected to Boost Homebuying

The National Association of Realtors announced a settlement with groups of home sellers, in which the realtor association agreed to end antitrust lawsuits through a settlement involving the payment of $418 million in damages and the elimination of rules stipulating a 6% realtors’ commission on standard home purchases.

In terms of the settlement, the agents’ commission will no longer be included in listings placed on multiple listing services. This move is expected to push home prices lower, with the abolishment of the current homebuying model where sellers pay both their broker and the buyer’s broker.

With prices expected to fall, TD Cowen Insights reported that real estate commissions are set to fall between 25% and 50% following the decision to bring an end to 6% commissions. Real estate shares slumped following the decision, with Zillow and Compass both sinking by more than 13%. Real estate brokerage Redfin declined by 5%.

Delta Struggling With Flight Cancellations Following Tech Outage

Delta Air Lines has continued to struggle with flight cancellations following last week's global cyber outage. This came after a software update by global...

Dolce & Gabbana Seeking New Capital Investment

Dolce & Gabbana CEO Alfonso Dolce confirmed that the fashion house is open to seeking new investors as a means of raising capital. This...

Former Nintendo President Claims Video Game Industry Set to Grow

Former Nintendo of America president and COO Reggie Fils-Aimé insisted that the video games industry is set to grow after suffering years of decline....