A Missouri court recently found NAR, HomeServices of America and Keller Williams liable for $1.8B in damages for conspiring to keep commissions artificially high.
And there’s a long list of copycat lawsuits advocating a shift in the way commissions are paid in real estate.
So, what might that look like? What does it mean for you and your business?
Rob Levy has been a licensed Portland REALTOR since 1988 and currently serves as Principal Broker with The Rob Levy Real Estate Team, a top-producer in the Pacific Northwest.
On this episode of The Portland Real Estate Podcast, Rob joins hosts Joe Fustolo and Steve Nassar to walk us through the lawsuits against NAR and discuss how buyer’s agents might be paid in the future.
They describe how the decoupling of commissions will impact first-time homebuyers and why buyer’s agents will have to sell what we do to consumers moving forward.
Listen in as Rob explains how decoupling commissions will increase the barrier-to-entry in real estate and learn how to adapt to a change in how BACs are paid and thrive in a ‘specialist’s market.’
What’s behind the $1.8B lawsuit against NAR (and the long list of copycat lawsuits)
Rob’s insight on how the real estate industry resisted change in 1993 when buyer’s agency came out
Why the listing agent and buyer’s agent are both paid by the seller right now
How buyer’s agents might be paid by homebuyers or negotiate commissions when an offer comes in
Why buyer’s agents being paid by buyers is bad for the industry and first-time homebuyers
Why buyer’s agents will have to sell what they do to consumers moving forward
How a shift in the way BACs are paid will impact the attrition rate for REALTORS
How a decoupling of commissions might be a good thing for listing agents
How the decoupling of commissions will increase the barrier-to-entry in real estate
Why it’s crucial for real estate agents to anticipate and adapt to change
The similarities and differences between the current market and the Great Recession
Opportunities to buy in the current real estate market (and how first-time homebuyers are priced out)
How the recent dramatic rise in interest rates killed demand in the real estate market
Life events that drive people to buy and sell homes regardless of the market