Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Jury hits National Association of Realtors, real estate companies with $1.8 bln in damages
Reuters ^ | 10/31/2023 | By Mike Scarcella

Posted on 10/31/2023 1:46:34 PM PDT by NohSpinZone

A U.S. jury on Tuesday said the National Association of Realtors and several real estate companies, including units of Warren Buffett's Berkshire Hathaway (BRKa.N), must pay $1.78 billion in damages for conspiring to artificially inflate commissions that home sellers pay to buyers' brokers.

The verdict followed a two-week trial in the Kansas City, Missouri, federal court, where the case had drawn widespread attention for challenging widely used real estate industry practices.

The jury award will be automatically tripled under U.S. antitrust law to more than $5.3 billion, said Michael Ketchmark, the lead lawyer for the plaintiffs.

"Today was a day of accountability," Ketchmark said.

The defendants included Berkshire-owned HomeServices of America and two subsidiaries, as well as Keller Williams.

Plaintiffs in the class action included sellers of more than 260,000 homes in Missouri, Kansas and Illinois between 2015 and 2022.

(Excerpt) Read more at reuters.com ...


TOPICS: Business/Economy; Crime/Corruption; Culture/Society; News/Current Events
KEYWORDS: agents; brokers; housing; lawsuit; realestate; realtors; realty
Navigation: use the links below to view more comments.
first previous 1-2021-4041-50 next last
To: eyeamok

6% has been standard as long as I remember
~~~~~

Prove it. Yes, in some markets some institutions ONCE touted 6% as “standard”. About 30 years that practice was eliminated, sometimes by law, but always by professional standards.


21 posted on 10/31/2023 2:23:20 PM PDT by nagant
[ Post Reply | Private Reply | To 5 | View Replies]

To: NohSpinZone

I could never understand how RE agents can make these massive sales commissions. Out west their commissions can be $35,000 to million$...

All this big money for these sales people and all they do is some paper work? A few phone calls?

It’s 100% bull sh*t.


22 posted on 10/31/2023 2:24:40 PM PDT by dragnet2 (Diversion and evasion are tools of deceit)
[ Post Reply | Private Reply | To 1 | View Replies]

To: TheConservator

“INTELLIGENTLY analyzes “

Can you possibly understand such intelligent analysis? Fact is, if you could, then you could read the decision yourself.


23 posted on 10/31/2023 2:33:49 PM PDT by CodeToad (Rule#1: The elites want you dead.)
[ Post Reply | Private Reply | To 19 | View Replies]

To: NohSpinZone

When do the trial lawyers get sued for exorbitant commissions and double dipping?


24 posted on 10/31/2023 2:37:29 PM PDT by nicollo ("This is FR!")
[ Post Reply | Private Reply | To 1 | View Replies]

To: dragnet2

The prices which you base your house’s value on were established by sales which were advised and marketed by market experts. Your expectations of a sale price are several percent higher than they would have been without selling and buying agents. Agents don’t “make” their commissions as profit. There are advertising and other expenses.


25 posted on 10/31/2023 2:38:25 PM PDT by nagant
[ Post Reply | Private Reply | To 22 | View Replies]

To: NohSpinZone

Get back to me when the courts finally go after groups like vanguard and blackwater who are buying up all the real estate


26 posted on 10/31/2023 2:45:59 PM PDT by fightglobalism
[ Post Reply | Private Reply | To 1 | View Replies]

To: nagant
"The prices which you base your house’s value on were established by sales which were advised and marketed by market experts. Your expectations of a sale price are several percent higher than they would have been without selling and buying agents. Agents don’t “make” their commissions as profit. There are advertising and other expenses."

Concur. I have bought and sold three houses. All charged 5% commission total (selling and buying agents split the 5%). In all instances the realtors earned their money. They spent a lot of time telling me: about the current market; cheap up grades and improvements that would easily increase a price increase, spent time taking very high quality pictures, spent significant time showing me houses, etc... .A good agent earns the money. OBTW, in all three instances the market were not "hot," so significant negotiation had to occur between the buyer and seller agents. A good agent earns the money.

27 posted on 10/31/2023 2:53:38 PM PDT by fini
[ Post Reply | Private Reply | To 25 | View Replies]

To: nagant

That’s a load of carp. RE agents rip people off all the time.

Sell a house that takes a week or two to sell and they expect $50,000 for some paper work?

Bull sh*t!


28 posted on 10/31/2023 2:58:44 PM PDT by dragnet2 (Diversion and evasion are tools of deceit)
[ Post Reply | Private Reply | To 25 | View Replies]

To: NohSpinZone

“But with Zillow and Redfin, all that is pretty much moot.”

I think (I could be wrong) that most of the data on Zillow, Redfin and Realtor.com orginate from MLS data, or the brokers who put the data on the MLS.


29 posted on 10/31/2023 3:14:02 PM PDT by Wuli
[ Post Reply | Private Reply | To 9 | View Replies]

To: NohSpinZone

A market based on price-collusion for services is not a free market.


30 posted on 10/31/2023 3:14:58 PM PDT by Wuli
[ Post Reply | Private Reply | To 1 | View Replies]

To: NohSpinZone

Contract is made between the seller and his agent. Buyers are free to contract with any agent for any commission they want.


31 posted on 10/31/2023 3:16:21 PM PDT by kvanbrunt2
[ Post Reply | Private Reply | To 1 | View Replies]

To: CodeToad

Perfect reply.


32 posted on 10/31/2023 3:20:55 PM PDT by Track9 (You are far too inquisitive not to be seduced…)
[ Post Reply | Private Reply | To 23 | View Replies]

To: spacejunkie2001
Since most buyers are represented by a broker you need access to MLS as a seller to Market your property fsbo. There are cheap ways of getting on there but I’m not sure their Nationwide.

I forgot how we got on the MLS as a FSBO in 2006, but it wasn't horrific. One of our houses was on a busy thoroughfare, so marketing wasn't hard. One friend of a friend would get a FSBO sign, and get calls from numerous realtors. He set them bidding against each other, intending to go with low bidder all along. When I look in a new city for a place, I check craigslist as well as zillow/realtor.com. That works better for some cities than others.
33 posted on 10/31/2023 3:24:17 PM PDT by Dr. Sivana ("If you can’t say something nice . . . say the Rosary." [Red Badger])
[ Post Reply | Private Reply | To 7 | View Replies]

To: Track9

Snotty posters usually get a terse response like that.


34 posted on 10/31/2023 3:25:15 PM PDT by CodeToad (Rule#1: The elites want you dead.)
[ Post Reply | Private Reply | To 32 | View Replies]

To: nicollo
When do the trial lawyers get sued for exorbitant commissions and double dipping?

Remember way back - before we discovered the true depth of corruption in our government - when tort reform was the major conservative issue that the GOP never made any progress on?

35 posted on 10/31/2023 3:30:15 PM PDT by Mr. Jeeves ([CTRL]-[GALT]-[DELETE])
[ Post Reply | Private Reply | To 24 | View Replies]

To: NohSpinZone

In cases involving this much money, only children and adult fools think the LAW matters. What matters is who has the most money to pay the chain of judges that will, in the years or decades to come, “review” the case.

First the award will be cut, probably at the trial court level, after that happens, attorneys for the plaintiffs, rightfully scared they will get out-politicked and get zero, will scream at and threaten their clients to take pennies on the dollar.

I know. I’ve been there. And, it took 15 years to get there and I won the jury verdict. It’s a game. Like the proverbial cat playing with a ball of twine on the living room floor.


36 posted on 10/31/2023 3:59:04 PM PDT by Cen-Tejas
[ Post Reply | Private Reply | To 1 | View Replies]

To: Mr. Jeeves

I do — and I cry.

Let’s see some of the agents of that inaction, which go by the names of Hastert, Ryan, Boehner, and McCarthy.

Not holding out for one named Johnson, but we’ll see.


37 posted on 10/31/2023 4:11:37 PM PDT by nicollo ("This is FR!")
[ Post Reply | Private Reply | To 35 | View Replies]

To: NohSpinZone

My siblings and I sold my mother’s house earlier this year. Our real estate agent was worth every penny she received at closing. Of course, we had known her all our lives having gone to high school with her, so we trusted her and she was very honest with us during the entire process. We couldn’t have done it as problem-free as it was without her assistance. She knew her stuff and helped us avoid problems by bringing up issues we hadn’t thought of before. She did cut her usual percentage a bit for us since we were all old friends.

I’ve heard too many horror stories from those that tried to “sell by owner” and I certainly didn’t want to face any of those issues.


38 posted on 10/31/2023 4:21:48 PM PDT by CFW (I will not comply!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: NohSpinZone

More commie BS ....


39 posted on 10/31/2023 4:29:41 PM PDT by bankwalker (Repeal the 19th ...)
[ Post Reply | Private Reply | To 1 | View Replies]

To: NohSpinZone

“Average estate agent fees in 2023 are typically 1.42% including VAT. So on a £275,000 house this would mean estate agent fees of around £3,900.”

https://hoa.org.uk/advice/guides-for-homeowners/i-am-selling/how-much-should-i-pay-the-estate-agent/


40 posted on 10/31/2023 5:41:37 PM PDT by Brian Griffin
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-50 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson