BrokerageIndustry News

NAR to regulators: Real estate ripe with competition

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The average commission rate on home sales is declining, there is no collusion to fix the cost of real estate brokerage services, and consumers can choose from a "full spectrum of options" for real estate services, the National Association of Realtors contends in comments submitted to antitrust officials at the U.S. Justice Department and U.S. Federal Trade Commission. In a 30-page document submitted last week during a comment period for an Oct. 25 federal workshop on "Competition Policy and the Real Estate Industry," the association presents an image of an industry that is highly competitive, with millions of real estate licensees, hundreds of thousands of locally owned real estate brokerage offices and few barriers to entry. In its comments, NAR states that the real estate brokerage industry "is one of the few industries that comes close to meeting all of the criteria of a perfectly competitive industry." "We believe that the real estate industry is extremely competitive, and that th...