Industry News

Consumer group slams real estate ‘cartel’

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Discrimination against non-traditional real estate brokers, status quo commission structures, unregulated multiple listing services, lack of consumer knowledge, and the large share of real estate professionals who serve on state real estate regulatory commissions stifle competition in the real estate industry, according to a report released today by the Consumer Federation of America. In the eight-page report, "How the Real Estate Cartel Harms Consumers and How Consumers Can Protect Themselves," the consumer group encourages "fuller and more timely consumer information; ending of discrimination against nontraditional brokers; and effective, independent regulation" to improve the real estate industry. The non-profit advocacy group's membership includes about 300 organizations that together represent about 50 million people. Stephen Brobeck, executive director for the consumer group, and Patrick Woodall, a senior researcher, prepared the report. The National Association of Realtors too...