Wealth Formula by Buck Joffrey 420: Realtors Make Legal Settlement: Changes Made to What YOU Pay!
The cost of real estate transactions affects everyone regardless of whether you invest in real estate or not. Why? Because the cost of the transaction will ultimately be included in the price of the real estate.
One of the biggest costs in a real estate transaction is the commission paid by the seller. In the last several years, the way that commissions have worked at the residential level is that the seller’s broker collects the commissions and shares them with the buyer’s broker.
However, that paradigm is about to change as part of a massive settlement between home sellers and the National Association of Realtors (NAR).
The issue at hand: sellers don’t think they should be paying for brokers who are not working for them. The courts have agreed and in order to avoid massive ongoing litigation the NAR has decided to change the way it does business.
These changes will affect real estate investors and homeowners alike. Tune in to this week’s Wealth Formula Podcast to get all of the juicy details on how!
Show Notes:
04:17 The Conspiracy
07:14 The Lawsuits
10:49 The Changes
19:31 The Implications on Real Estate Prices
23:35 The Result?
24:36 The Opportunities
29:16 Will there be less realtors?