Another new rule will require buyers’ brokers to enter into written agreements with their buyers. By some estimates, real estate commissions are expected to fall 25% to 50%, according to TD Cowen Insights. This will open up opportunities for alternative models of selling real estate that already exist but don’t have much market share, including flat-fee and discount brokerages. Shares of real estate firms Zillow and Compass both fell by more than 13% Friday as investors feared that lower commission rates for agents could lead to less business for real estate platforms. “For years, anticompetitive rules in the real estate industry have financially harmed millions of Americans,” said Brown.

Source: CNN March 15, 2024 17:47 UTC