(The Center Square) – The National Association of REALTORS announced Friday an agreement where it will end the 6% commission that is routine in home sales.
In the settlement with homeowners, the association will pay $418 million in damages and end litigation on the matter.
Experts say that Americans pay $100 billion a year in real-estate commissions.
Andrew Lokenauth, who writes a finance newsletter, said on X the deal would end the standard 6% commission and lead to more competition among realtors. He said it could lead to a 30% reduction in commission. “With commissions potentially dropping 30%, that could put tens of billions of dollars back in the pockets of American home buyers and sellers every year,” Lokenauth said on X. “A seller of a $500,000 home could save $9,000 or more on a 3% commission instead of 6%. This is expected to drive down housing costs and
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