1) Many state laws establish agency disclosures and requirements so that many of the allegations made are not realized in states that have laws that regulate disclosure and agency requirements. 2) Compensation is made to the listing agent where the listing agent agrees to share some of his commission if the sellers agent can bring a buyer to the table. 3) Personally, I don't believe that the allegations of commissions overstating prices is nonsense. Commissions have always been up for negotiations. I see agent compensation anywhere from 2% to 8% long before the lawsuite was made.
Good points Craig--thanks for the comment. We didn't address specific state laws applicable just due to time, but you're right--this was not an issue everywhere. Same goes for your other comments. I think it'll certainly be interesting to track the long-term effects of these lawsuits/settlements, but it's definitely difficult to foresee all the possibilities.
1) Many state laws establish agency disclosures and requirements so that many of the allegations made are not realized in states that have laws that regulate disclosure and agency requirements. 2) Compensation is made to the listing agent where the listing agent agrees to share some of his commission if the sellers agent can bring a buyer to the table. 3) Personally, I don't believe that the allegations of commissions overstating prices is nonsense. Commissions have always been up for negotiations. I see agent compensation anywhere from 2% to 8% long before the lawsuite was made.
Thank you, Craig!
Good points Craig--thanks for the comment. We didn't address specific state laws applicable just due to time, but you're right--this was not an issue everywhere. Same goes for your other comments. I think it'll certainly be interesting to track the long-term effects of these lawsuits/settlements, but it's definitely difficult to foresee all the possibilities.