Starting in July, the real estate industry is bracing for a sweeping shake-up thanks to a $418 million settlement offered by the National Association of Realtors to overhaul its long-entrenched commission structure for agents and pay compensation to the sellers and real estate brokerages who sued.
The NAR got a further blow on April 5, when a federal court cleared the way for the Justice Department to reopen an antitrust probe into the group and its rules regarding home-sale commissions.
While the settlement awaits final approval later in the year, a preliminary sign-off by a federal judge on Tuesday means that the outcome is highly likely. In addition, the NAR has already started planning to change some of its policies starting this summer. Although these will likely affect home buyers more than sellers, both sides will have to make some adjustments, including how they work with agents.
Read More: How real estate commission changes could affect buyers and sellers