“Realtors” have long colluded with state legislatures and regulators to maintain their cartel at the expense of consumers. The U.S. Department of Justice together with the Federal Trade Commission issued a report, “Competition in the Real Estate Brokerage Industry.” As summarized in their press release:
The review by the Department and the FTC suggests that, although the real estate industry has undergone a number of substantial changes in recent years — particularly as a result of technological advances such as the Internet — competition in the industry has been hindered as a result of actions taken by some real estate brokers acting through multiple listing services and the National Association of Realtors, state legislatures, and state real estate commissions.
The report is particularly critical of “three types of restraints imposed by state laws and regulations that are likely to reduce competition and consumer choice in the real estate brokerage industry: anti-rebate laws and regulations; minimum-service requirements; and overly broad licensing requirements.”
Feds just cracked another pillar of the realtor cartel:
This sure is a dirty business. WSJ reports title insurers are finally being busted for collusion.
For some reason the closing quote to that article didn’t make it online:
Caveat emptor.
If real estate brokers can get laws to enforce their cartel, where does it stop? Apparently not with the American Society of Interior Designers!