Federal Court Approves $418 Million Settlement Over Real Estate Commissions

The settlement aims to transform the U.S. real estate market by ending the practice of sellers paying buyers' agents, potentially lowering costs for sellers but increasing them for buyers.

• The National Association of Realtors agreed to a $418 million settlement to resolve antitrust allegations, changing how commissions are handled.
• A federal judge granted preliminary approval to the settlement, with final judgment expected in November.
• The settlement could lead to a decrease in overall commission rates, making them competitive and negotiable.
• Industry experts are divided on the long-term impact of the settlement on the real estate market, with potential benefits for sellers but added costs for buyers.
• Changes prompted by the settlement are anticipated to start taking effect in late July, altering traditional home buying and selling practices.

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