Friday, October 12, 2007

Department of Justice (DOJ) encourages consumers to be "watch-dogs" of real estate brokerages

You’ve heard it more often than you care to remember… the purchase or sale of real estate is probably the single, most important financial transaction most of us will ever make.

According to DOJ the estimated median commission paid by home sellers in 2006 was $11,672. Some new real estate brokerage models have the potential to reduce that amount by thousands. Similar to the practice in Arizona, some states allow licensees to rebate a portion of their brokerage fees to their respective clients and allow seller’s brokers to offer limited-service packages. This is not the case in all states.

So the anti-trust division of the DOJ has just launched a new website to assist consumers and policymakers with specific aim at competition in the real estate industry.

The site is designed to educate consumers about the potential benefits competition can bring consumers of real estate services as well as barriers that inhibit competition.

Consumers will be able to view maps that identify states with real estate laws that inhibit competition. They will be able to calculate potential savings when brokers pursuing new business models compete for their business. There will be links to additional government resources.

This is information brokers should know about before their clients. Check this address out now.

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