Realtors throughout the nation must adapt

YUMA, Ariz. (KYMA, KECY) - A new lawsuit is changing the way realtors conduct business throughout the nation.

The lawsuit is a class action lawsuit filed by a group of home sellers in Missouri.

According to the National Association of Realtors (NAR), the sellers claimed that real estate commission rates are too high, and that buyer’s representatives are paid too much.

“What it’s going to change is the way we offer compensation to another agent it’s always been through the MLS system however now it’ll be done differently,” said Shelley Ostrowski, Arizona Association of Realtors President.

With the lawsuit set to settle, this means brokers and realtors will have to be even more transparent in the way they conduct business.

However, the NAR states their system makes efficient, transparent, and accessible marketplaces possible.

Ostrowski explains how the now-former, MLS, was used.

“It’s the Multiple Listings System and it offers data that we feed into it and it feeds out to places like Realtor.com, Zillow, all those websites that people look at for their housing needs,” said Ostrowski.

The NAR and several other brokerages have settled on paying the group almost $418 million.

Final approval is expected sometime in November and the changes are expected to take effect August 17, 2024.