Realtors face billions in damages for overcharging home buyers and sellers

Realtors face billions in damages for overcharging home buyers and sellers, per BI.

In November, The National Association of Realtors (NAR) and several real estate firms have been directed to pay $1.8 billion in damages following a federal jury ruling in Missouri, which determined that they conspired to artificially inflate brokerage commissions.

Defendants include Keller Williams, Berkshire Hathaway's HomeService of America, and two subsidiaries. The verdict has significant implications for the homebuying landscape in the U.S., especially amid a sluggish real estate market.

The case revolves around commissions paid to a buyer's realtor, governed by NAR rules, with plaintiffs alleging collusion to drive up seller-paid commissions. The jury award, expected to triple under antitrust law, may surpass $5 billion.