Here's how much you could save if real estate commissions drop by 30%, as some experts are predicting after today's National Association of Realtors settlement.
The National Association of Realtors announced a settlement on Friday that eliminated its rules on sales commissions, which could lead to a drop in home prices in the U.S.The settlement was made to resolve lawsuits that claim homeowners have been unfairly forced to pay artificially inflated commissions to realtors when they sold homes.
According to the New York Times, economists estimate that commissions could be reduced by 30 percent, which should be reflected in lower home prices.With that assumption, the cost of the commission on the $1-million home above would drop by $18,000, while the cost of the $412,778 home would drop by nearly $7,000.