US Agencies Release Report on Competition in the RE Industry

**this may make for an interesting read....

U.S. Dept. of Justice (DOJ) and Federal Trade Commission (FTC) yesterday released a joint report focused on competition in the real estate industry that covers issues such as virtual office Web sites, multiple listing services, and minimum service requirements. The report follows an October 2005 public workshop hosted by the DOJ and FTC that also addressed competition in the industry through a panel comprising traditional real estate brokers, brokers offering nontraditional business models, state regulators, and members of academia.

The report concludes with several recommendations to help protect consumers from industry practices that may limit consumer choice regarding brokerage services. For instance, the DOJ and FTC recommend for state legislators and industry regulators to repeal existing minimum-service laws that limit consumer choice and avoid enacting such laws in the future; promote consumer understanding of marketplace options, including the negotiability of fees; and undertake a new study examining how commission rates and fees vary based on market conditions, home prices, and regulation. To view the report, visit http://www.usdoj.gov/atr/public/reports/223094.pdf.

**Taken from the California Association of Realtors Bulletin, dated May 9th, 2007.