Real estate commission change may hurt borrowers, brokerage argues

Abstract

Real estate commissions are paid from the sellers' proceeds at the closing table. But some groups, who have filed suits against the National Association of Realtors, claim this leads to outsized commissions. They argue that the buy and sell side should each pay their share separately, also known as decoupling, which would spur negotiations about them and ideally lead to lower fees overall. Some buyers could no longer qualify for a loan while others would have to pay additional fees. A year ago, the U.S. Justice Dept. withdrew from a Trump-era settlement with the N. Association ofRealtors and others related to it. "These cash constraints are more prevalent among first-time and low- and middle-income buyers,