140. See infra Chapter III.C. 141. Although this section reports a variety of statistics that purport to measure "market share," this Report makes no effort to specify a relevant antitrust market for this, or any other, analysis. 142. See, e. g., STEVE SAWYER, RESIDENT PROPERTY MARKET COMPETITION: EVIDENCE AND INSIGHT FROM AN ANALYSIS OF 12 LOCAL MARKETS 3 (2005 ), offered at http://www.
nsf/Pages/Sawyer05? OpenDocument (keeping in mind presence of "micro- markets" within metropolitan areas. For example, within the Washington, DC city, there is little or no competitors amongst purchasers, sellers, and genuine estate representatives throughout the micro-markets of Montgomery County, MD, Fairfax County, VA, and southwest Washington, DC). 143. Yun, Tr. at 220. 144.
145. Lawrence Yun, Ph. D., Senior Citizen Economic Expert, National Association of Realtors, Presentation at the Federal Trade Commission & Department of Justice Public Workshop: Competitors Policy and the Property Market, Realty Brokerage Market: Structure-Conduct-Performance, at 9 (Oct. 25, 2005) [hereinafter Yun Presentation], offered at http://www. ftc.gov/ opp/workshops/comprealestate/ yun. pdf. 146. Id.
Id. 148. NAR, Public Comment 208, at 7 (comment). 149. Id. 150. REALOGY, REALOGY SERVICE INTRODUCTION 4 (Dec - what does under contract mean in real estate. 2006), offered at http://library. corporate- ir. net/library/19/ 198/198414/items/ 223251/RealogyDecember06% 20Final. what is cam in real estate. pdf. 151. NAR, Public Remark 208, at 6 (" In a couple of markets, some companies may have a bigger than normal market share, but market shares are understood to change measurably from one year to the next.").
Re/Max Int' l, Inc. v. Realty One, Inc., 173 F. 3d 995, 1003 (6th Cir. 1999). 153. Mid-America Realty Co. v. Iowa Real Estate Co., No. 4:04- CV-10175, 2004 WL 1280895, at * 8- * 9 & n. 5 (S.D. Iowa 2004), rev 'd on other grounds, 406 F. 3d 969 (8th Cir. 2005). 154. Shiawee X. Yang & Abdullah Yavas, Larger is Not Better: Brokerage and Time on the marketplace, 10 J.
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23, 27-28 (1995 ). The authors used a sample of 388 house sales in fiscal year 1991 from the several listing service. Id. at 27. 155. James E. Larson & Won J. Park, Non-Uniform Portion Brokerage Commissions and Realty Market Performance," 17 JOURNAL OF THE AMERICAN REAL ESTATE AND URBAN ECONOMICS ASSOCIATION 422, 428-29 (1989 ).
See id. at 427-28. 156. 1983 FTC PERSONNEL REPORT, supra note 9, at 102. As explained infra, nevertheless, this is not always the case with respect to the entry of new business models in the realty brokerage market. See infra Chapter IV. 157. Perriello, Tr. at 146. See likewise Lewis, Tr.
"); Hsieh, Tr. at 235 (" there's reasonably free entry into the occupation and into the real estate brokerage business."). The capability of amateur entrants to attract customers relative to more skilled representatives was not discussed at the Workshop and, similarly, is not attended to in this Report. 158. Yun, Tr.
159. Yun Discussion, supra note 145, at 5, 7. 160. Daniels, Public Comment 92, at 1. 161. NAR, Public Go to the website Comment 208, at 5 (" A representative can obtain a broker's license, usually after having actually been in business for a number of years, and passing a broker's license https://www.benzinga.com/pressreleases/20/02/g15395369/franklin-tenn-based-wesley-financial-group-recognized-as-2020-best-places-to-work-in-u-s test. The specific requirements differ by state.").
One author has actually described the service that brokers offer as not simply a finished match of buyer and seller, but rather "a finished transaction at some level of service provided to the celebrations included." Geoffrey K. Turnbull, Property Brokers, Nonprice Competition and the Housing Market, 24 PROPERTY ECONOMICS 293, 295 (1996 ).
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Id. The level to which brokers provide these services "provides the margin for nonprice competitors amongst brokers." Id. 164. As talked about in Chapter I of this Report, refunds are a meaningful component of rate competition in between brokers in states that do not prohibit rebates. Anti-rebate laws are gone over in more information in Chapter IV of this Report.
1983 FTC PERSONNEL REPORT, supra note 9, at 64. See also id. at 55 (" [W] e found regional markets to regularly have commission modes at either six or seven percent. These are the 'typical' modes for practically all markets, regardless of how they might vary from one another, and nationwide a very high portion of genuine estate brokerage transactions happened at a commission rate of one or the other.
The degree of rate uniformity we found plainly is inconsistent with a market defined by the specific type of energetic competition common in numerous other markets."). 166. See, e. g., Hsieh, Tr. at 261 (" [I] f you return to the FTC report from more than 20 years back, things truly have actually not changed that much."); Bourgoin, Public Comment 30 at 1 (" [T] he FTC did a study which was finished and released in 1983.
REALTY RES. 187, 187 (2001) (" A variety of studies have actually argued that the uniformity of the commission rate across different residential https://omaha.com/business/consumer/wesley-financial-group-diversifies-with-launch-of-wesley-mutual/article_1cf167bd-44c0-535b-ab57-13075882968f.html or commercial properties and regions is a sign of collusive behavior."); Richard J. Buttimer, Jr., A Contingent Claims Analysis of Realty Listing Agreements, 16 J. PROPERTY FIN. & ECON.
some collusion in between brokers through the [MLS] The main evidence presented is the near-uniformity of commission rates in a given market. A common argument is that the effort needed to sell a home is not a direct function of the list prices which if there is not collusion amongst brokers, there must be, at the minimum, variation in commission rates throughout home rate varieties within an offered market.").
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See, e. g., American Bankers Association, Public Comment 10, at 1 (cover letter) (" [b] y any standard, the property brokerage market is substantially less competitive than it should be and commissions are synthetically high."); White, supra note 47, at 2 (" [A] more competitive result would definitely suggest that typical charges would be lower than they are today and that 'the 6% (or 7%) commission' would be not likely to remain as the modal cost."); John C.
8, 2005) (keeping in mind "a fairly extensive view that brokerage is not a competitive market" based a number of perceptions, consisting of: (1) extreme commission rates that are "sticky down" even as technology lowers brokers' expenses; (2) commission rates are higher in the United States than in lots of other developed nations; (3) lobbying efforts by NAR and state Real estate agent associations in favor of state laws limiting competition; (4) NAR's successful lobbying of Congress to forbid banks from entering the genuine estate brokerage service; and (5) NAR-imposed constraints on discount rate and Web brokers' access to the MLS).
See, e. g., GAO REPORT, GAO-03-749, Airline Company Ticketing: Effect of Modifications in the Airline Company Ticket Circulation Market (July 2003) (discussing how Internet circulation lowered deal costs in the sale of airline tickets), available at http://www. gao.gov/ brand-new - how to be a real estate investor. items/d03749. pdf; GAO REPORT, GAO/GGD -00- 43, Online Trading: Better Investor Defense Details Needed on Broker's Website (May 2000) (discussing how Web brokerages charge far less commission per trade on securities), readily available at http://www.
items/gg00043. pdf. 169. See Hahn, Tr. at 89; American Bankers Association, Public Remark 10, at 3. 170. American Bankers Association, Public Comment 10, at 3 (comment). 171. Id. at 1. 172. Id. at 4. A 2002 research study examining commission rates in the United States and a number of other countries concluded that U.S.