140. See infra Chapter III.C. 141. Although this area reports a variety of statistics that purport to determine "market share," this Report makes no attempt to specify a relevant antitrust market for this, or any other, analysis. 142. See, e. g., STEVE SAWYER, LOCAL PROPERTY MARKET COMPETITORS: EVIDENCE AND INSIGHT FROM AN ANALYSIS OF 12 RESIDENT MARKETS 3 (2005 ), readily available at http://www.
nsf/Pages/Sawyer05? OpenDocument (noting presence of "micro- markets" within cities. For example, within the Washington, DC city, there is little or no competition among buyers, sellers, and realty representatives across 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 Economist, National Association of Realtors, Presentation at the Federal Trade Commission & Department of Justice Public Workshop: Competitors Policy and the Real Estate Market, Real Estate Brokerage Market: Structure-Conduct-Performance, at 9 (Oct. 25, 2005) [hereinafter Yun Presentation], available at http://www. ftc.gov/ opp/workshops/comprealestate/ yun. pdf. 146. Id.
Id. 148. NAR, Public Remark 208, at 7 (remark). 149. Id. 150. REALOGY, REALOGY COMPANY OVERVIEW 4 (Dec - how to become a real estate agent in ga. 2006), offered at http://library. business- ir. net/library/19/ 198/198414/items/ 223251/RealogyDecember06% 20Final. how long does it take to get a real estate license. pdf. 151. NAR, Public Remark 208, at 6 (" In a few markets, some firms may have a bigger than usual market share, however market shares are understood to alter measurably from one year to the next.").
Re/Max Int' l, Inc. v. Real Estate One, Inc., 173 F. 3d 995, 1003 (6th Cir. 1999). 153. Mid-America Real Estate 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 Much Better: Brokerage and Time on the marketplace, 10 J.
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23, 27-28 (1995 ). The authors utilized a sample of 388 house sales in calendar year 1991 from the numerous listing service. Id. at 27. 155. James E. Larson & Won J. Park, Non-Uniform Portion Brokerage Commissions and Real Estate Market Performance," 17 JOURNAL OF THE AMERICAN PROPERTY AND URBAN ECONOMICS ASSOCIATION 422, 428-29 (1989 ).
See id. at 427-28. 156. 1983 FTC STAFF REPORT, supra note 9, at 102. As explained infra, however, this is not necessarily the case with respect to the entry of new organization 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 totally free entry into the occupation and into the property brokerage service."). The ability of amateur entrants to bring in customers relative to more knowledgeable agents was not talked about at the Workshop and, likewise, is not attended to in this Report. 158. Yun, Tr.
159. Yun Presentation, supra note 145, at 5, 7. 160. Daniels, Public Comment 92, at 1. 161. NAR, Public Remark 208, at 5 (" A representative can get a broker's license, generally after having stayed in business for several years, and passing a broker's license examination. The specific requirements vary by state.").
One author has actually explained the service that brokers offer as not simply a finished match of buyer and seller, however rather "a completed deal at some level of service provided to the celebrations involved." Geoffrey K. Turnbull, Property Brokers, Nonprice Competitors and the Housing Market, 24 REALTY ECONOMICS 293, 295 (1996 ).
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Id. The level to which brokers supply these services "provides the margin for nonprice competitors amongst brokers." Id. 164. As discussed in Chapter I of this Report, refunds are a meaningful part of rate competition between brokers timeshare scams in states that do not restrict refunds. Anti-rebate laws are talked about in more detail in Chapter IV of this Report.
1983 FTC PERSONNEL REPORT, supra note 9, at 64. See likewise id. at 55 (" [W] e discovered regional markets to consistently have commission modes at either six or 7 percent. These are the 'typical' modes for essentially all markets, regardless of how they might differ from one another, and nationwide an extremely high portion of property brokerage deals occurred at a commission rate of one or the other.
The degree of rate harmony we discovered plainly is inconsistent with a market defined by the specific kind of energetic competitors typical in lots of other markets."). 166. See, e. g., Hsieh, Tr. at 261 (" [I] f you go back to the FTC report from more than 20 years earlier, things truly have not altered that much."); Bourgoin, Public Comment 30 at 1 (" [T] he FTC did a research study which was completed and published in 1983.
GENUINE ESTATE RES. 187, 187 (2001) (" A variety of studies have actually argued that the uniformity of the commission rate throughout various properties and areas is an indicator of collusive habits."); Richard J. Buttimer, Jr., A Contingent Claims Analysis of Real Estate Listing Agreements, 16 J. REAL ESTATE FIN. & ECON.
some collusion in between brokers through the [MLS] The primary proof presented is the near-uniformity of commission rates in an offered market. A typical argument is that the effort required to sell a home is not a direct function of the sales rate and that if there is not collusion among brokers, there must be, at the really least, variation in commission rates across home rate varieties within a provided market.").
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See, e. g., American Bankers Association, Public Remark 10, at 1 (cover letter) (" [b] y any requirement, the realty brokerage market is significantly less competitive than it must be and commissions are synthetically high."); White, supra note 47, at 2 (" [A] more competitive result would certainly imply that typical fees would be lower than they are today and that 'the 6% (or 7%) commission' would be unlikely to remain as the modal fee."); John C.
8, 2005) (keeping in mind "a https://www.indeed.com/cmp/Western-Financial-Group/reviews relatively widespread view that brokerage is not a competitive industry" based numerous understandings, including: (1) extreme commission rates that are "sticky downward" even as innovation minimizes brokers' expenses; (2) commission rates are higher in the United States than in numerous other industrialized nations; (3) lobbying efforts by NAR and state Realtor associations in favor of state laws restricting competition; (4) NAR's effective lobbying of Congress to forbid banks from entering the realty brokerage company; and (5) NAR-imposed constraints on discount and Web brokers' access to the MLS).
See, e. g., GAO REPORT, GAO-03-749, Airline Ticketing: Impact of Modifications in the Airline Company Ticket Distribution Market (July 2003) (going over how Internet circulation lowered deal costs in the sale of airline company tickets), offered at http://www. gao.gov/ new - what is earnest money in real estate. items/d03749. pdf; GAO REPORT, GAO/GGD -00- 43, Online Trading: Better Financier Security Info Needed on Broker's Website (May 2000) (talking about how Internet brokerages charge far less commission per trade on securities), 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. timeshare exit strategy A 2002 research study analyzing commission rates in the United States and numerous other nations concluded that U.S.