140. See infra Chapter III.C. 141. Although this area reports a range of data that profess to measure "market share," http://www.mytimeshareexitreviews.com/wesley-financial-group-review-cost-fees-ratings/ this Report makes no attempt to define a relevant antitrust market for this, or any other, analysis. 142. See, e. g., STEVE SAWYER, RESIDENT PROPERTY MARKET COMPETITORS: PROOFS AND INSIGHT FROM AN ANALYSIS OF 12 RESIDENT MARKETS 3 (2005 ), available at http://www.
nsf/Pages/Sawyer05? OpenDocument (keeping in mind presence of "micro- markets" within cosmopolitan areas. For instance, within the Washington, DC city, there is little or no competition among purchasers, sellers, and property 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 Financial Expert, National Association of Realtors, Presentation at the Federal Trade Commission & Department of Justice Public Workshop: Competitors Policy and the Real Estate Industry, Realty 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 (comment). 149. Id. 150. REALOGY, REALOGY BUSINESS SUMMARY 4 (Dec - how do real estate agents make money. 2006), readily available at http://library. business- ir. net/library/19/ 198/198414/items/ 223251/RealogyDecember06% 20Final. what does under contract mean in real estate. pdf. 151. NAR, Public Remark 208, at 6 (" In a few markets, some firms may have a larger than normal market share, however market shares are known to change measurably from one year to the next.").
Re/Max Int' l, Inc. v. Real Estate One, Inc., 173 F. 3d 995, 1003 (sixth Cir. 1999). 153. Mid-America Real Estate Co. v. Iowa Realty 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 utilized a sample of 388 home sales in calendar year 1991 from the multiple listing service. Id. at 27. 155. James E. Larson & Won J. Park, Non-Uniform Percentage Brokerage Commissions and Property Market Performance," 17 JOURNAL OF THE AMERICAN REALTY http://timesharetracy.com/wesley-financial-group-review-2020/ 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, nevertheless, this is not always the case with regard to the entry of new organization models in the realty brokerage market. See infra Chapter IV. 157. Perriello, Tr. at 146. See also Lewis, Tr.
"); Hsieh, Tr. at 235 (" there's reasonably free entry into the occupation and into the real estate brokerage company."). The ability of newbie entrants to bring in customers relative to more knowledgeable representatives was not talked about at the Workshop and, similarly, is not addressed in this Report. 158. Yun, Tr.
159. Yun Discussion, supra note 145, at 5, 7. 160. Daniels, Public Remark 92, at 1. 161. NAR, Public Comment 208, at 5 (" An agent can acquire a broker's license, normally after having stayed in business for numerous years, and passing a broker's license examination. The specific requirements differ by state.").
One author has explained the service that brokers offer as not merely a finished match of buyer and seller, however rather "a completed transaction at some level of service supplied to the celebrations included." Geoffrey K. Turnbull, Realty Brokers, Nonprice Competition and the Real Estate Market, 24 REALTY ECONOMICS 293, 295 (1996 ).
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Id. The extent to which brokers provide these services "provides the margin for nonprice competitors amongst brokers." Id. 164. As gone over in Chapter I of this Report, rebates are a significant element of rate competition in between brokers in states that do not prohibit refunds. Anti-rebate laws are gone over in more detail in Chapter IV of this Report.
1983 FTC STAFF REPORT, supra note 9, at 64. See likewise id. at 55 (" [W] e discovered regional markets to regularly have commission modes at either 6 or 7 percent. These are the 'regular' modes for virtually all markets, regardless of how they may differ from one another, and nationwide an extremely high percentage of realty brokerage transactions occurred at a commission rate of one or the other.
The degree of rate uniformity we discovered plainly is inconsistent with a market characterized by the specific kind of vigorous competitors typical in numerous other markets."). 166. See, e. g., Hsieh, Tr. at 261 (" [I] f you go back to the FTC report from more than twenty years back, things truly have not altered that much."); Bourgoin, Public Comment 30 at 1 (" [T] he FTC did a study which was finished and released in 1983.
PROPERTY RES. 187, 187 https://www.bloomberg.com/press-releases/2019-12-19/record-numbers-of-consumers-continue-to-ask-wesley-financial-group-to-assist-in-timeshare-debt-relief (2001) (" A number of research studies have actually argued that the uniformity of the commission rate throughout different residential or commercial properties and regions is a sign of collusive habits."); Richard J. Buttimer, Jr., A Contingent Claims Analysis of Real Estate Listing Agreements, 16 J. PROPERTY FIN. & ECON.
some collusion between brokers through the [MLS] The main proof provided is the near-uniformity of commission rates in a given market. A common argument is that the effort required to offer a house is not a linear function of the prices and that if there is not collusion among brokers, there should be, at the extremely least, variation in commission rates across house cost ranges 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 realty brokerage market is substantially less competitive than it needs to be and commissions are synthetically high."); White, supra note 47, at 2 (" [A] more competitive result would certainly suggest that typical charges would be lower than they are today and that 'the 6% (or 7%) commission' would be not likely to stay as the modal fee."); John C.
8, 2005) (noting "a relatively extensive view that brokerage is not a competitive industry" based numerous understandings, consisting of: (1) extreme commission rates that are "sticky downward" even as innovation decreases brokers' expenses; (2) commission rates are higher in the United States than in numerous other developed countries; (3) lobbying efforts by NAR and state Realtor associations in favor of state laws restricting competition; (4) NAR's effective lobbying of Congress to restrict banks from going into the genuine estate brokerage business; 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) (going over how Web circulation decreased transaction costs in the sale of airline tickets), readily available at http://www. gao.gov/ brand-new - what can i do with a real estate license. items/d03749. pdf; GAO REPORT, GAO/GGD -00- 43, Online Trading: Better Investor Protection Details Needed on Broker's Website (May 2000) (discussing how Internet 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 (remark). 171. Id. at 1. 172. Id. at 4. A 2002 research study examining commission rates in the United States and several other countries concluded that U.S.