140. See infra Chapter III.C. 141. Although this section reports a variety of statistics that purport to determine "market share," this Report makes no effort to specify a pertinent antitrust market for this, or any other, analysis. 142. See, e. g., STEVE SAWYER, RESIDENT REAL ESTATE MARKET COMPETITORS: PROOFS AND INSIGHT FROM AN ANALYSIS OF 12 LOCAL MARKETS 3 (2005 ), available at http://www.
nsf/Pages/Sawyer05? OpenDocument (keeping in mind presence of "micro- markets" within metropolitan locations. For instance, within the Washington, DC city, there is little or no competitors among purchasers, sellers, and property agents 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 Citizen Economist, National Association of Realtors, Presentation at the Federal Trade Commission & Department of Justice Public Workshop: Competition Policy and the Realty Market, Real Estate Brokerage Industry: Structure-Conduct-Performance, at 9 (Oct. 25, 2005) [hereinafter Yun Discussion], readily 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 SERVICE SUMMARY 4 (Dec - how to make money in real estate with no money. 2006), available at http://library. corporate- ir. net/library/19/ 198/198414/items/ 223251/RealogyDecember06% 20Final. how to make money in real estate. pdf. 151. NAR, Public Comment 208, at 6 (" In a few markets, some companies might have a bigger than typical market share, but market shares are understood to alter 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 premises, 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 used a sample of 388 house sales in calendar 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 Efficiency," 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 described infra, nevertheless, this is not necessarily the case with respect to the entry of new company designs in the realty brokerage market. See infra Chapter IV. 157. Perriello, Tr. at 146. See likewise Lewis, Tr.
"); https://www.ripoffreport.com/report/s/wesley-financial-group-llc-trusted-business-ripoff-report-verified-896644 Hsieh, Tr. at 235 (" there's fairly complimentary entry into the occupation and into the genuine estate brokerage service."). The capability of beginner entrants to draw in clients relative to more knowledgeable representatives was not talked about at the Workshop and, also, is not addressed in this Report. 158. Yun, Tr.
159. Yun Presentation, supra note 145, at 5, 7. 160. Daniels, Public Remark 92, at 1. 161. NAR, Public Remark 208, at 5 (" A representative can get a broker's license, usually after having stayed in business for numerous years, and passing a broker's license examination. The specific requirements differ by state.").
One author has actually explained the service that brokers provide as not merely a completed match of buyer and seller, however rather "a completed transaction at some level of service offered 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 level to which brokers provide these services "provides the margin for nonprice competitors among brokers." Id. 164. As discussed in Chapter I of this Report, rebates are a meaningful component of price competitors between brokers in states that do not forbid 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 6 or 7 percent. These are the 'typical' modes for practically all markets, regardless of how they might vary from one another, and nationwide an extremely high portion of realty brokerage transactions took place at a commission rate of one or the other.
The degree of rate harmony we found clearly is irregular with a market characterized by the specific sort of energetic competitors typical in many other markets."). 166. See, e. g., Hsieh, Tr. at 261 (" [I] f you go back to the FTC report from more than 20 years ago, things really have not altered that much."); Bourgoin, Public Remark 30 at 1 (" [T] he FTC did a study which was finished and released in 1983.
REAL ESTATE RES. 187, 187 (2001) (" A variety of research studies have actually argued that the harmony 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. REALTY FIN. & ECON.
some collusion in between brokers through the [MLS] The primary evidence presented is the near-uniformity of commission rates in a provided market. A typical argument is that the effort required to sell a home is not a linear function of the list prices and that if there is not collusion among brokers, there ought to be, at least, variation in commission rates across home rate varieties within an offered market.").
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See, e. g., American Bankers Association, Public Remark 10, at 1 (cover letter) (" [b] y any requirement, the property brokerage market is significantly less competitive than it must be and commissions are artificially high."); White, supra note 47, at 2 (" [A] more competitive outcome would certainly indicate 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 cost."); John C.
8, 2005) (keeping in mind "a fairly widespread view that brokerage is not a competitive market" based numerous perceptions, including: (1) extreme commission rates that are "sticky down" even as technology reduces brokers' costs; (2) commission rates are greater in the United States than in numerous other developed countries; (3) lobbying efforts by NAR and state Real estate agent associations in favor of state laws restricting competition; (4) NAR's effective lobbying of Congress to prohibit banks from entering the property brokerage service; and (5) NAR-imposed limitations on discount and Web brokers' access to the MLS).
See, e. g., GAO REPORT, GAO-03-749, Airline Company Ticketing: Impact of Modifications in the Airline Ticket Distribution Industry (July 2003) (talking about how Web distribution lowered transaction expenses in the sale of airline company tickets), offered at http://www. gao.gov/ new - what is redlining in real estate. 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), available at http://www.
items/gg00043. pdf. 169. See Hahn, Tr. at 89; American Bankers Association, Public Remark westgate orlando timeshare 10, at 3. 170. American Bankers Association, Public Remark 10, at 3 (remark). 171. Id. at 1. 172. Id. at 4. A 2002 study examining commission rates in the United States and a number of other countries concluded that U.S.