The CE Shop Sees Opportunity for Real Estate Professionals Despite NAR Settlement on Commission Lawsuits
DENVER, March 19, 2024 (Newswire.com) - The CE Shop, the industry veteran in real estate education for all four professions serving the category—real estate, mortgage, appraisal, and home inspection—announces that it sees a bright light ahead for real estate and professionals interested in joining the ranks of successful agents despite the latest industry news announced last week.
Last week, the National Association of Realtors® agreed to pay $418M to settle commission lawsuits and had agreed to abolish the “Participation Rule,” which requested sell-side agents to make an offer of compensation to buyer brokers. The settlement will be paid over four years.
While real estate agent counts are speculated to reduce over the next few years, the industry was holding onto thousands of non-producing agents following a post-Covid flood of new agents to the industry. Brokers and agents will experience some pain adjusting to the future state of the industry, but the industry will be prime for innovation that will create new opportunities.
The CE Shop predicts several positive outcomes due to the NAR® settlement:
- Housing costs could drop, while increasing housing inventory and potentially serve a broader set of individuals who have been caught in affordability and inventory concerns.
- The average income for a real estate agent could potentially go up with consolidated markets, and since the market might have been oversaturated, strong agents will rise to the top.
- There can now be stronger partnerships and representation throughout the transaction, providing buyers and sellers with an improved experience while creating opportunities for professionals throughout the real estate industry. As an example, Mortgage Loan Originators could become the first connection point for a buyer vs. an agent. This could open a trend for MLOs to receive dual licensure in real estate, given a transaction requires both fields. More on that relationship and possible cross-pollination here.
- There will be pressure on the industry with the anticipated consolidation of agent, broker, and association counts, but the industry will become less saturated and more focused on the best next steps for the buyers.
- The industry has been primed for innovation and will solve for the new challenges, just as has been done in the past. This will lead to stronger professional standards, improved technology, and services to support consumers. Every profession that serves the category has a realized goal for all individuals to obtain housing, it’s simply the nature of the professions.
- NAR’s research shows that 17% of the GDP is made up of real estate. The category is not going away.
The timing is right to make a smart career decision for those looking for a flexible work schedule in an opportunistic market.
Learn more about Real Estate Licensing, NMLS-Approved Mortgage Education, Home Inspection Licensing, and Real Estate Appraisal Education.
About The CE Shop
The CE Shop is the leading provider of professional real estate education with online mortgage, real estate, home inspection, and appraisal courses available throughout the United States. The CE Shop produces quality education for professionals across the nation, whether they’re veterans in their industry or are looking to launch a new career. We believe that the right education can truly make a difference. Visit TheCEShop.com to learn more.
Media Contact:
The CE Shop Press
Press@TheCEShop.com
720.822.5314
Source: The CE Shop
