MLS Associations Pleading Against DOJ 🙏

Author

Kreg King
April 01, 2024

Hello all! Hoping you all had an egg-cellent Easter weekend filled with sunshine and stuffed bellies! Brace yourself for an epic week ahead as we kick off the second quarter of 2024!

We’re also excited to announce an opportunity for all of you this Wednesday help navigate all the confusing NAR headlines. Keep reading!

We are posting regular content to Instagram (Nick | Kreg) and Facebook (Nick | Kreg) to help you and your buyers stay informed. Be sure to follow us!

Read time: ~4 minutes

Rates ended FLAT compared to last week, and volatility was LOW. Rates continue to be in the high 6’s for most loan types without paying discount points. Paying discount points can get you in the low-to-mid 6’s.

Quiet Week for Mortgage Rates 🤫

It's been ages since rates held steady all week! Given the Easter holiday, we were very light on the news front. The only major news was the February PCE inflation data which was released on Friday. February PCE inflation, the Fed’s preferred inflation measure, rose to 2.5%, which was in-line with expectations. However, it’s worth noting that this is the first time PCE inflation has rose since August 2023, a trend that isn’t favorable in the eyes of the Fed.

Key Takeaway: With inflation remaining above the 2% target, Nick and I both agree that it remains far too early for the Fed to cut interest rates. The Fed’s worst-case scenario is cutting interest rates too soon. They will keep rates higher until inflation is comfortably on track to hit their 2% target.

MLS Associations Pleading Against DOJ 🙏

On Wednesday, the Council of Multiple Listing Services (CMLS), a trade association made up of more than 225 MLS’s, urged the U.S. District Court to dismiss a statement of interest filed by the Department of Justice (DOJ). The move from the CMLS was in response to the DOJ calling for changes that would prohibit sellers making commission offers to buyer brokers at all. Essentially, the DOJ suggests that sellers and buyers should each cover their own fees independently.

The DOJ getting involved in any real estate commission discussion is troubling. Clearly, they do not have the expertise to assess the effects of its policy on the real estate market. Can you imagine the impact on their proposed policy on first-time homebuyers, low-income buyers, and minorities?

The government appears to be targeting the current commission structure as the culprit for the housing inequality. Thankfully, trade organizations such as the CMLS are stepping forward to voice their opposition.

Key Takeaway: Council of Multiple Listing Services has come out swinging against the U.S. Department of Justice proposal to decouple commissions. This is a topic that warrants close attention as its outcome could significantly impact the housing market, potentially even more so than the current changes expected from the NAR settlement.

NAR Settlement - Fact vs. Fiction

Are you ready for what's coming next? The buzz around the NAR settlement has everyone in a spin - the headlines are a mess, buyers are scratching their heads, and let's be honest, a lot of us are still trying to figure out the best way to break it down for our clients.

So, here's the deal: On Wednesday, April 3rd, we're dialing in an absolute game-changer. We've got an Industry Expert and a National Top Producing Realtor joining us for a can't-miss interview. We're diving deep into:

  • The real scoop vs. the noise

  • The ripple effects on our industry

  • Strategies for staying ahead of the curve

And guess what? It's on the house - this webinar won't cost you a dime, and it's going to be packed with invaluable insights: Register Here

Some of the sharpest minds are hinting that this settlement could shake up the Realtor landscape big time, kind of like the 2008 market crash did:

But here's the bottom line: Knowledge is power. Those who master the art of clear communication and can position themselves as the go-to experts are the ones who'll come out on top.

Big Week Ahead!

All eyes are on the February Jobs Report set to be released this coming Friday! This report holds immense significance as it will indicate whether the job market remains hot or if signs of softening are beginning to emerge. A weakening job market may give the Fed confidence in lowering rates in the near future.

We also have a total of 14 Fed speaker events this week who will likely continue the same messaging -.rate cuts at some point in the future while reiterating the the need to see the data to justify.

Instagram Posts from Last Week

Don’t hesitate to reach out if you need anything at all. Have a wonderful week!