Bidding wars seem to be a recurring situation. Some Realtors swear by them. Everyone seems to know someone who made 13 or 14 offers when trying to buy their home, sometimes finally getting a house they either wanted or paid too much for, and sometimes just dropping out in order to wait until the market cooled down.
As many may know, the Competition Bureau is investigating the Canadian Real Estate Association (CREA).
The Bureau intends to take CREA to the Competition Tribunal because it believes that CREA’s control over the MLS limits consumer choice, sets unfair rules and is anti-competitive.
The argument originates from some real estate sellers who consider agent’s commissions too high. For example, a 5% fee on a $500,000 house would be $25,000. The agents point at a substantial amount of work involved in the real estate transactions, which justifies the fees.
However, the Competition Bureau intends to allow sellers list their properties less expensively on MLS.