U.S. Justice Department withdraws from settlement; launches probe of Realtors

(Reuters) – WASHINGTON, July 1 (Reuters) – The US Justice Department announced on Thursday that it was withdrawing from a deal with the National Association of Realtors in order to allow for a more thorough probe of the group. The department and the NAR had reached an agreement in November that required the organization to either scrap or change rules in order to provide prospective home buyers with more information about commissions paid to brokers who represented them, as well as to eliminate any misrepresentation that the services were provided for free. It was also to amend the restrictions that restrict access to lock boxes to NAR-affiliated brokers. The settlement would have limited the Justice Department’s ability to investigate the association further. The government stated in a statement that “the department is taking this measure to allow a broader examination into NAR’s rules and conduct to proceed without restriction.” A request for comment was not immediately returned by the organization. Diane Bartz contributed reporting, and Dan Grebler edited the piece./nRead More