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The week's question
In March 2025, in the thread "Re: OT, out", Umm asked the members: "Do you think it is because America is made up of magical soil that makes businesses based in America magically profitable?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: Rabbitrr   😊 😞
Number: of 22353 
Subject: Re: Advanced talks to sell RE Brokerage to Compass
Date: 03/17/25 9:58 AM
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Per the results of the lawsuits you are only legally responsible for paying 1 side of the commission. So if you have a selling agent representing you it would be a 2.5% commission. If the buyers have an agent they are responsible for paying that agent 2.5%. In fact a realtor will not even show buyers a listing unless they sign in advance a legally binding document that if they should then purchase that property they are responsible for paying that agent a commission.

The problem is, and I think you are right about the possibility of more lawsuits,is that sellers are being pressured to agree to pay the entire commission which is the way that the industry has traditionally done business. How are they being pressured? They are being told that if they do not agree to do so it is unlikely that realtors will show their property.

This is no longer the business it was when BRK entered into it. I really do hope that they exit it. Think the Barron's article mentioned the sale price possibly being $2 billion. That is more than I would have expected.
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This community has written 21,861 posts about Berkshire Hathaway. The article-length ones it recommended most:
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Summary of 2Q 2026 · 55 recs · 2026
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