Well, folks, it seems the National Association of Realtors (NAR) is back in the hot seat. The U.S. Supreme Court has decided not to entertain NAR’s plea to block the Department of Justice (DOJ) from reopening its investigation into the association’s commission practices.

Let’s rewind a bit. In 2020, during the Trump administration, NAR and the DOJ reached a settlement addressing concerns over anti-competitive practices in the real estate industry. The DOJ agreed to close its investigation, and NAR promised to adjust certain policies. Fast forward to 2021, and the DOJ, under new leadership, decided to withdraw from the settlement and reignite its probe into NAR’s practices. Naturally, NAR wasn’t thrilled and sought legal intervention to halt the DOJ’s renewed interest.

However, the D.C. Circuit Court had other plans. It ruled that the DOJ retained the authority to investigate NAR’s policies, emphasizing the importance of protecting competition for the benefit of homebuyers. NAR, undeterred, took the matter to the Supreme Court, hoping for a reprieve. But in January 2025, the Supreme Court declined to hear the case, effectively allowing the DOJ’s investigation to proceed.

This isn’t NAR’s first legal tango. In October 2023, a federal jury found NAR and several large brokerages liable for conspiring to inflate commissions paid to buyers’ real estate agents. The verdict resulted in a whopping $1.78 billion in damages. Following this, NAR agreed to a $418 million settlement in a separate class-action lawsuit, committing to change its commission rules, which were argued to violate antitrust laws.

The DOJ’s renewed investigation aims to scrutinize NAR’s commission structures and policies, particularly those that may hinder competition and lead to inflated costs for consumers. With the Supreme Court’s recent decision, the DOJ is poised to delve deeper into the real estate industry’s inner workings, potentially leading to significant changes in how commissions are structured and disclosed.

For the average American, especially those looking to buy or sell a home, these developments could have substantial implications. Increased scrutiny and potential reforms in commission practices might lead to more transparency and, hopefully, more competitive pricing in the real estate market.

In the end, while NAR’s legal battles are far from over, one thing is clear: the DOJ is committed to ensuring that the real estate industry operates fairly and competitively, keeping the interests of consumers at the forefront.