Anti-competitive practices in NYC real estate include actions by agents that artificially inflate commission rates by discouraging competition among agents and brokerages. They also involve failing to fully disclose information to consumers. This can prevent them from securing the best possible commission deal. Spreading misinformation to dissuade consumers from negotiating commissions is another form of anti-competitive conduct. For example, an agent who falsely claims that buyer-agent commission rebates are illegal is engaging in anti-competitive behavior.
The New York State Office of the Attorney General (NYAG) identifies illegal practices such as agreements to set minimum commission levels, avoiding work with discount brokers, refusing to deal with brokers offering rebates, and boycotting FSBOs or discount-listed properties.
An especially critical violation is agents boycotting discount brokers, which damages over 75% of NYC deals involving two 
agents. A listing agent and a buyer’s agent rely heavily on cooperation.
Other anti-competitive actions include withholding full disclosure of information necessary for a fair transaction. Buyers should use tools like our NYC Buyer Closing Cost Calculator and consider requesting a NestApple Buyer Closing Credit to lower costs.
The NYAG emphasizes the importance of transparency, including disclosure of fiduciary duties, clarity on who pays the agent, and how much commission is earned.
Buyers can ask about commissions, and rebating is legal in New York. Any suspected anti-competitive conduct can be reported to the Office of the NY Attorney General.
