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Real estate glossaryNational exam concept

Price fixing

Price fixing is an agreement among competitors to set, stabilize, raise, lower, or otherwise coordinate prices or price-related terms instead of deciding them independently.

Exam area: Practice of Real Estate

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What does “price fixing” mean in real estate?

Price fixing is an agreement among competitors to set, stabilize, raise, lower, or otherwise coordinate prices or price-related terms instead of deciding them independently.

How is “price fixing” different from the closest wrong answer?

Each brokerage may independently establish its compensation. Competing brokers may not agree on commission rates, minimum fees, discounts, or other pricing terms.

What is the Georgia-specific rule?

Georgia real estate commissions are negotiable. Describing a rate as standard, required by the Commission, or fixed by the local market can create both consumer deception and antitrust risk.

Worked exam example

Scenario

Two competing brokers agree that neither will accept listings below a 6 percent commission.

What is the most common exam trap?

Trap correction

An agreement to keep prices low is still price fixing. The direction of the price movement does not cure coordination.

Original exam check

Apply the definition

Two competing Georgia brokers agree that neither will charge more than 4 percent on listings, hoping to win clients from a larger firm. Which statement is correct?

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Recommended next complete lesson

Continue with Practice of Real Estate complete lesson. It places this term inside the full rule, worked examples, exam traps, and mixed practice required for mastery.