I applaud Rich Rector for getting past the political motivated screening that the Reality Times and NAR have over the material that is posted to this site. NAR has been putting the political agenda of it's staffers and lobbyists over the business interests of Realtor membership for years. In the interest of time I won?t provide the extensive background that Richard did in his writing. I will give you real examples of my allegations of NAR incompetence, which continues today. NAR is currently involved in the largest battle of it?s life {or so it wants membership to think}. The issue is that the National Association of Realtors has been adamantly opposing the Federal Reserve and Treasury proposal, which if passed will officially classify real estate brokerage as a financial service. This classification will allow banks to compete with Realtors all over the country in the business of real estate brokerage. NAR wants us all to believe that they are doing their best to stop this from happening. Why? Because they are concealing the fact that NAR recklessly screwed up and failed to support the banks in their battle against Fannie Mae and Freddie Mac when the banks asked NAR for support. Why does NAR need to support the banks and lobby against Fannie and Fannie? If any of you have been reading the press lately you will know that due to regulatory neglect and incompetence these Government Sponsored Enterprises {GSEs} are massively expanding into many primary market businesses that the banks have been adequately servicing for many years. The banks are getting their business butts kicked big time by the GSE?s. How is this happening? Fannie and Freddie receive between 10 and 12 Billion of implied subsidies that congress hands them every year. The banks have no choice; NAR will not support them in their political battle that is being waged at the Congressional level right now. So, as we know in Washington in you are not my ally you are my enemy. So what did the banks say to each other about NAR refusal to help? If NAR will not help us in this battle fine. It will be just as easy for us {the bankers) to go after the Realtor business. This will make up to the business that Fannie and Freddie are taking from our mouth. Now, not only will private real estate Brokerages have to compete with GSEs in the real estate brokerage business, but they will be competing with huge bank branch networks which will be running zip reality operations at the teller window. We owe it all to NAR and their great policy decisions in Washington, we all should be proud. I personally have asked Richard Mendenhall twice, would he please write a letter to HUD {the regulator} who can stop Freddie Mac from running a consumer direct no commission real estate brokerage business in California. This real estate brokerage business is called the Homesteps Buyers Center which is the first federally subsidized consumer direct real estate brokerage operation in the country. Mendenhall will not respond to my requests. Why is that? The political machine at NAR is good old buddies with Fannie Mae and Freddie Mac. NAR must support their political allies even when these government-sponsored enterprises have a history of treating many Realtor members like they are sub-human. I do support NAR efforts to keep the banks out of our business. Currently there are 5 banks that are already in the real estate brokerage business. Why should NAR spends millions on keeping banks (who are already in the business) out, as apposed to working on keeping two massively subsidized GSEs from expanding further, is beyond me. My point here is simple all NAR members need to be aware of what is happing in other parts of the country. We need to prioritize and work on issues that will have the greatest positive impact on the consumer, membership and private enterprise. Should we really care what kind of data aggregation deal Homestore.com is cutting or what Realtor.com is charging for web sites, when in a matter of a few years private real estate brokerage as we know it today could be completed wiped of the face of the planet by politically run government subsidized agencies or financial institutions like huge bank branch networks? NAR if you keep trying to play both sides of the street our membership will get run over. Sincerely, Bruce Koklich Golden R Realtor brucereo@4link.net

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