It's come to NAR president Sharon Millett's attention that not all REALTORS®
are happy about paying their membership dues. Some folks don't seem to
understand where their money is going and for what it is being used. Some think
the dues should be cheaper. Some think there shouldn't be any dues at all.
Millett is out to set them straight.
In her column in the next issue of REALTOR magazine, Millett plans to
outline why she believes $65 in dues is a bargain. She hopes to silence the
nay-sayers once and for all.
For those who haven't visited the NAR's extensive Web site in a while,
member benefits are published at One
REALTOR Place (tm) as follows, but what you are about to read still doesn't
tell the whole story, according to Millett. NAR's benefits also extend to every
homeowner, present and future, in America.
The NAR's Legislative and Legal Initiatives
Legislative and Regulatory Lobbying Campaigns -- Your voice is heard at
all levels of government: local, state and national. NAR protects the real estate
industry from cumbersome legislation and undue regulation, and advocates legislative and
regulatory changes that enhance your ability to conduct business. At the
national level, the Government Affairs Group analyzes federal issues and promotes NAR's policy
objectives through Congress and the regulatory agencies. The Group develops
issue advocacy campaigns on all legislative and regulatory matters in the following
areas: housing, environment, business issues, residential and commercial finance and
taxation. A case in point: Through a vigorous lobbying and consumer education
campaign in 1996, NAR helped ensure that the mortgage interest deduction will
remain in the U.S. tax code. Additionally, NAR's efforts are augmented by similar
initiatives carried out by state and local REALTOR® associations.
REALTORS® Political Action Committee -- The REALTORS®' Political
Action Committee encourages individual participation in the political process
to ensure the REALTORS® ' viewpoint on industry issues is heard at all levels of
government. Support is supplied to federal candidates at the local, state and national
levels through various NAR and REALTORS®' Political Action Committee programs that encourage
volunteerism in campaigns, educate voters on issues important to home ownership
and real estate, support candidates for elected office and write, call and visit
elected officials.
Legal Updates -- You reap the benefits of NAR's legal advocacy efforts.
Through the Legal Action Committee, NAR provides financial support to legal cases that
will establish a favorable precedent for real estate brokerage, or which preserve
the rights to own, use and transfer real property. Additionally, NAR participates in real
estate-related lawsuits by filing amicus curiae briefs in precedent-setting
cases.
Information Services & Business Products
One Realtor PlaceTM -- Access the single largest source of online real
estate information available. One Realtor PlaceTM has everything you need to excel,
including up-to-date analyses of real estate-related legislative events,
comprehensive legal information and key marketing tips. One Realtor PlaceTM is opening
communication lines between members, state and local associations and the
national association by providing instant access to key information whenever the
information is needed. One Realtor PlaceTM also offers you the opportunity to meet, greet and
exchange ideas with your colleagues through its electronic mail service. All this -- all at
your fingertips!
REALTOR® Magazine and REALTOR® Magazine Online -- NAR's official
magazine provides you with the latest news affecting the real estate industry,
insightful articles on how to succeed in today's rapidly changing business climate,
educational material, REALTOR® profiles and more!
REALTOR® Rewards -- Take advantage of the vast group-buying strength of
the association to receive discounts and added values on business products and services.
REALTOR® Rewards partners include Cadillac, AT&T, the Xerox Corporation and
Airborne Express.
Real Estate Library -- NAR boasts the world's largest library, the
REALTORS® Information Center. A variety of information is available for loan to members
for a nominal fee.
Business Management Products and Services -- A wide selection of
products and services are available to help you increase your sales productivity, manage your
business and enhance your image as a real estate professional. NAR's Customer
Service Center can provide you with NAR product and service information during
normal business hours at 800/874-6500. Or, click here to view the REALTOR®
family's products and services on the 9th floor.
Research Products and Services -- Publications and services from NAR's
Research Group, provide information ranging from market trends and insights to
targeting prospective home buyers and sellers. In addition to the award-winning
"Real Estate Outlook," other outstanding products include "Profile of Real Estate
Firms," "Recruiting and Retaining the Best" and the "National Real Estate Review: Market
Conditions Report." Increase your market knowledge and enhance your marketing
skills with NAR's research tools!
REALTOR® Guard -- The NATIONAL ASSOCIATION OF REALTORS®
endorses an errors and omissions insurance program for its members,
administered by Kirke-Van Orsdel and underwritten by Employers Reinsurance Company and
Westport Insurance Company.
Professional Standards and Development
Professional Code of Ethics -- NAR's Code of Ethics distinguishes you
from non-members. Your dedication to the nationally recognized Code of Ethics
continues to assure the public of REALTOR® professionalism, integrity and competence.
NAR Sections and Professional Institutes, Societies and Councils -- Join
and participate in a unique community of specialists. Whatever your specialty,
there is a section, professional affiliate or program at NAR to aid you in perfecting your
skills. Consider the opportunities offered by the following: Counselors of Real Estate;
Commercial Investment Real Estate Institute; Institute of Real Estate Management;
REALTORS® Land Institute; REALTORS National Marketing Institute®; Real
Estate Brokerage Managers Council; Residential Sales Council; Real Estate Buyers
Agent Council; Society of Industrial and Office REALTORS®; Women's Council of
REALTORS®; Appraisal Section; International Section and Property Management
Section. Education and certification in these specializations enable members to
receive professional designations, marking them as highly-qualified specialists to
business associates and the public.
National Business Meetings and Trade Shows -- NAR hosts several business
meetings around the country each year, giving you an opportunity to serve on committees, learn and network. The largest is NAR's Annual Convention, which provides excellent networking opportunities that can result in lasting, lucrative business contacts. This spectacular event draws nearly 18,000 REALTORS® and guests each year! It features a wide variety of education sessions for the experienced practitioner,
informative legislative and economic updates, forums on timely industry topics and an
expansive 1,000-booth Trade Exposition showcasing state-of-the-art products and
services.
But apparently those benefits aren't enough for some people.
"When you are involved with a Realtor organization, it is ludicrous to say
that we get little or no value for $65. Any one of those member benefits is
worth well over $65. Let's start with just the REALTOR Magazine
subscription. I pay $150 for another quarterly publication per year, and I have
another other industry subscriptions. For my NAR dues, I get news items, train
ing articles, legal updates, tips on how to run my business and be more
successful - everything I need to be a better professional and at half the
cost," says Millett.
"On the legislative side, unless we had a strong legislative arm, our
industry would be severely impacted and it would be much harder for any Realtor
to show a reaonable profit," charges Millett. "The change in the FHA loan cap
last year, raising the capital gains on home sales, retaining the mortgage
interest deduction - these are all issues that would have turned out very
differently without active lobbying from NAR.
"No one else cared about the FHA loan cap but us," Millett says. " We are
the ones that got that passed. It allowed a significant number of new
homebuyers into the FHA program and that impacts sales. We have buyers that
have to finance with FHA and that impacts our industry. And there was a lot of
strong opposition. That is an example of what happens all the time."
"There is no other national lobbying effort to promote private property
rights," emphasizes Millett. "There are people looking out for commercial real
estate and landlords, but when you talk about the mass of millions who own real
property there is no one else lobbying for them but NAR."
"That is important. No one else cared that homeowners were able to keep the
mortgage interest deduction. In 1995, it was on the legislative table, and we
beat it back. It will continue to be our main legislative focus because
regardless of what tax reform is being debated, the mortgage interest deduction
is always thrown back in, so we have to be ever vigilant."
"In case it isn't obvious, all of these issues affect the real estate
professional's ability to do business. That is why NAR is not a one-issue
group, and we are not a self-serving membership. We will always continue to
look out for property owners."
"We have one of the highest home ownership rates in the world, it is part of
the democratic system. Homeowners are more involved in the community, they care
more. It is the American dream."
Then why are some members so critical of where their dues monies go?
"We do hear it, but primarily from people who aren't involved," says Millett.
"If they were more involved, they would know. We are one of the most
participatory trade organizations there is," Millett responds. "When I talk to
other people in other orgs, they are surprised by how much involvement in
policy making decisions our grass roots members have."
We have three tiers - national, state and local. There are fifty state
associations and 1400 local boards. Our board of directors is 700 people, made
up of representatives from every board and then we have a delegate body from
every board such as the board's president. They approve every policy decision
and once a year, we bring all 1,400 boards to approve changes to our
constitution.We have over 80 committees that meet three times a year. All of
that is impressive. I would put us against any other organization," Millett
concludes.
Funding the world's largest trade organization is expensive, but the
legislative, promotional, and educational (consumer and industry) weight it
brings to bear is well worth it.
The 1998 gross revenue for the National Association of REALTORS® in 1998 was
$66,407,000. The organization's gross expenses were $65,579,000, leaving a
surplus of $828,000. Here is how the money was spent:
*NAR GROSS REVENUES - 1998
Courses & Other
386,000
Political Action Fund
419,000
Office Rent
1,100,000
Royalties
1,567,000
Publications & Service Material
1,286,000
Interest
2,135,000
Conventions
4,528,000
Advertising
5,903,000
Dues
49,083,000
Gross Revenues
$66,407,000
*NAR EXPENSES - 1998
Office Supplies & Maintenance
2,485,000
Consulting, Legal & Other
3,040,000
Professional Insurance & Taxes
2,359,000
Office Rent, Computer Equipment & Utilities
4,914,000
Contribution to Reserves
4,500,000
Depreciation
5,762,000
Travel, Business Meetings & Governance
6,829,000
Printing & Postage
6,900,000
Personnel, Salaries & Benefits
24,790,000
Public Awareness Campaign
4,000,000
Expenses
$65,579,000
*Source: REALTOR® Magazine
What happens to the $828,000 surplus? It will go into this year's budget,
which will begin all over again at ground zero.
Published: January 25, 1999
Use of this article without permission is a violation of federal copyright laws.
Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68.
In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.
Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans.
Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR
"The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors
Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68.
