A pair of high-profile real estate agents have unveiled their effort to directly challenge the National Association of Realtors (NAR) as the trade organization representing their profession.
Jason Haber, a New York City-based agent with Compass, and Mauricio Umansky, the Los Angeles-based founder of the luxury brokerage The Agency and a celebrity on several reality television shows, previewed their new American Real Estate Association (AREA) as a NAR alternative.
In a New York Times interview, Umansky said that AREA will provide its members with a nationwide database of home listings called the National Listing Service – a preliminary version is now online at theNLS.com.
“A centralized database with access to the full scope of listings across the country is better for everyone in the industry, and someone just had to do it,” Umansky said.
AREA will also allow agents to set their own commission rates and will not mandate cooperation between buyer and seller agents.
Details on AREA’s daily operations have not been defined – a headquarters city has not been determined and the funding for the endeavor is currently coming from its founders’ wallets. Haber and Umansky said the new trade group will not have a president and vice president, although it was unclear who would be in charge of operations or if AREA would have regional offices.
Nonetheless, the men believe the time is right for another real estate trade group, particularly in the wake of the multiple scandals and legal challenges that NAR has faced over the past year.
“NAR was too big to fail, until it failed,” Haber said. “People want something different. We’re setting ourselves up for failure if we try to replicate the NAR model.”
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Welcome to the real estate industry, hopefully you will be a breath of freshness for the agents representing both sellers and buyers.
yeah!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! about time and thank you!
Count me in!
NAR is. Mafia, charging high prices.
sign me up! I’m an approved NAR Instructor, so refreshing!
Keep me updated
The ONLY reasons I belong to the NAR or CAR (local) associations is for access to the MLS and for standardized contracts.
I am happy to NOT have to pay $1300 a year for those two privileges.
I thought Amazon would have come into the profession by now, but we’ll see.
It’s about time there was an alternative!
BIG YES!!! More info
I am not sure what this means.?? “set their own commission rates and will not mandate cooperation between buyer and seller agents.”
I agree, don’t know what it actually means, this will all be clearer as the concept progresses” Bottom line gives us a choice ,maybe fees will go down as there is competition…
Agents already set their own commission rates… but they are saying it’s not going to be mandated for listing agents to offer any compensation to buyers agents, or for them to share the listings or anything.
I agree, I have been doing this for 14 years and have never had my commissions mandated by any entity…(EVER)!!! That being said, having access to national listings would certainly come in handy.
Self governess. Maybe we can lead the way for our Nation on a Total rebuild.
I’m interested in hearing more. Principal Broker, Real Estate Sales 34 years
Boy it’s about time! NAR and their local BOR has been a pain! It’s all about money not service! Bring it on! I’m in
It is always about money. Our commissions were never mandated. They were always included in the price of the properties. Let’s see now what bracket of the population can afford homeownership!
“AREA will also allow agents to set their own commission rates and will not mandate cooperation between buyer and seller agents.” We are already having to deal with agent’s brokers who do not split their commissions equally. Can you imagine not mandating cooperation at all? And agents already set their own commission rates acceptible to their broker. So in this scenario “I” get a listing for 2% to beat you out of it, and I won’t split it with the buyer’s agent? This is nuts.
We need a change, it’s long over due. As long as the fees are not outrageous like NAR & NVAR, I’m in.
No longer an NAR fan… (including state and locals) That said setting up a new organization without a biz model, rules, governance etc. Is not easy or cheap… Is this a profit venture for those 2 guys or an attempt to better the industry? If it is to improve the industry I ask HOW?
Then we can decide if it is an upgrade.
Like NAR or not… there is a real network in place. It will not be easy to do a new association that demonstrates real value to agents. I wish them luck because we need it but call me really skeptical at this moment.
A national MLS isnt a great starting point..
Waiting for more detail
I would like to see a national MLS that doesn’t give the listing data to for profit companies, like Zillow and Trulia. It’s time for a trade organization that invests and catches up with technology so we maintain our data and don’t have to pay third party sites.
Yes
In my opinion, NAR and their state and local affiliates are essentially “good ‘ol boys networks”, nothing more, nothing less.
Hello if you guys can offer good rates I would be in I think it is highway robbery what these real estate fees are per year!
A competitor to NAR has been needed for decades. But I’m not sure these two and this idea are going to be a good option.
I like the concept but loading our buyers in the database for sellers to see who has the most buyers in an area, would lead to false information. Agents would feel compelled to load the whole universe!
Finally ! Hopefully they’ll have to file bankruptcy, NAR does not have their members best interests at heart. Please keep me updated as things progress. Thanks
Please set up shop in CA asap. CAR is corrupt and I will not do business with them. What they did with Prop 19 and giving Gavin Newsom $1.5M to fight his recall is unforgiveable on both counts. CAR is too heavily involved in state politics and more people need to see this.
They wrote & pushed Prop 19 to force people, who inherit their parents’ property, to sell by taking away their low base value. Under the old rules, CAR collected $0 commissions on the transfers. Pure, disgusting greed. Shame on them.
I am SO excited! I always felt forced to be a part of NAR because where I do business, if your broker is a member then you MUST be! The fees for my local board are super expensive, we don’t get anything in return, and I was a multi million dollar agent WITHOUT them! If my agents didn’t believe they needed it, I would have left NAR YEARS ago! I’m so ready for something new! I can’t wait to join AREA!