After plaintiffs' attorneys argued for months in the Commission lawsuit that: National Association of Realtors The industry group that sets real estate agent fees has finally decided to, in its words, “set the record straight.”
In a video posted Wednesday, NAR Interim CEO Nikia Wright told viewers, “The idea that the National Association of Realtors controls the compensation of real estate professionals is completely unacceptable. It is a mistake,” he said.
“NAR does not set fees. It never has and never will. Period. End of story,” she continued.
Wright said the industry has been “maligned by certain plaintiffs' lawyers, sensationalized by a small number of reporters, and misrepresented by people who know little about this industry.”
The influential industry group lost a $5.3 billion class action lawsuit in Missouri known as Sitzer/Barnett in October. The jury found that NAR and various real estate brokerages conspired to stabilize or increase commissions and used NAR's cooperation indemnity provisions as a means to do so.
NAR is also a defendant in nearly 20 additional Commission lawsuits across the country.
In a video posted Wednesday, Wright addressed the argument that the internet age and the tools available to home buyers could have reduced the cost of using a buying agent. Michael Ketchmark, the lawyer who won the Sitzer/Barnett case, argues that the advent of the Internet has reduced the workload of buyer agents.
“The Internet can be a tool, but it cannot replace the important service provided by real estate agents. Real estate transactions are not as simple as click-and-buy, like buying a flight ticket online,” Wright said. Told. “Most Americans choose to use a real estate professional when buying or selling a home, not because they need it, but because a real estate professional can help them navigate the challenges that are part of the home buying and selling process. Because they provide it.”
The video points out that the trade association does a number of other things to support real estate agents, including advocacy and lobbying, as well as training, education and professional It also includes opportunities to obtain qualifications.
“NAR has advanced the industry for more than 100 years by focusing on ethics, professionalism, advocacy, and consumer focus. satisfaction and a stronger community,” the industry group said in a statement accompanying the video.
In addition to the value of commissions and agents, Wright also mentioned what she called “new associations.”
Last Tuesday, agency Founder Mauricio Umansky, NAR Critic, compass needle Agent Jason Haber announced the creation of the American Association of Realtors, an alternative real estate agent trade association.
“We welcome competition from companies that can match our impact and deliver the value that we bring,” Wright said in the video.
“We take pride in our work and will continue to help sellers sell at competitive prices and buyers get the keys to their dream home.” she concluded.
NAR recently named Massachusetts broker Kevin Sears as its newest chairman, following the departure of Tracy Kasper, who resigned amid racketeering charges. Kasper took over in August after his predecessor, Kenny Purcell, resigned amid a sexual harassment scandal. Since the $5.3 billion Sitzer/Barnett ruling in Missouri, several longtime NAR staffers have also left, including CEO Bob Goldberg and Human Resources Director Donna Grand.
