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13.1: Part I- Professional Real Estate Associations

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    36422
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    Networking isn't just about making connections; it's the lifeline to unlocking better job opportunities in today's competitive landscape. ― Dax Bamania

    We belong to too many clubs already. Why should we bother with more? Let’s ask Maria.

    Meet Maria Lopez, an experienced real estate agent with a passion for helping her clients achieve their real estate goals. Recently, Maria found herself in a challenging situation while representing a buyer in a commercial property transaction. Just days before closing, the seller informed Maria that there was an unexpected zoning issue with the property that could delay the sale indefinitely.

    Faced with the prospect of losing the deal and disappointing her client, Maria turned to the legal resources provided by the National Association of Realtors (NAR) for assistance. She reached out to the legal hotline and was connected with a knowledgeable real estate attorney who specialized in zoning issues. With the attorney's guidance, Maria reviewed the contract and explored possible solutions to resolve the zoning issue.

    Armed with a better understanding of her options, Maria entered into negotiations with the seller's agent. Using the information and advice provided by NAR, she was able to negotiate a revised contract that addressed the zoning issue and ensured a smooth closing process. Thanks to NAR's legal benefits, Maria successfully resolved the situation, allowing her client to move forward with the purchase of the commercial property and gaining another satisfied client for her growing real estate business.

    Professional Associations and their Benefits

    A professional association is an organization formed by individuals working in a specific profession or industry, such as real estate, that supports and advances the interests of its members. It provides networking opportunities, resources, advocacy, and professional development initiatives tailored to the needs of professionals within the field. Three well-known professional associations are the American Medical Association (AMA) , which represents physicians and medical students in the United States; the American Bar Association (ABA), the largest association of lawyers and law students in the United States; and the Project Management Institute (PMI), a global organization for project management professionals.

    Professional associations provide various important benefits for their members, such as networking, professional development, policy advocacy, information resources, recognition, credibility, and opportunities for career advancement.

    Overall, professional associations play a vital role in supporting the growth, development, and success of their members within their respective professions, offering a range of benefits and opportunities for members to thrive in their careers.

    Professional Real Estate Associations and Organizations

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    Real estate associations and organizations are nonprofit entities that promote ethics, high standards, and professionalism in the real estate industry. They further the interests of their members by providing extensive member benefits.

    In California, new licensees join the local association, such as the Victor Valley Association of REALTORS® (VVAR); the state association, the California Association of REALTORS® (CAR); and the national association, the National Association of REALTORS® (NAR). Agents are not required to join any of these, but useful benefits are tied to membership, such as access to the multiple listing service (MLS), which is the database that contains the information on properties for sale. Membership also provides use of SUPRA keys, the most common way to gain access to properties listed for sale. Without these tools, life in real estate sales will be difficult.

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    In addition to local associations of REALTORS®, other professional associations have local offices or chapters in California that support real estate professionals. Some, for example, support community home ownership activism. Some bring together and support members with similar backgrounds or interests, such women, hispanic, or veteran professionals.

    Listed below are some professional real estate associations and their acronyms. More detailed descriptions are provided later in this module.

    • WCR = Women’s Council of REALTORS®
    • NAREB = National Association of Real Estate Brokers
    • NAHREP = National Association of Hispanic Real Estate Professionals
    • CABREP = California Association of Black Real Estate Professionals
    • AREAA = Asian Real Estate Association of America
    • VAREP = Veterans Association of Real Estate Professionals
    • Alliance = LGBTQ+ Real Estate Alliance
    • NAHB = National Association of Home Builders
    • ULI = Urban Land Institute
    • AIA = American Institute of Architects

    National Association of REALTORS® (NAR)

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    The National Association of REALTORS® (NAR), https://www.nar.realtor/, represents over 1.5 million members. These members include residential and commercial real estate brokers, salespeople, property managers, lenders and others engaged in the real estate industry. For California licensees (broker or salesperson) to identify themselves as a REALTOR®, they must be a member of the National Association of REALTORS®. One aspect of membership that distinguishes NAR is that all members must subscribe to NAR’s strict Code of Ethics . The REALTOR® Code of Ethics protects the public by ensuring that clients’ best interests are prioritized over self-interests of agents or brokers.

    NAR’s extensive membership benefits include the following and more:

    • Networking. NAR membership provides opportunities for members to connect with peers, mentors, and leaders in their field. Networking events, conferences, and online platforms allow members to establish valuable relationships, share knowledge, and access career opportunities.

    • Professional Development. NAR membership provides educational programs, workshops, webinars, and seminars to help members enhance their skills, stay updated on industry trends, and meet continuing education requirements.

    • Certifications and Designations. NAR offers various certifications and designations to real estate professionals seeking to enhance their expertise and credibility in specific areas of the industry. Specialized training and education allows agents to demonstrate advanced knowledge and skills to their clients and peers. For example, the Certified Residential Specialist (CRS) designation signifies mastery in residential real estate sales and marketing, while the Accredited Buyer's Representative (ABR) designation indicates proficiency in representing buyers. Other notable certifications and designations include the Seller Representative Specialist (SRS), Certified Real Estate Brokerage Manager (CRB), and Graduate Realtor Institute (GRI). By earning these certifications and designations,NAR members can differentiate themselves in a competitive market and provide exceptional service to their clients.

    • Advocacy and Representation. NAR advocates for the interests of its members by representing them through lobbyist activities in discussions with policymakers, regulatory agencies, and other stakeholders. Its work helps shape policies, regulations, and standards that affect the profession. The NAR building is located steps away from the Capitol building in Washington D.C., giving easy access for its advocates of federal policy initiatives that strengthen the ability of Americans to own, buy, and sell real estate. NAR monitors numerous issues at the federal level, including business, commercial real estate, federal tax, fair housing, insurance, lending, and appraisal legislation issues. For further information regarding the current issues, visit All Federal Issues.

    • Legal Hotline. A key resource provided by NAR is the Legal Hotline, which allows members to consult with real estate attorneys for guidance and assistance on legal issues related to their real estate transactions and practices. Members can access the Legal Hotline to ask questions, seek clarification on contracts, review legal documents, and obtain advice on various legal matters pertaining to real estate.

    • Information and Resources. Access to valuable resources, research, publications, and industry insights is provided on the NAR website at www.nar.realtor . Information on best practices, emerging trends, and professional opportunities helps members stay informed and competitive in their careers.

    • Recognition and Credibility. Membership in NAR enhances an individual's credibility and reputation in the field. Being a NAR member signifies a commitment to professionalism, ethical standards, and ongoing professional development, which can be attractive to potential clients as well as colleagues.

    Membership dues for NAR (2024) are currently $201 per year. Dues are paid annually in December, usually through the local association. The NAR website allows members to create a login for a personal account. Members can create a realtor.com profile and access other benefits to stay informed in the real estate industry. In addition to benefits, the account tracks required ethics training and other certification courses.

    Members can elect to pay an additional $45 per year toward the Consumer Advertising Campaign. Currently, the national advertising campaign is entitled “That’s who we R.” The ads include television, radio, streaming, digital audio, and social media, informing the public of how REALTORS® bring value, partnership, and professionalism to the home ownership journey. Members can take advantage of this messaging by using it in their own social media and advertising.

    California Association of REALTORS® (CAR)

    The California Association of REALTORS® (CAR), https://www.car.org/, is the statewide association dedicated to the advancement of professionalism in real estate. Membership numbers over 200,000. CAR's stated mission is to shape, promote, and protect the real estate environment. CAR accomplishes this by executing its strategic plan, which currently includes four pillars of priorities: Influence, Member Business Value, REALTOR® Positioning, and Organizational Development. Like NAR at a national level, CAR is active in political advocacy, lobbying the state legislature to influence lawmakers, foster a culture of inclusivity and transparency, and provide members with tools for success.

    One valuable benefit for CAR members is access to a legal hotline. The CAR legal hotline is a free phone service that gives members the opportunity to speak with a CAR attorney regarding legal issues in their business. Calls are confidential and generally last 5 to 10 minutes. 3

    Once logged into the CAR website, REALTORS® can access their private transaction centers. All legal forms necessary to conduct real estate business in California are contained within the zipForm online program, which can be accessed on the CAR website or on a desktop version available for download. Although CAR approved legal documents are not mandatory for conducting real estate business in California, the fillable forms provided are necessary for an efficient and successful business that complies with state law.

    From the CAR website, members can locate information on available benefits, including health insurance plans and Errors and Omissions (E & O) insurance. CAR group insurance plans are advertised to offer better coverage, larger networks, and lower prices on many plans.

    Membership dues for CAR are currently (2024) $231 per year. The dues are paid annually along with the NAR dues through the local association. For further information on CAR benefits, visit https://www.car.org .

    Women’s Council of REALTORS® (WCR)

    The Women’s Council of REALTORS® (WCR), https://www.wcr.org, was founded in 1938, in part because women were barred from some local real estate association memberships. Today, 62% of NAR members are female and approximately 10% of WCR members are male. WCR’s mission is to help members achieve positions of leadership in the real estate industry through professional development, networking, and training. WCR currently has 13,000 members with 250 local and state networks throughout 40 states.

    WCR prides itself on development of leaders in the real estate industry. The organization provides networking opportunities through its “Performance Network Management” program that provides training and education. WCR also promotes their “Members Do Referrals” program, through which 54% of members refer business to other members and create an average annual commission of $14,000. Both the referring and receiving members benefit from the reputation that WCR members are high-level business leaders who follow through on client needs. The average 2021 income from real estate sales for WCR members was $153,000, while the median income was $106,000.

    National Association of Real Estate Brokers (NAREB)

    The National Association of Real Estate Brokers (NAREB) www.nareb.com , which now has a membership of over 18,000, was established in 1947 by black real estate brokers who could not join the REALTOR® Association due to racial discrimination. Members of NAREB are referred to as “Realtists.” Today, NAR no longer discriminates, and black real estate agents are included as its members. Meanwhile, the NAREB organization has pivoted their mission statement to help foster inter-generational wealth by building home ownership in low-income communities. They produce an annual “State of Housing in Black America (SHIBA)” report and welcome real estate professionals from all races and backgrounds.

    NAREB has created the Two Million New Black Homeowners Plan (2Mn5). This program is designed to increase homeownership by two million in black communities within the next five years primarily. They plan to accomplish this by increasing advocacy for black homeownership throughout all levels of government, advertising and marketing campaigns, and action-based community outreach. The program is designed to complement the five strategic priorities of the organization, also called the Five Pillars of NAREB. They are:

    1. Faith-Based and Civic Engagement
    2. Women Investing in Real Estate (W.I.R.E.)
    3. Diversity and Inclusion/Small Business
    4. Multi-Generational Wealth Building
    5. Government Relations and Advocacy

    NAREB has found that 75 percent of Black Americans are affiliated with a religious organization, and by partnering with religious organizations, NAREB communicates with large groups of people nationwide. NAREB has identified black women as having high potential for increasing real estate ownership and emphasizes providing them with additional access to information and resources.

    Through NAREB’s Diversity and Inclusion Initiative, NAREB educates and informs minority owned businesses about how to create income generation potential. NAREB has also developed youth programs to educate younger audiences about home ownership and building multi-generational wealth. NAREB also uses its advocacy voice to express opinions regarding legislation and regulatory change that affects minority communities.

    National Association of Hispanic Real Estate Professionals (NAHREP)

    The National Association of Hispanic Real Estate Professionals (NAHREP) https://nahrep.org, with a membership of over 40,000, was established in 1999 to advance hispanic real estate ownership. The organization accomplishes this by educating and empowering hispanic real estate professionals, advocating for fair housing, and facilitating relationships among industry stakeholders through networking. Although the mission of the association is to advance hispanic ownership, real estate professionals from all races, ethnicities, and social backgrounds are welcome. The association prides itself in the NAHREP 10 Disciplines, which follow. https://nahrep.org/nahrep-10-disciplines .

    1. Have a mature understanding of wealth and prosperity.
    2. Be in the top 10% of your profession.
    3. Live below your means and be ready for the next recession.
    4. Minimize debt.
    5. Invest at least 20% of your income in real estate and stocks.
    6. Know your net worth including the value of your business.
    7. Be politically savvy.
    8. Be physically fit.
    9. Be generous with people who are less fortunate.
    10. Be active in the lives of your family and children.

    NAHREP believes these principles help members lead by example to impact the lives of members and the people they influence. In 2014, NAHREP initiated a Hispanic Wealth Project, https://hispanicwealthproject.org , a non-profit organization with a mission to empower the hispanic community financially and educationally in America.

    California Association of Black Real Estate Professionals (CABREP)

    The California Association of Black Real Estate Professionals (CABREP), https://www.cabrep.org , is a network that supports black REALTORS® as business leaders in the industry and black communities. CABREP advocates for increasing black homeownership by acknowledging, mentoring, supporting, and developing members as industry leaders locally and nationally.

    CABREP believes in closing the gaps in representation, homeownership, wealth creation, and socio-economic opportunities by teaching the next generation of black REALTOR® leaders. CABREP provides support, facilitates training, coaching, mentoring, creates opportunities for personal and professional growth, and nurtures leadership advancement.

    By establishing strategic partnerships within a growing network of peers, CABREP aims to build confidence in black REALTORS® and enhance their abilities in leadership, public policy, outreach, and advocacy.

    Asian Real Estate Association of America (AREAA)

    The Asian Real Estate Association of America (AREAA), https://areaa.org , was founded in 2003 to improve the lives of the Asian American and Pacific Islander (AAPI) community through home ownership. AREAA has 43 chapters across the United States and Canada with over 18,000 members.

    AREAA publishes an annual Three-Point Policy Plan, which it presents at its yearly Summit. For 2024, the three policy points are Alien Land Laws, Finance Solutions, and Appraisal Equity.

    Alien Land Laws govern property ownership for foreign nationals, and AREAA’s goal is to eliminate discrimination against foreign nationals and immigrants.

    AREAA points out the need for finance solutions to address the affordability crisis of home ownership for low– to middle-income earners and supports legislation that would expand financing laws to provide more affordable options for homeowners and buyers.

    According to AREAA, appraisal values for neighborhoods of different ethnic subgroups are not equal. AREAA recommends implementation of rules that would check for bias in Automated Value Models (AVMs), computer software programs used to estimate real estate values. AVMs are used on home search websites such as zillow.com, trulia.com, and homes.com.

    As part of the #NOOTHER campaign, AREAA persuaded the US Census Bureau to track and include Asian housing data as a standalone census category. Previously Asian data was part of the “Other” race category.

    AREAA provides members with discounted pricing to all AREAA events, free webinar training to help build skill sets, and information on news and issues within the AAPI communities.

    Veterans Association of Real Estate Professionals (VAREP)

    The Veterans Association of Real Estate Professionals (VAREP), https://varep.net , is dedicated to improving the lives of veterans through education, housing, economic development, and philanthropy. The association was established in 2011 and received non-profit status the following year. VAREP received the designation of a Veterans Service Organization (VSO) from the federal government in December 2019, https://www.va.gov/ogc/recognizedvsos.asp.

    VAREP’s economic development programs help transition military and veterans through job training and placement assistance. VAREP promotes grass roots advocacy efforts on veteran homelessness, affordable veteran housing, suicide prevention training, and veteran wellness programs. With national headquarters for VAREP Corona, CA, six local chapters serve California veterans.

    VAREP holds two national conferences each year to discuss policies that affect veterans. Its quarterly newsletter, “Roger That,” communicates current events to the general membership of the association. Members are educated on veteran topics through webinars offered four times annually. VAREP members are not required to be veterans.

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    National Association of Home Builders (NAHB)

    According to its website, the National Association of Home Builders (NAHB), https://www.nahb.org, was founded in 1942 to advocate for the nation’s home builders and to support members with services and products that would give them a competitive advantage in their marketplace. NAHB’s more than 140,000 members are responsible for roughly 80% of housing built in the United States. About one third of NAHB members are home builders and remodelers, while other members work in material manufacturers and suppliers, sales, marketing and housing finance.

    NAHB’s International Builders’ Show is a widely known show for the residential and light commercial construction industry. Core values of the NAHB include commitment to the industry, dedication to a place for all to call home, a solid network, partnering with local and state associations, and honest, transparent decision making.

    The five pillars of NAHB membership are advocacy, expertise, knowledge, networking, and savings. Their website describes them as follow:

    • Advocacy: NAHB advocates with all levels of government on issues related to the tax code, federal housing programs, regulatory relief, environmental laws, building codes, OSHA, building materials, housing finance and more. A single win in the policy arena can save builders thousands of dollars on every home they build.
    • Expertise: NAHB staff includes expert economists, tax specialists and financial experts to complete economic analysis and provide insights into the housing market for members.
    • Knowledge: NAHB provides learning opportunities on how to get started in land development, improve skills, and advance careers in the industry.
    • Networking: NAHB establishes access to over 140,000 members in the housing industry. Within NAHB is the 20 Clubs groups, https://www.nahb.org/nahb-community/councils/20-clubs/interested-in-joining-a-20-club, which is a program created for members to gain access to valuable information that would otherwise be withheld from competitors.
    • Savings: NAHB’s member savings program offers a wide variety of exclusive savings opportunities through industry leading companies. This helps save on product and materials costs, vehicle expenses, shipping fees and more.

    Urban Land Institute (ULI)

    Urban Land Institute (ULI), https://uli.org/, claims to be the oldest and largest network of cross-disciplinary real estate and land use experts in the world. Its mission is to shape the future of the built environment for impact in communities worldwide. Founded in 1936, the ULI has over 45,000 members. The three priorities of the ULI mission are described on its website as shown below.

    1. Decarbonization and Net Zero - Developing a path to net zero carbon has become a priority for investors, tenants, cities, and the real estate industry. ULI has developed resources to help members and the broader real estate and land use community better understand the business case for a path to net zero and tools to help them operationalize it.
    2. Increasing Housing Attainability - ULI’s Terwilliger Center for Housing aims to ensure that everyone has a home that meets their needs at a price they can afford. The Center’s activities include technical assistance engagements, forums and convenings, research and publications, and an awards program. The goal is to catalyze the production and preservation of housing options.
    3. Educating the Next Generation of Diverse Leaders - ULI provides courses and certificates to broaden member knowledge of the commercial real estate industry. Popular topics include Design and Construction, ESG and Sustainability, Excel and Financial Modeling, Finance and Investment, and Housing and Residential Development.

    American Institute of Architects (AIA)

    More than 98,000 architects and design professionals are members of the American Institute of Architects (AIA), https://www.aia.org . AIA provides global networking opportunities through 200+ local chapters and hundreds of events. Its Framework for Design Excellence sets out defining principles of design to inform progress toward a zero-carbon, healthy, just, resilient, and equitable built environment. The ten principles can be located at https://www.ai`a.org/design-excellence/aia-framework-design-excellence.

    One benefit to AIA membership is discounted access to AIA MasterSpec ®, powered by Deltek Specpoint®, software that improves quality and accuracy in design. This technology provides a starting point for design, which helps prevent delays in the construction process. AIA provides educational opportunities that are eligible for continuing education credit.

    American Society of Appraisers (ASA)

    The American Society of Appraisers (ASA), www.appraisers.org , was created in 1952 when the American Society of Technical Appraisers (ATSA) and Technical Valuation Society (TVS) consolidated into one association. ASA is a nonprofit organization established to create a professional affiliation of appraisers to elevate the standards of the appraisal profession.

    Today, there are over 5,500 members in ASA. In addition to real property appraisers, members represent appraisal disciplines for personal property, business valuation, machinery and technical specialties, gems and jewelry, and appraisal review and management.

    ASA membership is accredited through an application process. To apply for accreditation, candidates must:

    1. Complete a membership application including three letters of reference.
    2. Become a candidate by passing an ethics exam and Uniform Standards of Professional Appraisal Practice (USPAP) course depending on the discipline.
    3. Apply for Accredited Member (AM) or Accredited Senior Appraiser (ASA) designation including proof of education, an appraisal experience log, an appraisal report for peer review and a current USPAP certificate.

    ASA members have access to education programs including full courses and webinars that inform members about current events. Benefits also include a professional referral system, public relations program, legislative representation, media training, and a free subscription to the ASA monthly e-letter. Discounts for members are available from companies like UPS, Hertz, and Office Depot in addition to various insurances.

    Practice Zone

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    Write a reflection paper discussing the association you found most interesting or relevant to your career goals. Explain why you chose this association and how you plan to take advantage of its benefits in your future real estate endeavors.

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    This page titled 13.1: Part I- Professional Real Estate Associations is shared under a CC BY-NC-ND 4.0 license and was authored, remixed, and/or curated by Regina Pierce-Brown.

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