T
he Pro‑Agent Restore Trust in NAR Working Group, a coalition of 15 leading brokerage executives representing roughly 100,000 agents, has been negotiating with the National Association of Realtors (NAR) for the past six months. Their goal is to push the association to address six critical issues that affect real‑estate professionals and the industry as a whole.

    **Key Concerns Presented to NAR**

    1. **Clear Cooperation Policy (CCP)**

     The group argues that the CCP, along with the new “Multiple Listing Options for Sellers” policy that introduces a delayed marketing option, exposes NAR, brokerages, and agents to potential litigation. They request a joint session involving NAR’s legal team, an external antitrust lawyer, and a cross‑section of industry stakeholders—including brokerage leaders, agents, and portal executives—to develop a transparent, consumer‑friendly solution.

    2. **Three‑Way Membership Agreement**

     NAR’s requirement that agents belong to local, state, and national Realtor associations has already led to lawsuits and criticism from some associations. The working group believes such tying agreements are inappropriate, especially when the parties hold monopolistic control over market access, and again calls for a collaborative working session to find a remedy.

    3. **Financial Transparency and Restructuring**

     The group demands greater disclosure of NAR’s finances to rebuild trust. They asked when the 2024 Form 990 would be public and requested interim financial data, a clear restructuring plan, and a return of membership numbers that were removed from the NAR website in early 2024. NAR has promised that its annual report will provide additional context but will not match the detail of a publicly traded company’s filings.

    4. **Independent Governance**

     With a paid leadership team of eight, a volunteer board of about 1,000 members, and 95 committees, SCVs, and councils, the working group says NAR lacks a truly independent board. They argue that independent governance is essential to prevent organizational drift and fiduciary misalignment, and they ask NAR to outline its oversight structure and steps toward greater independence.

    5. **Balance Sheet Management**

     NAR’s 2022 net assets were $747 million, falling to $363 million by the end of 2023 after a loss in the Sitzer/Burnett trial. The group believes the balance sheet remains excessive relative to NAR’s working‑capital needs and the nonprofit sector. They propose three ways to reduce it: lower agent fees for several years, reimburse brokerages for legal and settlement costs not covered by NAR’s settlement, and offer a dividend to agents whose dues exceed NAR’s working‑capital needs.

    6. **Relationship with Second Century Ventures (SCV)**

     During a meeting with NAR leaders, a SCV representative claimed that NAR has no economic ties to the venture arm. The working group requests confirmation of this claim and disclosure of any financial connections. They also note that NAR does not appear to benefit from its promotion of SCV’s portfolio companies and recommend formalizing the relationship to clarify what NAR and its agents gain.

    **Context and Motivation**

    The NAR has faced significant scrutiny over the past few years, dealing with harassment allegations, lawsuits, and divisive policies. Member surveys and the emergence of an alternative trade group reflect widespread dissatisfaction. The Pro‑Agent Restore Trust was formed in response to this climate, aiming to compel NAR to act in the best interests of its members and the industry.

    **Next Steps**

    The working group’s letter to NAR emphasizes a willingness to contribute positively to the association’s efforts to restore trust. They urge NAR to remake itself and recommit to its member agents. While NAR has not yet responded to all specific requests, it has indicated that its upcoming annual report will provide more detail on operations and priorities for 2025, though it will not match the depth of a publicly traded company’s disclosures.

    This second part of a two‑part exclusive series follows the initial overview of the group’s formation and objectives. The first part can be found elsewhere.