T
he real estate industry is on the cusp of significant change, with Inman Connect New York poised to prepare attendees for bold steps forward. The Next Chapter is about to begin, and thousands of real estate leaders will gather January 22-24, 2025, to shape the future.

    However, a new controversy has emerged in the industry: NAR's Clear Cooperation Policy. This rule, implemented in 2019, requires agents to list properties on their NAR-affiliated multiple listing service within one day of marketing them. The policy also includes an exception for "office exclusives," allowing brokerages to privately promote listings internally.

    The debate surrounding Clear Cooperation is complex and contentious. Proponents argue that it supports fair housing, benefits sellers by connecting them to a larger pool of buyers, and provides clearer market data. Opponents claim that it limits seller and agent freedom to market properties as they see fit, violates property owners' right to privacy, and is the subject of a Department of Justice investigation.

    Howard Hanna CEO Hoby Hanna believes that Clear Cooperation caught fire due to the recent commission suits and NAR's settlement. He argues that plaintiffs in these suits have cited Clear Cooperation as an example of industry collusion, leading to pressure from larger brokerages to change or eliminate the rule.

    Chris Heller, president of OJO and a supporter of Clear Cooperation, sees the current pushback as opportunistic on the part of bigger brokerages. However, Collabra Technology CEO Russ Cofano suggests that deeper structural issues may be at play, including rising profit margins for high-producing agents and teams, which are tilting commission splits in their favor.

    The battle over Clear Cooperation is far from abating, with NAR continuing to weigh the issue. Inman reached out to dozens of brokerages, prominent individuals, and multiple listing services to gauge their stance on the policy. The responses reveal a complex landscape, with some organizations firmly supporting or opposing Clear Cooperation, while others occupy a middle ground.

    Critics of Clear Cooperation include Compass, which has been vocal about changing the rule, arguing that it leads to ethics code violations and opens the door for future lawsuits. Howard Hanna also opposes the policy, believing it stifles competition and innovation. The Agency's CEO Mauricio Umansky has threatened to revive a lawsuit against NAR over the issue.

    Somewhere in between are organizations like Anywhere, which has pressured NAR to make changes but hasn't publicly spoken out about Clear Cooperation. @properties Christie's International Real Estate supports the concept of Clear Cooperation but believes there should be more leeway for situations where clients' needs diverge from the policy.

    Supporters of Clear Cooperation include Ben Caballero, who sees it as a way to prevent questionable behaviors by listing agents. Red Oak Realty and eXp Realty also support the policy, arguing that it maximizes exposure for sellers' listings and creates an open, fair market. Realtor.com values transparency in the market and believes that listing visibility creates fair and equitable housing opportunities.

    As the debate continues, industry leaders are weighing in with their opinions. NextHome CEO James Dwiggins argues that ending Clear Cooperation would ultimately take the industry backwards, while Anthony Lamacchia believes it would make the U.S. more like Europe. Abio Properties' Cameron Platt sees an open, honest, and transparent method of advertising property listings as the best way to command a market price.

    The future of Clear Cooperation remains uncertain, with NAR continuing to weigh the issue. As the industry navigates this complex landscape, one thing is clear: the battle over Clear Cooperation is far from over.