National Association of Realtors (NAR)

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National Association of Realtors (NAR)

What the NAR is

The National Association of Realtors (NAR) is the largest U.S. trade association for real estate professionals. Its members—known as Realtors—include brokers, salespeople, property managers, appraisers and counselors. The association promotes professional standards through a Code of Ethics, provides industry services and tools, and advocates for policies that affect home ownership and private property rights.

History and mission

Founded in 1908 to standardize real estate practices, the NAR adopted a Code of Ethics in 1913 and became the National Association of Realtors in 1972. Its stated mission is to help members succeed by shaping the real estate industry, defending the right to own and transfer property, and developing efficient, ethical business standards.

Size and structure

  • Roughly 1.4 million members.
  • Organized into about 1,200 local associations/boards and 54 state and territorial associations (including D.C., Guam, Puerto Rico, and the U.S. Virgin Islands).
  • Maintains cooperating associations internationally.

Who can join

  • A principal (firm owner, partner, corporate officer or branch manager acting for a principal) must join a local Realtor association before non-principals affiliated with that firm can become Realtor members.
  • Membership in a local association automatically confers state and national membership.
  • Dues are billed through local associations and are typically pro-rated for new members. Portions of dues attributable to lobbying are nondeductible for tax purposes and disclosed annually.

Important: Use of the “Realtor” trademark is regulated by the NAR and subject to strict rules.

Member benefits and services

Members gain access to:
– Multiple listing services (MLS) and property listing networks.
– Realtors Property Resource (RPR): a national property database built from public records (zoning, permits, mortgage and lien data, schools, foreclosures).
– Market data, research reports and member-only analytics.
– Educational programs, including required ethics training.
– Discount programs and business tools aimed at improving productivity and profitability.

NAR Research Division and data products

The NAR’s research division collects and publishes housing and economic data through press releases, reports and blogs. Key outputs include:
– Existing Home Sales: monthly national and regional price/volume statistics (single-family homes, condos, co-ops).
– Pending Home Sales Index: a leading indicator based on signed contracts for existing homes.
– Housing Affordability Index: measures whether a typical family earns enough to qualify for a mortgage on an average home, based on current prices and incomes.
– Additional reports: local market analyses, a monthly foot-traffic report (to predict sales trends), and a confidence index.

Legal and industry changes

The NAR settled a nationwide class-action lawsuit alleging inflated realtor commissions. As part of the settlement, the association agreed to stop allowing broker compensation offers on its listing platforms. That change is expected to reduce reliance on traditional uniform commissions and give buyers and sellers greater ability to negotiate agent compensation.

Strategic planning

The NAR updates its strategic plan regularly to address industry challenges and set priorities for the next three to five years, focusing on member services, advocacy, standards and innovation.

Common questions

Bottom line

The NAR is the primary U.S. trade association for real estate professionals, offering ethics standards, data and tools, education, and advocacy. Its services are especially useful to practicing agents and brokers, though membership is voluntary and should be evaluated against each professional’s business goals.