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Goldberg and his plan for the first 100 days

(REAL ESTATE NEWS) The 100 first days of any executive’s job sets the course for the rest of their tenure. NAR’s Goldberg is no different and has laid out 5 initiatives for his first 100 days.

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100 days

First 100

Any executives first 100 days are paramount. It is widely decided that those first 100 days set the trajectory for the executive’s tenure.

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We were able to sit down with Bob Goldberg, NAR’s newly minted CEO to hear his 5 initiative plan for his first one hundred days.

1. Puttin’ the show on the road

Goldberg plans to assign a Senior Vice President and a Vice President to be responsible for, in terms of member engagement and member satisfaction, each of the 13 formal regions in this country.

Goldberg also intends on hitting the road with the goal of putting NAR tangibly in front of as many of the 1.2 million members as possible, with an emphasis on the smaller boards that are more often overlooked.

2. Organization design study

The study will focus on design efficiency to figure out how NAR can best serve their industry. Goldberg mentioned that thus far, NAR had been a very inside-out focused group and so he’s aiming to shift it to an outside-in perspective.

“It will take us a few months to get through it, but it’s a big change because in 15+ years, NAR has not had an internal design study,” Goldberg said of the process.

3. Technology conference

Goldberg wants to leverage NAR’s investments with the 40+ companies that they have a strategic investment in to help showcase solutions that can help them with those people that are Realtor friendly.

Goldberg hopes to create the conference and a tech resource center to “help members get ahead of the curve.”

4. Strategic Business Technology group

Goldberg wants to take what they know is successful from their Reach and Second Century Ventures programs and apply it to a whole new approach — a division called the Strategic Business Technology Area.

That division will be led by new personnel from the organization with the purpose of dealing with these gigantic macro-corporations and companies that will eventually eye the lucrative real estate sector.

5. Build a homeowners coalition

Goldberg also wants to start investigating the power of engaging consumers. The coalition will be a membership organization that will work with consumers on issues that are important to them.

Issues such as property, ownership, taxation, mortgage interest deduction, local issues that deal with eminent domain or fill-in-the-blank-issue so that NAR can go to Congress and formally say that not only is there a million plus members, but that there is a large number of homeowners who are part of the coalition who will vote their beliefs.

Not a free pass

As stated earlier, the first 100 days will set the trajectory for Goldberg and his tenure as CEO of NAR.

These five initiatives are sure to be met with both support and criticism but from where we’re sitting, the only direction Goldberg is going is up.

#Goldbergs100

Kiri Isaac is the Web Producer at The American Genius and studied communications at Texas A&M. She is fluent in sarcasm and movie quotes and her love language is tacos.

Real Estate Associations

National Association of Realtors rebrands for the first time since Nixon was President

(REAL ESTATE) The National Association of Realtors has unveiled a new rebrand – what does this mean for members?

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The National Association of Realtors (NAR) today unveiled their first rebrand in 45 years, attempting to hold on to the credibility of the past logo and modernizing with the new.

As with anything NAR, members will wonder the cost, which in this case was $250,000 compared to Holiday Inn’s famous $1 billion rebrand, Gap’s $100 million rebrand (a disaster that they had to pay more to undo), Pepsi’s $1 million logo refresh, Accenture’s $100 million rebranding efforts, the $211 million BP oil rebrand (and the $125 million spent annually improving their brand), not to mention the London Olympic logo which cost $600,000 just to design (not to deploy).

new nar logo

The cost of developing the rebrand with a third party firm, completing in-depth research, validating research, member sounding boards, workshops, shareholder interviews, and assessments of current branding came in at a fraction of comparable rebrands. It is of course considerably more expensive than the development of Nike’s swoosh logo, which founder Phil Knight bought from an art student for $35 saying he hoped it would grow on him (it did).

Cost aside, the next question members will have is implementation and what will be required of members. NAR will be sending every member a new pin to inform them of the changes and ask that any re-orders of materials include the new, updated logo they have license to use.

NAR CEO, Bob Goldberg expressed to The Real Daily that they understand that they can’t snap their fingers and have all business cards, signs, letterheads, and so forth, changed over night. The rollout process will take through 2019 to complete, given the extent of the use of the previous logo. Goldberg acknowledges they’re not taking a heavy handed approach.

The design nerds among us will wonder about the creative process and inspiration for the new logo. It’s a tremendous challenge for any major national brand that has deep recognition to update without losing generations of credibility, but Goldberg calls this iteration a “rebirth,” noting that the update “represents the human behind the R,” while maintaining the “beloved brand.”

Goldberg notes that keeping “the same old logo means the same old NAR.”

When he was brought on last year as the CEO, Goldberg was the choice because he has a changemaker attitude and is known for being proactive. He has expressed deep excitement about the modern, more contemporary take on a classic brand, asserting that they weren’t seeking to appeal to Millennials or Boomers as some brands do, rather become more universal.

Goldberg said of the process, “How do we convey we’re not the same old organization, that we’re consumer-centric?”

What of those that buck changing something so iconic? “I appreciate that it is iconic,” Goldberg said, “but we’re not running from anything, we’re building, and we always need to retweak.” He notes they’ll be continually looking at how the brand is received and how it can be improved, swearing (literally stating, “read my lips” before laughing) that it won’t be another four decades before changes are made again.

Goldberg credits this fast change and future changes to the seven leaders like President Elizabeth Mendenhall. He calls this process an “alignment of the stars,” adding that these key people working “in lock step” with a change leader like himself made for a seamless process, and one of many that are coming down the pike of the massive association that is adapting and modernizing.

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Real Estate Associations

NAR’s settlement with the DOJ expires this year – what’s next?

(REAL ESTATE) Ten years ago, the U.S. Justice Department struck a deal with the NAR to establish limits on anti-competitive practices but will the decree hold, or will it expire?

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Once upon a time, when the real estate market was just getting familiar with internet technology, prospective Realtors® dreamt of using the new technology to both excel and fine-tune their craft. One Realtor®, Aaron Farmer, thought about offering his services based on “per task” scale, rather than the standard 6 percent fee. Not long after he considered this scale, the Texas Real Estate Commission passed rules establishing what they termed “minimum levels of service” that real estate agents had to meet (effectively making Farmer’s idea of a fee scale, illegal).

Since Farmer’s idea was in line with the beginning of the internet boom, he felt as though TREC’s rules were unfair. In 2002, he decided to sue them for restricting his trade and was assisted, astonishingly, by the U.S. Department of Justice (DOJ) and Federal Trade Commission (FTC). Surprisingly, the government was investigating the real estate industry already, mainly claims that new players to the real estate game were not afforded the same opportunities as vested professionals. In many instances, veteran professionals were blocking or restricting access of the newer agents (particularly it seemed those agents who had an eye for the budding technology that was/is the internet).

After years of back and forth debates, the DOJ came to an agreement with the National Association of Realtors® (NAR). This settlement, set forth in 2008, outlined and limited anti-competitive practices, as well as situations where agents were denied access to listing data.

The decree specifically outlines acceptable and prohibited conduct for Realtors® and brokers. The decree clearly states how VOWs (Virtual Office Websites) should operate. In essence, since the internet was just getting started, VOWs were the primary way technologically-minded brokerages presented their information to consumers.

Nowadays, these VOWs are commonplace through multi-state online brokerages like Redfin, Compass, and Zillow, as well as, smaller, local brokerages which allow customers to search for homes currently on the market in any given location.

Here’s the issue: The “VOW policy” imposed restrictions on how brokers could access listings from the MLS across the US, but simultaneously exempted other “traditional” brokers (those who weren’t using VOWs, but were instead keeping to the “old school” principles of using mail, faxes, paper, or postcard to deliver their information).

Given this inequity, the Antitrust Division of the U.S. Department of Justice launched an investigation and began to conclude that the playing field wasn’t equal, and was in fact, violating antitrust laws. Thus, why they interceded and why the decree to block their current VOW policies was created and put into effect. The decree basically states play nicely and everyone should have a fair shot at accessing MLS data and sharing it, regardless of whether or not you share this data through traditional “old school” means, or the new online method.

The decree stated that the NAR shall not adopt, maintain, or enforce any rule, or enter into, or enforce any agreement or practice that directly or indirectly prohibits a Broker from using a VOW (Virtual Office Website).

VOW includes all of the listing information that a Broker is permitted to provide to customers by hand, mail, facsimile, electronic mail, or any other delivery methods. It also stated the NAR® cannot unreasonably discriminate against a Broker who uses a VOW to provide customers all listing information.

It also details the required conduct expected from the NAR. The original decree states, that within five business days, the following actions are expected: the NAR shall repeal the policy and implement the new VOW policy; NAR shall not change the new policy; the NAR shall direct each coveted entity to adopt the new VOW policy; NAR will notify the DOJ if the coveted entities do not comply, the NAR shall notify the DOJ if any member board violates the new VOW rules after notifying that member to cease; NAR will furnish the DOJ copies of communication with any person that alleges a member boards’ noncompliance or failure to enforce the new rules.

In order to ensure the NAR complied, authorized DOJ representatives would inspect and copy records, including books, ledgers, accounts, records, data, and documents. They are also allowed to interview NAR® officers, employees, or agents and more.

The decree is set to expire on November 18th of this year.

The industry is already beginning to assess what will happen. Already, two members of Congress have written to the DOJ and asked them to consider extending the 10-year decree. It is possible the decree could be extended, but both the DOJ and the FTC may hold hearings to determine the continued validity of the decree.

If the decree is not renewed, the NAR and MLS will no longer be required to support VOWs. While I don’t expect they will go back to the “old school” methods, it does beg the question, will they restrict current brokerage services?

The bigger question seems to be, not if the decree will be extended or not, but rather, since the internet has become such an incredibly integral part of our lives, is the decree even valid any longer? To clarify, aren’t VOWs a common practice now? Would extending the decree change anything? Instead of worrying about whether or not the NAR and their associates will revert to practices that kept individuals like Farmer from operating, perhaps our government should be looking at the bigger picture: is the decree even valid in this technologically-driven age?

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Real Estate Associations

One year later, NAR + CMLS partnership is going strong

(ASSOCIATION NEWS) The NAR and CMLS partnership is just over a year old and it’s proven itself effective and useful.

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Last year, The Real Daily reported about an initiative to partner with the Council of Multiple Listing Services (CMLS) to better marry the two and better serve Realtor members.

As we heard last year, former NAR CEO Dale Stinton, told us that no money would be changing hands between the groups for the duration of this collaboration, rather that the partnership was built on common interest to serve Realtors®.

Stinton said, “The agreement will stay in effect as long as both parties find the relationship to be useful and beneficial.”

Apparently the NAR + CMLS partnership is both useful and beneficial because it is still going strong.

According to one NAR representative, “The CMLS/NAR partnership was and continues to be a huge step in the right direction. Consistent networking with Caitlin McCrory (NAR’s MLS Manager) and Denee Evans (CMLS CEO) has created an open and transparent dialogue on common issues of interest and concern for NAR and CMLS.”

The representative also noted that the volunteer leadership of both organizations are invited to give reports at each of the respective organizations business meetings.

NAR has received valuable insights from the committee appointment seats CMLS acquired through the partnership, particularly CMLS’ participation on the MLS Emerging Issues and Technology Advisory Board.

The breakdown of the partnership is as follows: NAR appointed three CMLS-specific seats to the NAR MLS Technology and Emerging Issues Advisory Board. Two CMLS members joined the AE Institution Curriculum Advisory Board. One CMLS member has a seat on the NAR Association Executive Committee.

The partnership was approved by the CMLS board and the NAR leadership team last year and has served its purpose as a way to cross-pollinate discussions with NAR and CMLS committees.

What began as NAR’s way to tackle MLS problems has been in action seems to be successful.

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