Commercial PropertyNAR Anticipates Record Mid-year Meeting Turnout
The annual May meeting is when the National Association of Realtors holds elections and leader summits to discuss the issues of the day. Without the virtual office Website (VOW) policy issue on the table, will this year"s meeting be as exciting? A record number of registrations indicates there is plenty left to discuss and do, along with new issues that must be met head-on by the NAR and its members.
Starting today, the National Association of Realtors meets in Washington, D.C., for the 2004 Midyear Legislative Meetings & Trade Expo. For the first time since 9/11, the meeting should attract a record turnout.
"We have 6,500 pre-registered so far, which is a record," says Steve Cook, spokesperson for the NAR, "and for another 1,500 to register on site isn"t unreasonable."
Driving the record turnout is a strong housing economy, the election year, and legislative issues, not to mention a record year of growth for the association which now boasts over one million members.
"We have sold out the trade show with 204 exhibits," adds Cook, "That"s another good sign."
For the first time in three years, there is no scheduled discussion of the NAR"s VOW policy, which is set to be adopted by MLSs before mid-summer. "Last year we had the to-do over the VOW policy," recalls Cook, "and we had the missives from Cendant and REMAX and Russell Capper, and there is nothing like that this year."
Last year, the VOW policy was unanimously enacted in a meeting that ended in resounding applause and cheers, but smiles faded when it was learned that Capper and others had testified to the Federal Trade Commission and Department of Justice, causing an investigation to open regarding the NAR"s VOW policy with regard to anti-trust concerns.
"I think they (MLSs) are moving ahead to comply with it," says Cook about rumors that some MLSs are waiting to hear the outcome of the investigation. "It is just talk, and I haven"t heard of any delays. That indicates there is nothing going on."
There are plenty of urgent issues remaining.
"The big overriding issue is the federal preemption of state banking regulations," says Cook, "which means that the OCC regulations will allow, and this has already taken effect, nationally chartered banks to be exempted from state banking laws, so Bank of America, for example, doesn"t have to comply with predatory lending laws in any state, and state-chartered banks that work with Realtors and all other lenders in real estate do. The second part of the issue is that if you are a title company owned by a real estate company you have to comply with state lending laws and companies or any other subsidiaries of national banks don"t have to as of February 12. So if you are in the settlement or lending business you are operating at a competitive disadvantage. You don"t have to comply with licensing, forms, legal advice or the other costs of complying with state laws, and if you do violate the laws, you aren"t in violation."
Cook continues, "The OCC issue is much bigger than real estate. It involves every attorney general in the states are against it. This is the federal government taking away state oversight. "We didn"t mean to do that," they say. The OCC regulation is based on the National Banking Act enacted in 1864, which gives the Treasury and the Comptroller the power to preempt state banking laws, and that"s what they"ve done. NAR"s agenda will be to continue fighting it."
In case Realtors are wondering how they are impacted, the settlement and lending businesses relate to brokers who provide those services. "The bigger picture," warns Cook, "is the impact of this regulation combined with the federal treasury rule; it doesn"t give banks the authority to get into real estate, but it opens the door. The OCC supports federally chartered banks having brokerage powers. It"s very real. We were days away from it in 2001, and we"re still in a holding pattern. We are stopping it with an amendment on the appropriations bill."
Another concern, says Cook, is affordable housing. "We started our campaign 18 months ago," he says, "our housing opportunity program, and the problem is still huge. One of our big victories is the American Dream Down Payment Act, which helps lower-income people make down payments. It was signed earlier this year, and another legislation we have going is the Low-income Credit Act which encourages the construction of affordable housing."
On an internal note, the public awareness campaign is up for renewal. "That has been very popular," says Cook. "The $20 assessment that every Realtor pays goes to network television and radio advertising. It"s now in its 6th year, and needs the vote of the board to continue."
This is also the first time two people have entered into a contest for the presidency of the NAR in many years. "The most controversial is the election of our president of 2007," says Cook, "between Pat Kaplan, our treasurer and the former president of the Oregon Association of Realtors, and Pat Vredevoogd, our political fund-raising chair who is on our leadership team, from Grand Rapids Michigan. They were both allowed to run, and the board will vote for them on Saturday morning."
In addition to anxious meetings, there is also going to be plenty of showing off. This has been a good year for the NAR. Membership has risen to one million, the NAR has an remodeled Website, and the members can show their power of community through their very visible new headquarters, just three blocks from the Capitol.
"There are some messages," acknowledges Cook. "It is a symbol of our participation in the political process. It is the first new building built by an association in many years. It"s architecture is appealing, and we just won an award for it. You will know the building blocks away. It is also saying that we are going to be here. It is a statement of the Realtor commitment. That"s what we are all about. We are the advocacy group for property rights and these things can"t be taken for granted."
Realtor.org new site, guess who called me, changing the way.