The real estate industry is built on the dedication and perseverance of countless brokers and REALTORS® who navigate a labyrinth of rules, fees and systems to serve their clients. Yet, behind the scenes, many of us feel trapped in a system that prioritizes institutional control over the needs of professionals and consumers. After years of conversations with brokers and REALTORS®, I’m convinced that reforming this system isn’t just necessary—it’s inevitable.
At the heart of the issue is the monopolistic grip of the National Association of REALTORS® (NAR) and local associations, which enforce mandatory membership as a precondition for accessing Multiple Listing Services (MLSs). This tying arrangement forces brokers and agents to pay significant fees, regardless of whether they see value in the additional services provided by these associations.
Conversations from the trenches
In my conversations with colleagues, one sentiment resonates louder than any other: frustration. Brokers often feel like they’re subsidizing an outdated system that serves the interests of the few at the expense of the many. I’ve spoken with minority-owned brokerage owners who feel disproportionately burdened by dues and fees that are neither proportional to the services they receive nor sensitive to the realities of running a smaller operation.
Agents, too, share stories of frustration. Many don’t realize that alternatives to the traditional MLS structure exist, or that association-provided forms aren’t legally mandatory. The lack of transparency and education perpetuates a cycle where members continue to comply because they don’t know their rights or options.
A vision for reform
Reforming the system starts with untying MLS access from NAR and local association memberships. MLS services are essential tools for real estate professionals, but they’ve been monopolized in a way that restricts competition and inflates costs.
Another critical reform involves simplifying and standardizing fee structures. Brokers shouldn’t bear a disproportionate share of the financial burden simply because they sponsor agents.
Transparency and accountability must also become central pillars of the real estate industry. Members should have a clear understanding of how their dues are spent and a meaningful say in the governance of the organizations they fund. Local boards and associations must be held to higher standards of procedural fairness.
Collaboration is key
When we share knowledge, we empower one another to make informed decisions and push back against practices that don’t serve us.
The lawsuits challenging NAR’s practices have ignited conversations about the future of the industry, and there’s a growing awareness that the status quo is unsustainable.
The road ahead
Change is never easy, especially when challenging institutions as entrenched as NAR. The real estate industry is at a crossroads: We can either cling to an outdated system or embrace a future built on transparency, competition and collaboration.
It’s time to break the chains of the past and build a real estate industry that values independence, fairness and innovation. Let’s start today.
