After recently aligning with REMAX in June for its first major coup, the American Real Estate Association (ARA) announced on July 28 that Compass International Holdings has officially joined the organization. As with REMAX, agents affiliated with Compass’s portfolio of brands will have the choice to become members of ARA.
This landmark move gives agents from a wide swath of brokerages and national brands, including @properties, Better Homes and Gardens Real Estate, CENTURY 21, Christie’s International Real Estate, Coldwell Banker, Compass, Corcoran, ERA and Sotheby’s International Realty the opportunity to join the ARA.
Compass joining ARA signals a new chapter in the residential real estate industry, long dominated by a single national trade group.
In an exclusive interview with RISMedia, ARA Co-Founder Jason Haber says he believes the partnership marks the beginning of broader change for real estate practitioners.
“Obviously it’s a very big day for us, but it’s a bigger day for the industry because the industry finally has a choice,” he says. “I think it drives innovation and makes everyone better. We hope all other trade groups do well. We don’t see this as a competition. We see this as what’s best for the agents. That’s all we care about. That’s our North Star.”
Robert Reffkin, chairman and CEO of Compass, agreed, saying in a release that “competition makes every industry better. For too long real estate professionals have lacked real choice in national representation. By joining the ARA we are supporting a competitive alternative that must earn agents’ trust and prove its value. Our agents will have the choice to join this residential real estate association that is now competing for its members to provide better value.”
The addition of Compass follows a wave of national momentum for the ARA, joining a fast-growing coalition that includes high-profile independent firms, franchise leaders and regional groups such as The Agency, Douglas Elliman, REMAX and the New York Residential Agent Continuum (NYRAC).
“The decisions by brokerages of all different sizes, types and business models to join the ARA confirms how hungry the market was for competition, and innovative, agent-first leadership,” said Briggs Elwell, board member of the ARA and co-founder and CEO of RLTYco, in a release. “By pairing the association’s uncompromising advocacy with this massive agent footprint, we are equipping professionals with the tools and representation they need to thrive as true business owners.”
The organization recently mobilized alongside the Missouri State Realtors® Association to aggressively oppose predatory tax legislation and ballot initiatives aimed at inflating housing costs. ARA continues to organize on behalf of its members to educate policymakers, challenge legislation that will be harmful to our industry and consumers, and ensure real estate remains a respected, highly-skilled discipline for generations to come. The ARA vows that it has and will be continuously focused on proactively and meticulously complying with all legal, regulatory and ethical obligations.
In RISMedia’s interview with Haber, he explains that ARA has spent two years doing foundational work to get to this point. The trade group is now ready to implement its vision, which, he says, “is a higher standard, more professionalization in this industry.”
“We think the industry does better with higher-level professionals, but not as many professionals,” he says. “The industry can use a branding reboot. The public doesn’t understand enough of what it is that we do, how we do it and the challenges that come with our work to serve them. That’s why the public ranks us under used car salesmen in public opinion surveys.”
Haber thinks ARA can be a force to help change that narrative, while admitting there’s a lot of work that needs to be done around the country to fight for its members.
“We’re still very small, but we’re growing,” he says. “You don’t become a national force in a day. It takes time and you have to lay the right foundation for it. And that’s what we’re focused on.”
RISMedia asked Haber if he was even a little surprised to reel in a company of the magnitude of Compass.
“Yes, it is a bit of a pinch-myself moment,” he says. “But I feel like we’ve earned it, and we’ve worked hard to get to this point. We’re in rapid growth mode right now. It’s very exciting.”
Haber was also asked what discussions ARA has had with Reffkin, and if there were any specific expectations from the powerful Compass boss.
“Well, we’re aligned on this idea of choice, of a vision for a better, healthier, stronger industry,” he replies. “We have a shared vision on where the industry needs to go, that it’s long past due that we’ve had change. I’m glad we can be the avatar of that change for a lot of people, but more than that, we’re looking to be the implementator of that change, to drive that change. And I think we’re going to do it. I really do.”
Haber didn’t want to delve deeply into how many members ARA might suddenly serve, simply saying that “we’ll be one of the largest trade associations in America once we get our number counts down. I try not to focus on the numbers because we have so many things happening. I know everyone is interested in that. It’s going to be significant.”
RISMedia asked how finances would be addressed now that ARA has grown so far so fast.
“Great question,” Haber says. “As a nonprofit, one thing I’ve learned is that how you raise money is very different from a for-profit entity. So in our case, as an example, we always have the tin cup out as a nonprofit, and we’re always looking for different ways to raise revenue for our operations. That’s an ongoing conversation that we’re having, not just with Compass, but with all of our partners.”
