WASHINGTON D.C. — A potential new Standard of Practice for Realtors® sparked debate amongst the members of the National Association of Realtors®’ (NAR) Board of Directors (BOD) at the 2026 Realtors® Legislative Meetings, with proposed change to disclosure requirements eventually withdrawn.
The controversy came after a relatively quiet gathering in the nation’s capital, at least compared to last year when NAR made significant changes to its hate speech policy and also repealed a longstanding MLS policy that had faced legal challenges.
Among the several updates and votes for NAR during its BOD meeting, one of the most notable was a vote to include a new Standard of Practice (1-17), in regards to article one of the Code of Ethics.
The standard would require Realtors® to disclose to clients if they lack knowledge, information or skills about a property or area. If approved, the exact wording of the new standard would be as follows:
While providing real estate services, REALTORS® must disclose to their clients if they do not possess the knowledge, information, or skills about a property type or geographical area to protect and promote the interests of their clients considering the complexity and particularities of the transaction.
2026 NAR President Kevin Brown noted that the standard was voted against by the executive committee, who debated “for about 45 minutes” over it.
According to an NAR spokesperson, the newly proposed standard of practice was not related to any assessed legal risk to the association. The spokesperson added that Standard of Practice (1-17) will be revisited by the standing advisory board for the Professional Standards Committee at its next meeting, and should the committee move forward with a new version of the standard, it would go before the full committee at NAR NXT in November.
When questioned on the value of the new standard, Chair of the Professional Standards Committee B.J. Harris clarified that in alignment with NAR’s strategic plan, the committee has been working to “strengthen the code of ethics,” bringing about this change.
She added that with the standards, “if I’m with a client and I find myself in uncharted waters, I can quickly disclose this to my client, and then just as quickly with my client’s knowledge, find the information and knowledge to proceed when people are continuing to protect and promote my client’s interest.”
“This new standard of practice states clearly and simply something we all should be doing anyway,” Harris continued, noting that the Code of Ethics and its Standards of Practice are a guide that “maintains the integrity of Realtors® much higher than non-Realtors®.”
“This standard of practice simply shows another way to protect and promote the best interests of the clients,” she concluded.
Several board members across the regions stepped up to state their cases against the standard, citing vague wording and redundancies with article 11 of the Code of Ethics.
A Realtor® from region 12, Rick Harris, said that every Realtor® “believes strongly in disclosure to our clients,” but the language of the standard is still too vague to move forward.
“What is it not to have enough information? What is it not to have enough particular expertise?” he asked. “I strongly appreciate the desire for our clients to make informed decisions. However, even with two years of work trying to bring this forward, it still appears to me to be vague, with the person making the disclosure not clear what terms are being used closed, and so I just believe this is not ready for prime time.”
A significant point made was also the potential negative effects on client trust that disclosing lack of experience can have, especially for Realtors® newer to the industry who lack many years of experience under their belts.
As one Realtor® from region five in Florida stated, “(t)his is an industry where we serve others, and we encourage them to trust us…the moment that we disclose to them, ‘Hey, I can’t help you,’ or ‘I don’t have this experience,’ you’ve lost that trust from the consumer for the rest of your relationship with them.”
He continued to argue that if a Realtor® is unfamiliar with a property or area, they need to get educated; “take a more experienced person along the journey with you.”
“That’s why you have a broker, that’s why you have mentors, that’s why you have this beautiful community of Realtors® around you,” the Realtor® concluded. “Disclosing that you are not experienced in specific aspects is going to eliminate that consumer’s trust for yourself or any other Realtor® that they encounter.”
One voice in support of the standard—a Realtor® from South Carolina, who identified as a member of Central Carolina Realtors® Association—noted that the standard “is in no way intended to establish geographic territorial detective nature, but instead to clarify the duties.”
“For a moment, take off your Realtor® and Board of Directors hat. Put yourself in the client’s position. Ask yourself if you want and expect disclosure from the largest transaction of your life. I think you have to answer honestly, yes,” he continued.
A motion was then made by another Realtor® to refer the standard back to the committee, which was then approved by a vote of 497 in favor (with 356 opposed).
Other business
The Professional Standards Committee also proposed an amendment to Practice 16-11 to shift the requirement for when Realtors® request compensation from a seller. The amendment would require Realtors® to “make any request for compensation from a seller of an unlisted property no later than when an offer is being presented rather than at first contact.”
This amendment was supported by the executive committee, and was approved with no discussion by a vote of 819 in favor (58 opposed).
Other measures voted on included provisions from the financial committee on the budget of members for 2027 (1.2 million, aligning with previous projections by NAR), the amount for dues remaining at $156 per member and the acceptance of the fully audited, compiled 2025 year-end financial statements, all of which were approved.
Bylaw amendments for the Counselors of Real Estate and Women’s Council of Realtors® were also approved.
Beyond voting, other items of business addressed were the approvals of the appointments of 2027 NAR President Christine Hansen, 2027 NAR President Elect Colin Mullane and 2027 NAR First Vice President Pete Kopf, along with the NAR Regional Vice Presidents of the 13 regions and the NAR committee liaisons. Additionally, Patti Fitzgearld of Jupiter, Florida, was voted in as the 2027-2028 NAR Treasurer.
The 109th and 110th recipients of the Distinguished Service Award were also named: Robert Bailey of California and Judy Moore of Massachusetts. The William R. Magel Award of Excellence was awarded to Rebecca Grossman of Scottsdale, Arizona.
This article was updated at 5:05 p.m. ET with information from an NAR spokesperson.
