Real Estate From The Trenches

NAR Revises Controversial Speech Rule: Should REALTORS® Punished Before Now Receive Justice?

June 12, 2025

Rob Hahn recently ignited an important conversation about the National Association of REALTORS® (NAR) decision to significantly modify Standard of Practice 10-5, a rule initially established to prevent harassment based on protected characteristics. While NAR’s move to restrict 10-5’s scope solely to REALTORS’ professional activities has been welcomed as a step toward safeguarding free speech, Hahn highlights another critical dimension needing attention: restitution for those previously penalized under its broader interpretation.

According to Hahn, now that NAR acknowledges the overreach of the initial rule, it owes apologies and possibly reparations to REALTORS previously sanctioned under it. As Hahn emphasizes, individuals like Brandon Huber, Wilson Fauber, Chad DeVries, and Jamie Haynes faced serious professional and personal repercussions for actions now clearly outside the revised scope of harassment. These repercussions included damaged reputations, career setbacks, and financial losses from legal defenses. Hahn calls for immediate revocation of any sanctions, restoration of membership, and financial reparations to make these individuals whole.

Federal Lawsuit Targets REALTOR® Associations for Alleged Antitrust Violations on Dues

June 10, 2025

John Diza lawsuit versus National Association of Realtors over dues for non-members

Another day, another lawsuit taking aim at the National Association of REALTORS® (NAR) and its long-standing policies. But this one doesn’t center on buyer broker compensation like the Sitzer-Burnett or Moehrl cases. Instead, it targets a different piece of NAR’s structure—the so-called “three-way agreement” and its Variable Dues Formula (VDF), which, according to a new federal complaint, forces brokers to either pay dues for agents who don’t want to be members or disassociate with them altogether.

Filed June 9 in the Central District of California by broker John Diaz, the complaint alleges that NAR, the California Association of REALTORS® (CAR), and two local associations (Lodi and Central Valley) have violated federal antitrust law through a coordinated effort that restricts competition and punishes brokerages that don’t fall in line.

Free Speech Concerns Addressed as NAR Finalizes SOP 10-5 Revisions

June 5, 2025

NAR Changes 10-5 to allow freedom of speech

Just days after I wrote about the controversy surrounding NAR’s Standard of Practice 10-5 (SOP 10-5), the National Association of REALTORS® Board of Directors has officially ratified changes to the standard. As expected, the updates focus on clarifying the definition of “harassment” and narrowing its scope to only apply when REALTORS® are acting in a professional capacity.

This morning’s move at the REALTORS® Legislative Meetings in Chicago formalizes the proposed revisions that had been in the works since 2023. According to NAR President Kevin Sears, the aim is to better align Article 10 of the Code of Ethics with similar standards used by other large trade associations, while also easing enforcement for state and local associations.

REALTORS®’ Chief Economist Yun Warns: Housing Recovery Still ‘Delayed’—But the Magic Bullet May Be Near

June 4, 2025

NAR Lawrence Yun, 2025 Economic Forecast

If you were hoping for some bright spots in the real estate market this summer, you’re not alone—so was Dr. Lawrence Yun.

Yesterday, I attend the Economic Issues & Trends Forum at NAR’s Mid-Year Meetings in Washington D.C. at which, Lawrence Yun, Chief Economist for the National Association of Realtors, opened with a bit of candor: “I thought at this conference I would share some good news with you. Home sales are rising. Momentum is building. But we are not seeing that”.

$16 for $11,000 in Commissions? New Court Brief Blasts Real Estate Settlement

May 30, 2025

Monestier Appellant Court Briefing could cause collapse of NAR Sitzer Settlement

Law professor and home seller Tanya Monestier has filed an appeal to overturn the Sitzer/Burnett commission lawsuit settlement. She argues the deal gives sellers almost nothing—about 0.1% of their damages—while leaving the commission system largely intact. If the court agrees, the entire $1.8 billion+ settlement could be thrown out, reopening the litigation and undoing all the current rule changes. Her brief is below for anyone who wants to dig into the details.

When Tanya Monestier first objected to the Sitzer/Burnett settlement last fall, I wrote that her critique exposed the uncomfortable truth: this deal might look good on paper, but in practice, it’s left most sellers just as stuck in the old system as before. Now, she’s doubled down with a formal brief to the U.S. Court of Appeals for the Eighth Circuit—and she’s aiming not just to revise the settlement, but to throw it out entirely.

NAR Reconsiders SOP 10-5 Amid Free Speech Concerns

May 26, 2025

The National Association of REALTORS® (NAR) is set to consider revisions to Standard of Practice 10-5 at its upcoming June 2025 Board of Directors meeting. These proposed changes aim to address longstanding concerns about the scope and enforcement of the standard, which prohibits REALTORS® from using harassing speech, hate speech, epithets, or slurs based on protected characteristics.

Since its adoption in 2020, SOP 10-5 has been criticized for potentially infringing on members’ freedom of speech, particularly in contexts unrelated to their professional real estate activities. Notably, there have been instances where REALTORS® faced disciplinary actions for expressing personal religious beliefs outside of their professional roles. For example, Wilson Fauber, a Virginia REALTOR® and ordained minister, was found in violation of SOP 10-5 after reposting a Bible verse on his personal Facebook page. The post, which supported the biblical view of marriage, led to ethics complaints and potential penalties, including fines and loss of REALTOR® membership .

Fed Report: NAR Settlement Hasn’t Moved Commissions Much Yet

May 16, 2025

Why buyer agent commission haven't dropped

The Fed’s new report takes a deeper look at commissions just as the industry is adjusting to the fallout from the $418 million NAR settlement. That settlement banned listing offers of compensation to buyer’s agents and required written agreements spelling out how buyer agents will be paid. A lot of folks expected this to push commission rates lower fast, or even shake up the business model. But so far, the data says otherwise. Nationally, buyer agent commissions have only dipped slightly over the past couple of decades, from about 3% to 2.7%, and most of that change happened long before the rule shift.

What’s more, the Fed found that policies like buyer agency agreements and rebate bans didn’t do much to move the needle. The bigger driver seems to be local custom and home prices. Areas with higher home values tend to have lower percentage rates, but the traditional split is still common in many places. The big question now is whether buyers, when asked to agree upfront to pay their agent, will start questioning the value more directly. If that happens, we might finally see some real changes to how agents get paid.

Agents Are Making More Money—but Losing Faith in NAR, Survey Finds

May 6, 2025

A newly released industry survey puts some hard data behind the shift many agents have been sensing: higher income potential, yes—but also higher dissatisfaction with the profession and its institutions. The survey, conducted by Redfin in partnership with Ipsos, focused on 500 non-Redfin agents who closed at least one deal in 2024. Among its most striking findings: while nearly 30% of agents reported earning over $100,000 last year, only 21.2% would recommend real estate as a career. And over half now say they hold an unfavorable view of the National Association of Realtors (NAR)—up sharply from just 19% the year before.

As the chart below shows, more agents are getting deals done. In 2024, 72.2% closed more than five sales, up from 63% in 2023. Incomes rose in step, with 58% earning over $50,000 compared to 49% the prior year. But performance isn’t the whole picture. The Redfin survey highlights growing pressure from commission negotiations, uncertainty about brokerage support, and sharp disillusionment with NAR following last year’s $418 million settlement. Nearly four in ten agents say those changes have already hurt their business, while over half report more clients are trying to haggle commissions. It all adds up to a real disconnect: the deals are getting done, but confidence in the industry’s leadership is slipping fast.

Compass Sues NWMLS, Claims Monopoly Tactics Blocked Seller Choice

April 29, 2025

Compass vs NWMLS lawsuit - Private Listings

Well, here we go again—another big real estate lawsuit, but this one has a local twist and a broader punch. Compass just sued the Northwest MLS, and unlike some of the class-action commission suits making headlines, this one is very focused on listing control, competition, and, ultimately, the consumer’s right to choose how their home is marketed.

At the heart of Compass’s complaint is the claim that NWMLS, which is owned and governed by traditional brokerage firms, is shutting down competition by refusing to allow office-exclusive listings—something that’s allowed in every other state. Compass argues this isn’t just hurting them; it’s hurting homeowners too, by stripping away an option that many sellers clearly want. In fact, nearly half of Compass sellers nationwide used their pre-marketing strategy—what they call “Private Exclusives”—in Q1 this year, and in Seattle, over a third of Compass clients jumped on the offering within just a week of it being available. Then, NWMLS pulled the plug.

Real Estate’s New Reality: Rules Are Out, Big Players Are In

April 28, 2025

If you’re still operating like the real estate world runs on clear policies and NAR rulebooks, you’re already behind. What’s happening now — with CRMLS refusing to implement a mandatory NAR policy, and Zillow quietly setting its own listing standards — is a clear signal: the old rules-based system is collapsing. We’re moving into a market where size, reach, and direct consumer control will matter more than compliance with association mandates. For agents, brokers, investors, and even homeowners, this means adjusting expectations fast. If you’re relying on the MLS or traditional structures to protect your interests, it’s time to rethink your strategies.

Large players like CRMLS and Zillow aren’t waiting for formal decisions anymore; they are acting independently based on their market power. Smaller MLSs, brokerages, and agents who can’t or won’t adapt risk being pushed aside. Investors and homeowners should pay attention too — as access to listings, transparency, and even who controls information about their properties is changing. Those of us who work “in the trenches” know this shift isn’t theoretical; it’s happening in real time. Power, not rules, is now setting the pace of real estate — and the only way to stay relevant is to move with it, not against it.