Specialty Divisons

Early in its history, the Association recognized the need for specialization in the real estate industry, and had created seven specialty divisions by 1923. Over the years, many of these divisions have evolved into the following institutes, societies and councils affiliated with the National Association of REALTORS®:

The REALTORS® Political Action Committee (RPAC)

The REALTORS® Political Action Committee (RPAC) is currently one of the largest trade association PACs. RPAC's predecessor, the REALTORS® Washington Committee, was established in 1943 to assist the federal government in providing housing for members of the armed forces and other activities in support of the war effort.

In 1969 the Association formed the Real Estate Political Action Committee (REPAC) to solicit voluntary contributions from the Association's members and pool those funds to make contributions to candidates running for public office.

REPAC's name was changed to the REALTORS® Political Action Committee (RPAC) in 1974. RPAC remained the nation's largest business trade association PAC with disbursements of $3.7 million dollars to the federal candidates and national political committees in the 2000 election cycle. In the 1988-1990 election cycle, NAR members contributed a record $5.2 million to RPAC. This total represents only a portion given; a percentage of each RPAC dollar stays for use by state and local RPAC committees. In 1997 and 1998 the National Association of REALTORS® ranked 11th in Fortune Magazine's "Washington Power 25" listing of the 25 most powerful lobbying organizations in Washington.

The Issue of Taxation

"Unfair taxation," said Alexander Sacket Taylor, NAR's second president, in 1910, "is the most formidable foe of real estate." Ensuring the fair taxation of property owners and preserving the economic benefits of home ownership have been among the primary lobbying goals of the National Association of REALTORS® throughout its history.

A committee on taxation was one of the first standing committees formed by the Association's founders in 1908. When the current federal income tax system went into effect in 1913, NAR's members called on their congressmen to change the law so that rents collected by landlords would not be taxable -- the Association's first grassroots lobbying effort. In 1920, the Association supported Congress in its passage of legislation enabling the mortgage interest deduction.

Other NAR tax-related victories include: Elimination of the "quick-profits" tax (which discouraged people from buying a home that they intended to quickly resell for a profit) after World War II; in 1951, the deferral of capital gains taxes on the sale of a home if another home of equal or greater value was purchased within a year; expansion of tax relief to the elderly in home sales; successfully fighting the reduction of the mortgage interest deductions from $1 million to $250,000; and expanding the capital gains deduction for homeowners to $250,000 for singles, $500,000 for couples.

When the traditional tax status of the independent contractor real estate salesperson came under attack by the IRS, NAR was instrumental in the enactment of a provision in the Revenue Act of 1978. The 1982 tax act provides a safe-harbor test for real estate sales people that, if satisfied, determines their status as independent contractors for federal tax purposes.

More recently, the battle for full deductibility of health insurance premiums for self-employed real estate professionals, to be phased in over the next several years, has been passed and is now available.

Member Services

Since its inception, the Association has provided a number of benefits and services for its members. The Association's Library was founded in 1923, and with over 15,000 volumes, is the largest real estate library in the United States.

In 1997, Membership Records, the Library and Customer Service were merged into Information Central, a one-stop point of contact for members. Through Information Central, members can place product orders, request information from the Virtual Library and obtain assistance with Realtor.org.

In addition to the award-winning service from Information Central, the National Association of REALTORS® offers members discounts on various products and services for business and home through the REALTOR® VIP Program program. The National Association of REALTORS® actively works for its members in many ways to keep REALTORS® at the center of the real estate transaction—through lobbying efforts, public awareness campaigns and the nation's largest real estate website, Realtor.com.

Research

The Association began keeping statistics on housing and property values as early as 1909. Its first statistical department was formed in 1917, and the first research department in 1920. The Association has provided statistical data for the support of its lobbying efforts and for use by various federal agencies since the early 1920s. The monthly Existing Home Sales report was started in 1968, and continues to be an important indicator of the nation's economic health. Today, NAR's research group conducts surveys and prepares reports on the home buying and selling process, REALTOR® demographics, real estate firm structures, commercial property markets, and other aspects of the real estate industry.

International

NAR has been involved in the international arena for nearly half a century. In the early 1950s, the Association helped establish the International Real Estate Federation (FIABCI), and has since hosted and participated in several public forums on housing and property rights issues around the world. In 1981, NAR formed an International Policy Committee to expand its affiliation with real estate organizations in other nations and pursue a leadership role in the global marketplace. The Association's International Section (now called the CIPS Network) was formed in 1992. Currently, the Association maintains bilateral reciprocal agreement with 58 real estate associations in 47 countries. In May of 2001 the International Consortium of Real Estate Associations (ICREA) was formed around a multilateral agreement, with 23 founding members. NAR took the lead in the formation of this new organization and is a member of its Executive Committee and co-chair. In 2002, NAR signed the group's Transnational Referral Protocol, providing NAR members access to an easy and safe system for cross-border referrals.

NAR & Technology

Never before have REALTORS® had such an extraordinary amount of information available at their fingertips. The very first computer system used at the National Association of REALTORS® was installed in September 1973. Computerized multiple listing services (MLS) became a reality in 1975, and by the early 1980s the idea that computers would soon replace traditional paper MLS directories was quickly becoming a reality. The National Association of REALTORS® has launched several programs over the years to help the industry take advantage of computer technology, including REINET and RCS-MLS in the 1980s.

In the 1990s, NAR saw progress on several technology fronts. REALTOR.COM, the official Internet site of the National Association of REALTORS® , was launched in 1997, giving consumers a powerful tool to help them connect with REALTORS® and find a new home. Today, Realtor.com features over 2.1 million property listings viewed by over 5 million consumers each month and is recognized as one of the most successful business Web sites on the Internet.

Launched in 2001, REALTOR.org is a valuable tool providing REALTORS® with almost instant access to the information and services they need, including the latest HUD forms, online registration for the annual convention, and industry news.

The National Realtors Database System, NRDS, an Internet database allowing local associations to post member records, was launched in 1998. When a record is entered into the system the state association and the national association have immediate access, eliminating duplication and giving members faster service. One benefit of NRDS is that it gives REALTORS® the ability to update their own information in their individual records online.

In 1999, the REALTOR® Electronic Commerce Network was established. This new initiative promises to give REALTORS® easy online access to a variety of products and services from the National Association and state and local boards.

NAR in the 21st Century

Real estate has changed and grown more complex since 1908 -- from handwritten notes and 3x5 index cards to cell phones and Internet property listings. REALTORS® will be working with many different groups in the coming years, including Internet-savvy home buyers, aging Baby Boomers, young people buying their first homes, international investors and recent immigrants. REALTORS® bring their knowledge and expertise to the real estate buying and selling process, guiding consumers in making make the right decisions and helping to shape the future of the industry. As it reaches its 100th year, the National Association of REALTORS® continues to pursue its objective of keeping the REALTOR® at the center of the real estate transaction, promoting the interests of its members among consumers and policy makers and in the increasingly competitive real estate marketplace.