A Realtor is a distinguished real estate professional who is a member of the National Association of Realtors (NAR). This membership signifies a commitment to uphold NAR’s stringent code of ethics and professional standards.
Key Highlights
- A Realtor is a qualified real estate professional holding membership in the National Association of Realtors (NAR).
- The term encompasses various professionals including residential and commercial real estate brokers, salespeople, and property managers.
- Realtors adhere to NAR’s code of ethics, ensuring high standards in client interactions and transactions.
NAR Membership: The Gold Standard
Realtors are not merely licensed real estate professionals—they are bound by the ethical guidelines and best practices prescribed by the NAR. This distinction places them in a category above typical real estate agents. Members include various professionals such as residential and commercial brokers, salespeople, property managers, appraisers, and counselors, all adhering to NAR mandates.
In 2024, the NAR’s impressive roster boasted 1.5 million members comprising real estate agents, brokers, and associate brokers. Every Realtor is expected to belong to local and state associations, affirming their commitment to excellence and ethical conduct. The cornerstone of their practice is the rigorous NAR’s code of ethics, which mandates integrity and transparency in all dealings.
Adhering to Ethical Standards
The NAR’s code of ethics is explicit about Realtors’ obligation to avoid exaggeration, misrepresentation, or concealment of critical facts related to property or transactions. Realtors must protect and promote their clients’ interests above all.
Remarkably, for 2024, NAR’s anticipated rule changes are set to transform commission structures, potentially reducing home buying and selling costs. These rules will mandate explicit agreements between brokers and buyers to ensure clarity in service provision and costs.
The Realtor Trademark: A Symbol of Trust
NAR strictly governs the use of the Realtor trademark, conferring it only to verified members. The trademark must be distinctly highlighted, ensuring it isn’t conflated with general corporate branding, which could arise legal concerns if membership rights are revoked.
Correct usage stipulates the trademark appears in all capital letters, separated from the user’s name or business by proper punctuation. Importantly, it cannot be used descriptively like terms such as ‘real estate broker,’ reinforcing the unique standing of a Realtor.
A Century-Long Legacy
Established in 1908 as the National Association of Real Estate Exchanges, the NAR started with a modest 120 members. Over time, it has grown to become a pillar of ethical real estate practice.
Understanding the Code of Ethics
The NAR’s Code of Ethics & Professional Standards embodies the vow that all members take to conduct honest and fair professional behavior. This set of guidelines underscores the moral principles that guide Realtors in their dealings.
Realtor vs. Real Estate Agent
While every Realtor is a licensed real estate agent with state-certified qualifications, not all real estate agents are Realtors. Realtors are those agents who choose to join the National Association of Realtors and adhere strictly to its ethics.
The Essence of Being a Realtor
Allying with NAR means more than holding a title—it signifies a pledge to upholding trust, integrity, and excellence in real estate practices. Those who earn the Realtor designation prove their commitment to superior industry standards and client trust.
Related Terms: Realtor Code of Ethics, Real Estate Agent, Property Management, Real Estate Broker, NAR Membership.
References
- National Association of Realtors. “About NAR”.
- National Association of Realtors. “NAR by the Numbers”.
- National Association of Realtors. “How to Join NAR”.
- National Association of Realtors. “2024 Code of Ethics & Standards of Practice”.
- National Association of Realtors. “National Association of REALTORS® Reaches Agreement to Resolve Nationwide Claims Brought by Home Sellers”.
- National Association of Realtors. “Use of the MARKS With a Member’s Firm Name”.
- National Association of Realtors. “Membership Suspension Information”.
- National Association of Realtors. “Use of the MARKS With a Member’s Name”.
