With lower sales numbers and higher numbers of sales agents, real estate is quickly becoming a dog eat dog world. NAR projected its budget on a membership number for 2008 of between 1.1 and 1.2 million members, down from more than 1.3 million in 2007. However, the slight reduction being seen in many markets in the total number of REALTORS® does not necessarily translate into a reduction in total number of licensed agents.
Are some licensees dropping the REALTOR® “R” to save the money? At this point it is still difficult to say, but the educated guess is that yes, some agents are cutting back on expenses while still competing for clients and customers.
The second question is will this create further pressure on agent commissions? Meaning; will the agent who has lower expenses also lower their fees in order to gain market share? That premise works in a market where the total number of agents is not too high so that a drop in fee or commission structure will be seen by the consumer as marketing. In markets where the total number of agents far exceeds the market demand for their services, lower pricing may become an expected sales item instead of a marketing ploy. Consumers may begin to devalue the role of the real estate professional financially while demanding a higher level of service.
What affect will that have on the marketplace? It remains to be seen, but strong competition in some areas, like Saratoga Springs, NY, have already caught the attention of the real estate media. Click Here for the story.
NAR Chief Economist Lawrence Yun shared economic forecasts and insights with 2008 NAR President-Elect Charles McMillan at the NAR Midyear meetings held last week in Washington D.C. The presentation has been made available in video.
The Midyear meetings are an opportunity for NAR leadership to combine association governance meetings with governmental affairs and lobbying efforts in the Nations capital. Held each year in Washington D.C., the meetings also allow for interactive communication between members, directors and staff.
>>>>> Click Here to watch the video presentation
NAR’s Housing Opportunity Advisory Board and the US Conference of Mayors have selected six cities to receive the 2008 Ambassador for Cities award. The award highlights a successful private/public partnership that serves as a model for other communities in support of Affordable Housing Programs.
Each winner will receive $5,000 towards their program, and will be honored at a public event where the REALTOR® association President and the Mayor will be awarded the Ambassadors plaque.
MRE candidates are reminded of the value of understanding Affordable Housing. To support the education of the REALTOR® community, the MRE programs flagship online continuing education course, Affordable Housing, is offered online. This course will teach the various aspects of concern and difficulty, as well as highlight paths and opportunities for REALTORS® to get involved and profit from Affordable Housing. Learn more by clicking here.
The following are the 2008 Ambassador for Cities designees:
-Orange County Association of REALTOR® and the City of Irvine, CA -
Public Officials 101
-REALTOR® Association of Southern Kentucky and the City of Bowling Green, KY -
Creating a Credit Responsible Community
-Asheville Board of REALTORS® and the City of Asheville, NC -
Mayor’s Affordable Housing Task Force
-Lehigh Valley Association of REALTORS® and the City of Allentown, PA -
Hometown Heroes
-Northern Virginia Association of REALTORS® and the City of Alexandria, VA -
Affordable Homeownership/Workforce Housing and Foreclosure Prevention Outreach Initiative
-Richmond Association of Realtors and the City of Richmond, VA -
Mayor’s Interagency Task Force on Community Infrastructure.
Registration for the 2008 NAR Conference and Expo is open and can be completed online. This year’s event will be November 7th-10th in Orlando and will be hosted at the Orange County Convention Center. Lance Armstrong will join NAR President Dick Gaylord for the General Session!
Visit http://www.realtor.org/convention.nsf/ for more information about the educational events and opportunities for networking at the conference. You can CLICK HERE to register online for the NAR Conference and Expo.
The NAR annual meetings will also take place the same week in Orlando, November 5th - 10th. All REALTORS are encouraged to attend. You can view a list of the Committee Meetings and Governance Schedule by clicking here.
