2020 SMART Budget

A Clear Vision

NAR's Budget Review Team and Finance Committee have unanimously approved a 2020 budget proposal to the Executive Committee and the Board of Directors that continues delivering on the commitments made for 2019, with no dues increase.

No Dues Increase

One year ago, our 2018 Leadership Team began the budget review process with clear eyes and full hearts. We were determined to make positive change for the organization we love, and we were confident about the direction we needed to move.

The Budget Review Team and Board of Directors "Owned It," approving the S.M.A.R.T. Initiatives (Strategic Measures Advancing REALTORS® to Tomorrow). As a result, we've introduced programs to increase professionalism and strengthen our influence, and we've put the National Association of REALTORS® on a stronger financial footing.

The 2019 Budget Review Team and Finance Committee have unanimously approved a 2020 budget proposal that continues to deliver on the commitments made for 2019 with no dues increase. The proposed budget going to NAR's Executive Committee and Board of Directors also increases operating reserves by about $11 million, enhancing our ability to respond to industry needs in the future.

As your 2019 leadership, we vow to continue the effort to bring complete transparency to the budget process. This document walks you through some of the exciting changes that have taken place in the past year—new programs funded by the S.M.A.R.T. Initiatives but also structural changes with no budget impact that will make the association more responsive and more relevant to our 1.3 million members.

In February, NAR launched a magnificent new consumer ad campaign, themed "That's Who We R®." The campaign instills a sense of pride in our profession and our association—highlighting what sets REALTORS® apart. The response from members has been overwhelmingly positive. We strongly believe that the campaign should continue beyond its 2019 funding, and the Finance Committee has endorsed that position and recommended a three-year renewal of the $35 special assessment used to fund the campaign. The recommendation now goes to the Board of Directors.

We welcome your careful review of the budget, and in the weeks leading up to our May 18, 2019 Board of Directors meeting, we look forward to talking with REALTORS® and AEs about our plans to help the association and our members continue to thrive in the changing business landscape.

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John Smaby, President
Vince Malta, President-Elect
Charlie Oppler, First Vice President
John Flor, Treasurer
Elizabeth Mendenhall, Immediate Past President
Tracy Kasper, Vice President of Advocacy
Brian Copeland, Vice President of Association Affairs
Bob Goldberg, Chief Executive Officer

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Budget Report

Download this report (PDF: 3.14 MB)

Strategic Measures Advancing REALTORS® to Tomorrow

Tackling the future needs and challenges of the industry.

Here are the Commitments We Made to You Last Year When We Asked for a Dues Increase...

New Programming Totals

And Here Is an Update on How We Are Meeting Our Commitments...

Advocacy on the Rise

Structural changes and new programs have increased NAR's influence in Washington and in state and local governments.

  • Launched new REALTOR® Party programs:
    • Rural Outreach, Financial Literacy for School-aged Children and Young Adults, FPC Advocacy Academy, Transforming Neighborhoods by Addressing Vacant Properties, Consumer Advocacy Outreach Grant, and the Urban Training Initiative
  • Launched the 50th anniversary of RPAC realtorparty.realtor/rpac50
  • Realigned legislative, regulatory, policy, RPAC, and campaign services staff into a modern structure for greater influence and thought-leadership.
    • Results: 20 percent deduction on qualified business income, flood insurance reinstatement, GSE reform working paper
  • Hosted first Housing Policy Forum to establish NAR as a policy leader among Washington insiders

During the REALTORS® Legislative Meetings, the new "That’s Who We R®" messaging will build on this foundation to establish the REALTOR® position, the value of homeownership, and the 30-year mortgage to members of Congress and newly confirmed regulatory agency heads.

Raising the Bar

New web resources serve REALTORS®' desire to increase professionalism and their need for financial-planning guidance.

Commitment to Excellence
C2EX.realtor

  • A life-long journey of learning and professional growth with personalized recommendations to sharpen skills in areas such as integrity, trust, technology, advocacy and law
  • More than 15,000 REALTORS® have engaged since November 2018 launch, far exceeding expectations
  • More than 300 REALTORS® have earned their C2EX Endorsement, and more than two-thirds of those REALTORS® are "highly likely" or "extremely likely" to recommend the program to their peers.*

*NAR, C2EX Survey of Endorsement Earners, Feb. 2019

Center for REALTOR® Financial Wellness
FinancialWellness.realtor

  • Provides quick, easy financial check-up; customized goals and tracking; and a robust resource library covering topics such as budgeting, business expense planning, taxes, retirement, real estate investing, and succession planning
  • More than 5,500 REALTORS® have engaged since August 2018 launch

Pride of Place

10-year Master Vision Project brings needed updates to NAR's Chicago headquarters.

Building Progress 2019

NAR Chicago Building: Master Vision Project

Business Meets Technology

Turning disruption into opportunity for NAR members.

Highlights:

Business Meets Technology

Structured for Forward Motion

Every area of the association saw structural change in 2018. Two of our most dramatic realignments, geared toward achieving the association's 2019 strategic priorities, came in Member Experience and Communications.

Strategic Priority: Enhancing the Member Experience

We've broken down silos, bringing together NAR staff with a wide range of expertise but focused on a singular mission: to empower and engage the REALTOR® community by delivering trusted knowledge, resources, and experiences that elevate member success and professionalism.

  • Member Experience Team builds success and engagement by listening; understanding members' needs; and delivering the best membership, professional standards, commercial, global, and governance programs and experiences.
  • Engagement Team builds relationships with key association, MLS, affiliate, commercial, and global partners and equips them with the tools they need to serve and empower members in their businesses.
  • Legal Affairs Team provides REALTORS® and industry partners with invaluable risk management and legal resources, offers strategic litigation support, protects the REALTOR® trademark, and operates the largest real estate library in the U.S. in order to shape the real estate industry and the future of our members' businesses.

Strategic Priority: Advancing Member and Consumer Communication

We've reorganized the Marketing & Communications Group and brought in new executive talent to implement a holistic strategy. The newly restructured group is focused on clear articulation of our member and association value propositions; centralized project management to ensure collaboration and alignment; and a digital-first strategy.

  • Content & Creative Team delivers trusted, engaging content to elevate member success and professionalism.
  • Public Relations & Communication Strategy Team serves as liaison to the media, communications directors, and NAR Leadership, positioning NAR as a voice of authority in Washington, D.C., and around the world.
  • Digital Strategy Team ensures optimized delivery via the digital channels and devices where our members communicate and conduct business.

Messaging to Consumers

All-new consumer ad campaign gets at the heart of REALTOR® value.

'That's Who We R®'

  • Reinforces that REALTORS® are advocates for property ownership, engaged community members, and trusted advisors with in-depth knowledge.
  • Turns membership mark (the "REALTOR® R") into a physical structure, driving home its meaning and the reality that REALTORS® are members of the NAR and subscribe to a code of ethics.
  • Is distinct, modern, and culturally relevant.
Speaker

In 2016, NAR's board of directors approved continued funding of the consumer ad campaign for 2017-2019 with a $35 annual special assessment to each member.

Meeting

In May, the Board of Directors will be asked to renew the assessment and fund the campaign through 2022.

Thank You

Thanks for the support and trust you've given to the National Association of REALTORS®. Because of your involvement, NAR continues to get better: We're stronger financially and more attuned to serving members' needs.