R New York, a brokerage boasting approximately 800 agents, has joined the American Real Estate Association, an alternative to the National Association of Realtors (NAR), according to The Real Deal.
The American Real Estate Association’s membership increased by nearly 30% after the absorption of R New York members, bringing the total to roughly 3,800 members.
Stefani Berkin, president of R New York and one of the 35 founding members of the American Real Estate Association’s advisory board, expressed her optimism regarding the organization’s potential to outpace NAR in advocating for and educating agents across the nation.
“I’m hoping it can be the dominant organization nationwide. I think it’s exactly what real estate agents need and what the industry has not been able to offer until now,” Berkin said in a statement.
This development arises amidst heightened scrutiny and legal challenges facing NAR, including a landmark antitrust settlement that, if approved, would mandate a payment of $418 million and the implementation of rule changes.
The American Real Estate Association’s founders Jason Haber and Mauricio Umansky started the group in January, and wish to differentiate themselves from the historical trade organization, which has roughly 1.5 million members. As of now, there are no fees to join the American Real Estate Association, and membership is and will remain optional.
“For too long our industry mandated agents join a trade association,” Haber told HousingWire. “We think this is an outdated and a misguided model that breeds agent discontent. Attorneys are not mandated to join the American Bar Association. Doctors are not mandated to join the American Medical Association. So why should agents have this requirement?”
In April, AREA launched its first advocacy push, calling on housing regulators to revise lending guidelines in the U.S. to allow buyer agent compensation to be rolled into the loan.