This was my 3rd year attending the MidYear meetings, however this was
my 1st time going on the Capitol visits with my state. It definitely
won’t be my last.
The day started with a fantastic lunch at Charlie Palmer Steakhouse.
In addition to all of the usual faces from Missouri, we had 2 special
guests from the Ontario Real Estate Association. They wanted to come
along on our state visits to see what issues are effecting us most and
to see how the whole process works.
After lunch, we broke up into groups and headed up to the Hill to
visit our Senators and Representatives. Though I’ve done this before
at the state level visiting with our local representatives, there’s
something different about being involved in the process in our
Nation’s Capitol. It’s energizing, invigorating, and motivating.
In our first visit, with Rep. Emanuel Cleaver, approximately 17
Missouri REALTORS crammed into his office. When he arrived, we asked
how often his office is jammed full of people like this. He chuckled
to himself and said, “Only when you all are in town.” There’s
something completely gratifying knowing our presence is literally felt
He listened to our issues and asked questions about how certain
programs where working in the real world. He seemed genuinely
interested in our concerns and wanted to know how he could help. He
also cautioned us that there are too many programs expiring before the
end of the year and not enough time to get it all done – which truly
is a harsh reality but one we must face.
The day continued with several other similar visits with Missouri
Representatives. And the feeling was the same at the end on everyone -
we’ve been heard. Now it’s time for the them to go do the job we hired
them to do. I end the day feeling proud and with a true sense of
I can’t wait for next year.
My second NAR Midyear has come and gone, and I’ve returned home a little lighter in the wallet…and proud of it.
I was honored to attend a special YPN RPAC reception on Wednesday evening. The small gathering was by Nobu Hata and Michael Oppler, who welcomes invitees and special guest Ron Phipps, former NAR President, who addressed the room discussing the value of RPAC dollars in supporting our cause.
Having serve for two years as the RPAC Subcommittee Co-Chair at my local board, I was already well-versed in the importance of being a supporter of RPAC. I have contributed every year but always made excuses to myself as to why I couldn’t yet become a major donor. Wednesday evening at the reception, without being pressured or cajoled, I committed to becoming a Sterling R for the first time.
Here’s the thing: I’m not having a spectacular year. That’s not why I made the commitment. In fact, I have just left my team and gone solo, so I am higher in expenses what is “normal” for me this year. I just made the decision that now is the time – to support what is best for my industry and homeownership. As I watched every person in the room fill out a donation card, I was struck not with a feeling of peer pressure to do the same but with a feeling of pride to belong to this group of invested, involved citizens of real estate.
As former Co-Chair of the Atlanta Board of REALTORS RPAC Subcommittee, I’ve heard every reason in the book to not contribute:
“It’s not tax-deductible.”
“RPAC doesn’t support my candidates or political party.”
“It’s too much money.”
“I’m having a bad year.”
Not every investment in yourself is tax-deductible: your gym membership isn’t, your spa visits aren’t. But you pay them because you believe in them. If you believe in the best for our industry, then you believe in reaching across party lines and supporting REALTOR issues and what is best for our chosen livelihood – RPAC does that. At what cost to you? Whatever you can afford. You don’t have to be a Sterling R, but please do commit so that RPAC can continue to fight for homeownership, property rights, and the career path we’ve all chosen, the thing that brought us together this week in Washigton, D.C.
I urge you to reach out to your local or state Governmental Affairs Director and to your RPAC chair and have a real, frank conversation about RPAC and what your funds do at the local, state and national levels – I think you may be surprised. The same coffers that supported the first-time homebuyer tax credit are now fighting to keep the mortgage interest deduction and to reauthorize federal flood insurance and make reforms to strengthen the program, not to mention what they’re doing in your state, where 70% of your contribution will stay.
Each year, the National Association of REALTORS® Board of Directors convenes for one of their two annual meetings. The Board of Directors is made up of elected REALTOR members from each state and territory.
- Approve expenditures of the Association
- Set dues
- Set public policy positions as they pertain to the real estate industry
- Establish governing policies of the Association
- Approve member programs, products, and services
- Approve amendments to the bylaws and recommend to the Delegate Body Constitution and Code of Ethics amendments
- Know the issues of importance to your constituency and bring matters of concern to the attention of the Association.
- Know the issues of importance to the Association and report matters of concern or actions taken by the
- Association back to your constituency.
- Participate in the meetings! The meeting starts at 8:30 a.m.
8:33 a.m. Moe Veissi takes the podium
8:37 a.m. Wendell Bullard, 2008 NC AOR President delivers invocation
8:39 a.m. Margaret Hartman, President-elect New York AOR leads the Pledge of Allegiance
8:45 a.m. REALTOR Ensemble sings “America The Beautiful, “This Land Is Your Land” and “God Bless The U.S.A.”
8:54 a.m. Moe Veissi explains voting procedure
8:55 a.m. Vicki Cox Golder presents Nominating Committee Report
2013 RVP Nominees Announced
- 1 Linda Fercodini
- 2 Dominic Cardone
- 3 John Harrison
- 4 Rebecca Murphy
- 5 Frank Kowalski
- 6 Robert Taylor, Jr.
- 7 John Flor
- 8 Daryl Lee Braham
- 9 Sharla Lau
- 10 Brooke Hunt
- 11 Patricia Pipkin
- 12 Jeremy Starr
- 13 Vince Malta
9:01 Vote passes
9:02 a.m. 2013 NAR Officers
- Treasurer Bill Armstrong (MD)
- First Vice President Chris Polychron (AR)
- President-elect Steve Brown (OH)
- President Gary Thomas (CA)
9:04 a.m. Vote passes
Leslie Rouda Smith, Vice President & Liaison to Committees
Bill Brown, VP & Liaison to Government Affairs
Information, Communications & Professional Development
Large Firm Relations
Diversity, State & Political Issues Group
State and Community Issues Group
Public and Federal Issues
Commercial and Business Specialties
Director REALTOR Party Activities
Major Investor Council Liaison
Moment of Silence for REALTOR Leaders Who Passed
Dan Joiner (SC)
Arnold Tesh (DC)
John Gustafson (SD)
Joseph Carnahan (CA)
9:18 a.m. Moe gives Realtor Rally report. CNN, MSNBC and over 20 other media outlet present
Over 12 Congress and Senate Representative President
13,500 REALTORS attended
Check out the official REALTOR Rally website.
Paid NAR memberships for 2013 is expected to be 960,000.
9:32 Dick Gaylord, 2008 President Reports on Second Century Initiatives (with CEO Dale Stinton and Martin Edwards)
REALTORS® Federal Credit Union announces merger with Northwest Federal Credit Union (established 1947).
Ginger Downs (AE for the Chicago AOR) announces Terry Penza as the recipient of the William R. Magel Award.
9:57 a.m. Bill Armstrong presents Treasurer’s Report
NAR purchased the remaining shares of SentriLock, giving NAR 100% ownership.
NAR purchased a piece of land in Chicago for $1.2M just behind the NAR building. We now own from the plaza to alley from Michigan to Rush street. An entire city block. The land appraised for $4M and has a triple net income.
Budget was presented and approved.
10:10 a.m. Vice President D.J. Snapp
- Motion for two members-at-large to be commercial members
- Motion to created a Strategic Planning Forum
- Motion to change composition of Issues Mobilization Committee (for multi-cultural diversity reasons)
- Motion to change composition of RPAC Trustees (for multi-cultural diversity reasons)
- Motion to change the composition of the Realtor Party coordinating committee (same reasons)
- Motion to change the composition of the RPIC committee (same reasons)
- Motion to amend name of AE Institute Advisory Sub-committee to remove term “Advisory”
- Proposal to change composition an AE committee for awards and transparency purposes
- Proposal Housing Opportunity and Diversity Committee amended. Expands mission to strategic planning. Adds three multi-cultural members to committee.
- Motion to sunset the Housing Opportunity Sub-committee.
- Proposal that the Meeting and Conference committee to add immediate past chair to the committee. Reason: To give more state composition to the committee
- Proposal for Commercial Real Estate Committee qualifications be amended affecting chair and vice chair.
- Proposal MLS Laws and Emerging Issues Committee be created
- Proposal Public Advocacy Group composition
All motions passed
10:26 a.m. Distinguished Service Awards Recipients by Henry Ray
Awards recognize those who have qualifications to becoming NAR President but never pursue the office. 80 DSAs have been presented.
The 2012 Recipients Are
81st Recipient: Bruce Aydt, O’Fallon, Missouri
82nd DSA Recipient: Paula Savard, Lancaster, Massachusetts
Set a copy of People Magazine and Homes & Land down on your office desk and ask your home buying clients which one they would likely want to read to help them in their home search. How many do you think will pick People Magazine? The answer is so obvious that it’s almost ridiculous to ask. Yet, when applied to the web, our industry has spent the last couple years trying to figure out how to advertise listings on Facebook, the online equivalent of People Magazine.
NAR’s own Profile of Home Buyers and Sellers tells us that while the vast majority of home searchers use online real estate search portals and real estate company websites to search for a home, less than 1% list social networks as the source they found the home they purchased.
Some would argue that the numbers would be higher if the infrastructure was in place to do so. Here at Midyear, NAR’s MLS Committee grappled with the issue of how to make that work within their IDX rules. As they have for the last few meetings, the committee recommended that the issue be sent back to a work group again.
Clearly, the “how” of listing homes on social networks is a complicated issue. But in my personal opinion, I think they might want to look more closely at the “why” than the “how”.
Home buyers do not think to search for a home on Facebook. Period.
Facebook might be a great place for real estate agents to increase their sphere of influence, but that’s because Facebook users go to Facebook to interact with people.
Today, as Facebook’s stock is now available for public purchase, investors are more closely scrutinizing Facebook advertising based business model. Many are questioning the effectiveness of their advertising platform. GM recently announced that they are pulling 10 million dollars in ads from Facebook because they don’t work. The key distinction between Facebook’s model, and Google’s advertising model is how visitors use the site. People go to Google to search for things. People go to Facebook to search for people. Ads for things do not resonate with someone who is searching for people. Listings are things; agents are people.
When NAR reconvenes another work group to tackle the issue of listings on social media, I think they should consider ROI on what their members will be spending to get their listings on Facebook. Does it really serve the member to rubber stamp a marketing technique that may not deliver an appropriate return? Maybe the most important question for the group is not how to define social media or how to regulate listing ads, or how it all fits into IDX policy. Maybe the question should be based on whether it’s even a good idea for the members to be doing this in the first place.
That’s my personal opinion, what is yours?
The REALTORS Political Action Committee (RPAC) has an appointed group of fundraisers called The Major Investors Council (MIC). Each state/territory has one representative on the Council as well as affiliated entities like Leadership Academy, Young Professionals Network and Women’s Council of REALTORS®.
Today, the MIC met for a luncheon meeting to celebrate the milestones thus far this year. The states exceeding their fair share goals thus far in 2012 are
South Dakota 116%
North Dakota 207%
Want to know who the MIC for your area is? Here’s a full list.
On a related RPAC note, Memphis Area Association of REALTORS® 2012 President Carol Lott created a special “rap” for RPAC which she performed at the Region IV Caucus. Take a look!
So much going on, I forgot to post! Got hit by a cyclist when leaving a restaurant Wednesday night and the event must have wiped out my brain.
Gee whiz, the rally was something to witness! We know that homeownership is the fabric of our communities and your commercial folks are advocating for small businesses and liquidity in the finance markets because we all are working for the same thing – a robust economy and quality of life!
Long-term housing demand. In the short-term it can be difficult, but in the long-term it’s determined by demography.
“Demography moves in a certain pattern and will be a big driver of housing demand,” Yun said.
- Selma Hepp, National Association of REALTORS®
- Glenn E. Crellin, Rustad Center for Real Estate Studies at the University of Washington
- Dowell Myers, University of Southern California
- Rolf Pendall and Lesley Freiman, The Urban Institute
*Note Selma’s last week at NAR is this week before she moves to the California Association of REALTORS®.
Six Key Demographic Trends
(1) Growth in the 65+ population will create new demands for affordable, accessible housing
- Over the next 20 years, the aging Baby Boom genertion will cause the senior population to grow by 30 million.
- Disability often affecting most seniors will make staying at home a challenge, though majority of older Americans want to “age in place,” becasue near to family, safety, affordability, remain independent and in a convenient location (according to AARP)
- 85-88% of seniors live in traditional private residences, only 5% in group quarters, and 10% in senior facilities.
(2) Seniors will contribute increasingly to the housing supply
- Seniors release much more housing than they absorb. Net release when the move in with children, move into senior facilities and when people pass away.
- 2000-2010 people 55+ release net 10.5 million housing units. During the same period, 14.7 million new dwellings and new households under age 55 grew by 21.8 million. Net household creation was 11.2 million.
- The location of dwellings released among and within metro areas is not likely to align perfectly with future demand.
- Owner occupied units will account for 80% of the rleases, single-family detached dwelled.
(3) Echo Boomers represent a long-term opportunity, but are struggling in the economic crisis.
- Racially, ethically diverse
- Confident, connected and open to change
- Hit hard by the recession.
(4) The next two decades in housing markets depend on the Echo Boom
- People 15-34 would form 15.6, 17.1 and 188 million new households between 2010-2020 , in low, medium and high scenario.
- Three scenarios produce vast differences in share of renters-40% homeowners in low, 55% in medium and 67% in high.
(5) Rental housing demand is likely to climb in coming years.
- Distressed homeowners will continue to seek rental housing.
- Depends on economic conditions.
Based on age and race specific transition rates from 1990 (higher) and 2000s(lower), three scenarios were developed.
Glenn E. Crellin, Rustad Center for Real Estate Studies at the University of Washington
28% Generation Y
26% Baby Boom Generation
“The entry of the Baby Boom generation into its house-buying years is found to be the major cause of the increase in real estate prices in the 1970s. Since the Baby Bust generation is now entering its house-buying years, housing demand will grow more slowly in the 1990s than in any time in the past 40 years.”
“It is worrying for those under the age of 35 has fallen more sharply than the rate of older Americans.”
57% ownership rate for those born between 1948-52
49% ownership rate for those born between 1978-1982
This means the recession has hit home ownership in a key demographic cohort, Gen Y.
According to his research, Gen Y are…
Much more likely to purchase 6.9%
More likely to purchase 34%
Gen Y will absorb an even greater number of owner-occupied and detached units. They are moving toward home ownership in a greater amount that the press would like you to believe.
G. Stacy Sirmans, Florida State University
David A. Macpherson, Trinity University
Forecasting the Demand for Housing in the United States
Intereresting time for housing demand in U.S.
2000s decade: Real estate boom. Now working through period of correction
Simultaneously, baby boomers are entering retirement
Should reverberate through all sectors of economy including the housing market
What will be baby boomer living arrangements?
How will younger generation absorb the housing inventory?
Clearly the southern states will have a greater demand for housing than the northern states.
Yun quipped, “For analysis, it’s obvious that the Buckeyes will be becoming Seminoles.”
Lisa A. Sturtevant, George Mason University
Movement Into and Out of the Washington DC Metro Area.