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REAL ESTATE ASSOCIATIONS AND BOARDS
A trade association is a voluntary nonprofit organization of independent and competing business units engaged
in the same industry or trade, and formed to resolve the industry's problems, promote its progress and enhance
its service.
A real estate association/board is a voluntary organization whose members are engaged in some phase of the
real estate business. Real estate licensees who fulfill the membership requirements of a local association of
Realtors® are eligible for Realtor® or Realtor-Associate® membership. Membership in a local
association/board automatically makes one a member in the California Association of Realtors®and the
National Association of Realtors®. (known as the 3-way agreement). Most associations/boards also
maintain an “affiliate” classification of membership which is open to financial institutions, trust companies, title
companies, escrow companies and others whose duties or interests are related to the real estate business.
The purpose of the California Association of Realtors® is to serve its membership in developing and
promoting programs and services that will enhance the members’ freedom and ability to conduct their
individual businesses successfully with integrity and competency and, through collective action, to promote the
preservation of real property rights. The pioneer real estate organizations in California were the San Diego
Realty Board organized in 1887 and the San Jose Real Estate Board in 1896. Others followed early in the l900s.
The Berkeley Realty Association/Board was founded in 1902; Los Angeles in 1903; San Francisco in 1905.
The California Real Estate Association was formed at Los Angeles in 1905. The name was officially changed to
the California Association of Realtors® on January 1, 1975.
The California Association of Realtors®is an organization composed of the members of local
associations/boards of Realtors® throughout the State. In its statement of policy, C.A.R. commits to be
responsive to the needs of its members through direct and indirect economic and professional benefits by
striving to increase the professionalism, standards and productivity of its members. C.A.R. is dedicated to the
protection and preservation of the free enterprise system and the right of the individual to own real property.
C.A.R. offers a broad array of valuable products and services to its members. These include: legislative
advocacy, legal services, local government relations liaison, standard forms, magazine, economics and research
and insurance programs, among others.
REALTOR® Defined
The National Association of Realtors® unites and unifies the organized real estate interests of the Nation
and presents a common cause and program regarding national issues affecting real property. The terms
Realtor®, Realtors® and Realtor-Associate® as well as the logo “Realtor®” are collective membership
marks owned by National Association of Realtors®. It is only through membership in the National
Association that the right to use the term Realtor® and its related marks is granted.
A Realtor® is a person engaged in the real estate business who is a local and state association/board member
and therefore a member of the National Association of Realtors®, is subject to its rules and regulations,
observes its standards of conduct, and is entitled to its benefits. Realtor® members and Realtor-
Associate® members are defined in the association's constitution, Article III, Section 1 (C). In California,
Realtor® members of local associations/boards are also members of the California Association of
Realtors®.
Pursuant to Section 10140.6 of the California Business and Professions Code, a real estate licensee must
indicate in real estate advertising that he or she is performing acts for which a license is required. Appropriate
designations, such as agent, broker, Realtor®, and loan correspondent (or abbreviations such as bro., agt.)
satisfy the requirement. Licensees entitled to use the term “Realtor®” must spell out the word in accordance
with the N.A.R. trademark guidelines. There are also a few associations/boards in California which are not
affiliated with the National and the California Association of Realtors®. Only those local
associations/boards who are affiliated with N.A.R. may identify themselves as “Associations/Boards of
Realtors®.”
Multiple Listing Service
Most associations/boards operate a multiple listing service (MLS) that serves consumers and brokers as a
marketing tool. Some join together regionally in collaboration with other association/boards in their joint
market area. The purpose of an MLS is to provide a means by which authorized MLS broker participants
establish legal relationships with other participants by making a blanket unilateral contractual offer of
compensation and cooperation to other broker participants. In part, the MLS accumulates and disseminates
information to enable authorized participants to prepare valuations of real property. An MLS is a facility for the
orderly correlation and dissemination of listing information among the participants so that they may better serve
their clients and the public.
California Civil Code Section 1087 defines an MLS as “…a facility of cooperation of agents and appraisers,
operating through an intermediary which does not itself act as an agent or appraiser, through which agents
establish express or implied legal relationships with respect to listed properties, or which may be used by agents
and appraisers, pursuant to the rules of the service, to prepare market evaluations and appraisals of real
property.” Qualified real estate brokers and certified or licensed appraisers are eligible to be participants in the
Multiple Listing Service. A real estate salesperson may obtain access through his/her broker.
An MLS will have local rules and regulations regarding the use of the service, including listing, showing,
negotiating, presenting offers and lockbox usage. Most California MLSs use the California Model MLS Rules,
approved by C.A.R. Many MLSs are part of a regional MLS or have reciprocal agreements with other MLSs.
Some MLSs participate in the statewide reciprocal agreement which allows broader exposure of listings and
varying levels of access to other participating MLSs.
REALTIST Defined
The NATIONAL ASSOCIATION OF REAL ESTATE BROKERS, INC. (NAREB)® was established in
Miami, Florida in 1947. Comprised primarily of African-American real estate licensees, NAREB® is the oldest
minority professional/trade association in America. Members of NAREB® are denoted as “Realtists®,” and
are committed to fulfillment of industry ideals, policies, practices, and programs consistent with the Realtist®
Theme: “Democracy in Housing.” Membership in NAREB® is open to all qualified industry practitioners who
subscribe to the Realtist® philosophy and organizational objectives.
The NAREB® organization includes chartered state and local boards throughout the United States and Affiliate
Organizations including the Real Estate Management Brokers Institute (REMBI); National Society of Real
Estate Appraisers, Inc.; Homeownership Education Counseling Affiliate of NAREB®; Young Realtist®
Division; NAREB® Investment Division (NID); NAREB® Sales Division; and Women’s Council of
NAREB®. Active membership in a state and/or local board/association is a prerequisite for NAREB®
membership.
NAREB® provides educational, training, and development programs and services for members engaged in
diverse components of the real estate industry including brokerage, property management, mortgage financing,
appraisal, land development, construction, and affiliated/ancillary business fields. NAREB® accomplishes
these objectives through a comprehensive series of publications, seminars, training workshops/certifications,
and conferences.
Visit the Realtist® web site at www.nareb.com for additional information about membership, activities, affiliate
organizations, and local boards/associations.
The CALIFORNIA ASSOCIATION OF REAL ESTATE BROKERS, INC. (CAREB), which was established
in 1955, is the oldest and largest state chapter of the National Association of Real Estate Brokers, Inc.
(NAREB)®. CAREB is a professional/trade organization with membership comprised primarily of African
American real estate licensees. CAREB members are distinguished by the trade name “Realtists®”, and
membership in a local board/association affiliated with CAREB is a prerequisite for membership in both
CAREB and the national parent organization, NAREB®.
CAREB has eight (8) local board/association affiliates located throughout the State of California including the
Associated Real Property Brokers (Oakland); Sacramento Association of Realtists®; Consolidated Realty
Board of Southern California, Inc. (Los Angeles); Solano Board of Realtists® (Fairfield); Inland Valley Board
of Realtists® (Ontario); San Francisco Board of Realtists® ; North Bay Board of Realtists® (Richmond); and
the South Bay Board of Realtists® (San Jose).
Historically, CAREB functioned as an advocate for eradication of disparate treatment of African American real
estate professionals and disenfranchised minority communities. Through an agenda of political and social
activism, CAREB influenced the development of legislation and programs that created urban redevelopment
and fair housing in the 1950s and 1960s. During the 1970s, CAREB promoted enactment of the Community
Reinvestment Act and opened doors to career opportunities for minorities at financial institutions and in other
industries ancillary to real estate sales. From the 1980s to the present, CAREB continues to function as an
industry resource for the formulation of mortgage financing programs, government services, and corporate
policies designed to promote homeownership in minority communities and to enhance business opportunities
for CAREB members.
CAREB membership provides a mechanism for licensees to remain abreast of industry related legislation and
emerging market trends, and a channel to render service to disenfranchised, low-to-moderate income
households.
Additional information about membership, activities, and local boards/associations is available on the
California Realtists® web site at www.careb.biz.
NAHREP (National Association of Hispanic Real Estate Professionals)
Established in 1999, NAHREP is a national non-profit trade association created to establish a venue where
members can network, exchange ideas, and formulate an agenda of collective benefit.
The mission of NAHREP is to increase the Hispanic homeownership rate by empowering the real estate
professionals that serve Hispanic consumers. Further information is available at www.nahrep.org.
AREAA (Asian Real Estate Association of America)
Formed in 2001, AREAA is a national trade association committed to enhancing the business opportunities and
success of real estate professionals serving the Asian American community. AREAA is dedicated to promoting
home ownership opportunities among the many Asian American communities throughout the nation. Further
information is available at www.areaa.org.