A Message From Kevin Sears, NAR President, February 20th, 2025:

I am writing to share an update on the status of the charter revocation process for the Phoenix Association of REALTORS® (“Phoenix REALTORS®”). The message below is being shared with the Board of Directors, Executive Committee, past presidents, state and local Association Executives, state and local legal counsel, MLS executives, large firm directors, multicultural partners, communications directors, and NAR staff.

I am pleased to report that we’ve reached a resolution with Phoenix REALT:ORS® regarding its “MLS Choice” offering and the local association has taken the necessary steps to come into compliance with NAR’s Constitution and Bylaws. Phoenix REALTORS® issued the statement below saying it has eliminated its “MLS Choice” membership option but will continue to offer non-REALTORS® access to ARMLS as it has done since 1996. In addition, Phoenix REALTORS® will provide certain products and services to non-REALTOR® licensees who purchase non-member MLS Access. Phoenix REALTORS® emphasizes that non-member MLS Access is not a membership of any kind and licensees who purchase non-member MLS Access are not REALTORS®, may not use the REALTOR® mark, and would not belong to local, state, or national REALTOR® associations, or have access to the many benefits of REALTOR® membership. With these clarifications and updates, Phoenix REALTORS® will retain its charter.

Update from Phoenix REALTORS® regarding MLS Choice:

After working together productively, Phoenix REALTORS® and the National Association of REALTORS® (NAR) have reached a mutually beneficial agreement that ensures Phoenix REALTORS®’ non-member offering complies with NAR’s constitution, bylaws and the three-way agreement.

Following NAR’s December 2024 cease-and-desist letter to Phoenix REALTORS® about MLS Choice, NAR initiated its charter revocation process, citing concerns that the offering conferred local association membership, caused confusion for consumers and weakened the REALTOR® brand. To address these concerns, Phoenix REALTORS® and NAR worked together to clarify the marketing around MLS Choice and introduce an updated offering. The updated offering is known as “non-member MLS access,” which will eliminate any further confusion and make clear what the subscription option entails.

Through this revised offering, Phoenix REALTORS® will continue to provide non-REALTORS® access to ARMLS—as it has done since 1996 consistent with longstanding NAR policy—and will offer certain MLS-related products and services to non-REALTOR® licensees who subscribe to ARMLS.

The non-member MLS access option is not REALTOR® membership—it is a subscription for professionals desiring a different level of support. Licensees who purchase this subscription option are not REALTORS®, cannot use the REALTOR® mark, and do not belong to local, state or national REALTOR associations or have access to the many benefits of REALTOR® membership.

Phoenix REALTORS® remains committed to the REALTOR® brand, the three-way agreement, and the benefits made possible by the relationship between the Phoenix association, Arizona Association of REALTORS® and NAR. This outcome supports both Phoenix REALTORS®’ and NAR’s ultimate goal of helping REALTOR® members succeed and the real estate industry at large thrive.

To learn more about the value of REALTOR® membership, including educational tools, marketing resources, advocacy at the local, state, and national levels, and more, please visit: https://www.nar.realtor/membership and https://www.phoenixrealtors.com/main/member-benefits/.

From the beginning, we’ve taken this matter very seriously, carefully following our established processes as outlined in our Bylaws and Charter Revocation Procedure. We are pleased that process ultimately led us to productive discussion and a path forward for Phoenix REALTORS® to retain its charter.

During this process, we received some questions about NAR’s position on compliance and MLS access. First, I’d like to say that our policy about MLS access has not changed. MLSs have local discretion to determine individual participation requirements based on their market and applicable law. MLS participation is determined at the local level, and in Phoenix, ARMLS is and has long been open to non-REALTORS®. This matter was never about MLS access.

Separate from MLS access, local associations also retain the discretion to sell services and resources to non-members but cannot offer non-REALTOR® memberships to brokers and agents unless in a form expressly permitted by NAR’s Constitution and Bylaws.

The issue here came down to the fact that promoting an offering that both explicitly and implicitly acted as a membership option is in clear violation of NAR’s Constitution, Bylaws, and the Three-Way Agreement. NAR’s integrated model is core to who we are and the benefits we provide our members and consumers at the local, state, and national levels. It is critical we maintain the rigorous standards of the REALTOR® brand and our Code of Ethics. It’s what sets us apart from other real estate professionals.

To provide additional clarity on what constitutes an unauthorized membership in violation of NAR’s Constitution, Bylaws, and the Three-Way Agreement, we’ve developed a guideline resource titled “Providing Products and Services to non-members,” available here. This resource also provides practical tips for state and local association leadership to ensure their organizations remain in compliance.

Our top priority will always be meeting the needs of our members and the consumers they serve.