Dear members,

I wanted to share an update about changes to the Code of Ethics that were ratified at the recent REALTORS® Legislative Meetings—specifically, Standard of Practice 10-5 (“SOP 10-5”) and Professional Standards Policy Statement 29, which fall under Article 10.

As you know, the Code of Ethics is what distinguishes REALTORS® from other real estate professionals. It is the foundation of our ability to earn and maintain consumers’ trust as we fulfill our mission to preserve, protect, and advance the right to real property for all. To ensure these guidelines are up to date, NAR’s Professional Standards Committee is tasked with continually assessing and, when appropriate, amending the Code of Ethics.

NAR takes any changes to the Code of Ethics seriously, and I wanted to explain the context and rationale for these changes.

Article 10 prohibits REALTORS® from denying equal professional services and employment opportunities based on protected characteristics. SOP 10-5 was adopted in 2020 to further clarify the application of Article 10 by prohibiting REALTORS® from using harassing speech, hate speech, epithets, or slurs.

Like any other article of the Code of Ethics, state and local associations are empowered to enforce Article 10.

In the years since 2020, it has become clear that there has been uncertainty about the interpretation and implementation of these standards of practice. With more than a million members across the country, we need to ensure the specific articles of the Code of Ethics are clear in their language and intent and can be enforced fairly and consistently. Without this, the defensibility—and sustainability—of the Code itself is in doubt.

At RLM, the Professional Standards Committee moved to recommend changes to SOP 10-5, which were then ratified by both the NAR Executive Committee and Board of Directors, in accordance with our amendment process.

The new language, which you can review here, 1) creates a more specific definition of “harassment,” aligning with the definition in the NAR Member Code of Conduct, and 2) focuses Article 10’s—along with the entire Code of Ethics’—application on instances in which REALTORS® are operating in their professional capacity, consistent with similar ethical requirements applied by other large trade associations across the country. Further, by enhancing the clarity of this language, the changes reduce risk to state and local associations and their volunteer leadership who administer and enforce Article 10.

I will conclude by emphasizing that NAR is deeply committed to upholding principles of fair housing and equal treatment for all consumers—these changes aim to make the Code of Ethics clearer while continuing to hold REALTORS® to the highest ethical and professional standards.

If you have any questions about the proposed changes or NAR’s formal process for amending the Code of Ethics, please contact the NAR Member Policy team at narpolicyquestions@nar.realtor.

Thank you,

Kevin Sears
President, National Association of REALTORS®